Volkswagen Testing Scrapping methods

[k1xv]

They would only resell cars whose repaired retail value exceeds the cost of repair. For Gen 1 cars, that may not be possible. In any event, I see no scenario where they resell fixed cars for "pennies on the dollar".

 

[Airpizz6]

They would only resell cars whose repaired retail value exceeds the cost of repair. For Gen 1 cars, that may not be possible. In any event, I see no scenario where they resell fixed cars for "pennies on the dollar".

I love expression like 'pennies on the dollar'. That doesn't necessarily mean cheap. I would expect something 90 pennies on the dollar or higher if VW really does resell them.

 

[meerschm]

It also could be that VW wants to convince the court that there should be a low end to the price they have to accept from a dealer (turn in or alternate).

the costs of the fix and costs of anticipated warranty work would be part of the picture.

seems like this would be a wholesale cost, vs a retail cost.


correct me if I am misinformed, but it does not seem like the purchase by dealers of turned in cars has a price set by the court.

 

[CHenry]

There is probably more in high-value salvaged parts in most of the buyback cars than is usually obtained from a typical wreck. Whole front clips, whole doors, hatches, glass, seats, radio-nav units, AC compressors, bumpers, airbags, whole dash assemblies, wheels, tires, brakes, transmissions, just about everything but the engines, exhaust and fuel systems. They need a way to break out the cars, assess and inventory the parts and have a uniform and approved way to scrap the rest.

 

[ericy]

There is probably more in high-value salvaged parts in most of the buyback cars than is usually obtained from a typical wreck. Whole front clips, whole doors, hatches, glass, seats, radio-nav units, AC compressors, bumpers, airbags, whole dash assemblies, wheels, tires, brakes, transmissions, just about everything but the engines, exhaust and fuel systems. They need a way to break out the cars, assess and inventory the parts and have a uniform and approved way to scrap the rest.

That may be true, but the sheer number of cars they are buying back will flood the market with parts. Doors will only fit other VW cars of a similar model.

Tires are a bit more universal, but I don't know what other cars would take tires the same size.

 

[CHenry]

That may be true, but the sheer number of cars they are buying back will flood the market with parts. Doors will only fit other VW cars of a similar model.

Tires are a bit more universal, but I don't know what other cars would take tires the same size.

All sorts of ways to deal with that. For one thing, the panels and door assemblies would have more parts value as OEM salvage over third-party parts. Also, much of the car market VW serves is outside the USA, and the parts market follows, including quite a large number of TDI cars which are not going to be bought back and will need parts in the future. Having a stock of approved salvage parts means less VW resources have to be used to manufacture repair/replacement parts for legacy vehicles.

This could mean a significant recovery of the costs of this buyback campaign for VW.

 

[weasel]

Tannerite, lots and lots of Tannerite.

 

[ericy]

Tannerite, lots and lots of Tannerite.

There was a story in the news about the guy that lost a leg blowing up a lawn mower with Tannerite . Blowing up a car? What could possibly go wrong?

 

[mydecember1985]

The scrap heap is where these cars belong. This makes me happy

Somebody just ban this bag-o-dix already. He's doing nothing but running around trolling. I don't think I've seen a single helpful comment from him/her/it.

 

[50pascals]

Somebody just ban this bag-o-dix already. He's doing nothing but running around trolling. I don't think I've seen a single helpful comment from him/her/it.

+1 for the intent, not the actual wording

 

[turbobrick240]

They already banned him/her.

 

[mydecember1985]

+1 for the intent, not the actual wording

Some people were toying with him back and forth. A few posts I actually got a laugh out of. There's one somewhere around here telling him to "stick your finger in your tailpipe and sniff it". Loved that one. There was another member that just joined this month that tore his post to shreds on another thread.

They already banned him/her.

Yeah. I saw the other thread that pushed somebody to alert a mod or something yesterday around 5ish. Thanks to whoever did!

 

[dubStrom]

They won't get mine back from me. Not happening, especially since the goodwill $1000 already in my pocket, and $7000 restitution will make this a swweeeet deal. Jaw dropping awesomeness. I bought a 2010 JSW, then a 2013 Passat which was nice, but need the wagon, then after brief mistake (for me) in a BMW 335d, got my 2014 JSW. The Passat was great, but I'd just rather have a wagon. My 2014 JSW is simply the best car I've ever owned.

I'll try to buy another CR TDI that someone sells back if possible. I'd buy one now from a fool with cold feet if I had the money! I can do anything I want to to the car after I buy it. Lots and LOTS of aftermarket possibilities.

Frankly, I doubt the used TDI market will EVER cool off, especially now that you can't buy them new! Just watch. And as I said, no one is getting mine.

By the way, the inuendo in this thread on German "efficiency" is puerile and repulsive.

 

[GetMore]

There was a story in the news about the guy that lost a leg blowing up a lawn mower with Tannerite . Blowing up a car? What could possibly go wrong?

That's why you set it off from a distance. You don't play around like it is a firecracker.
The guy I know that was playing with tannerite would set it off with a rifle. It adds another level of fun to the endeavor, and being over 100 yards away adds a safety factor. (I don't know what the distance was, but it sure wasn't spitting distance!)

 

[CT_Gman]

At least here in the SW, I would think that VW will just ship the TDIs to Mexico and resell them.

 

[meerschm]

At least here in the SW, I would think that VW will just ship the TDIs to Mexico and resell them.

there is specific language in the agreement that obligates VW to applying an approved fix for emissions before exporting the cars.

 

[Abacus]

Anyone remember "Cash for Clunkers"? The disposal method already exists.

 

[Sankar]

They won't get mine back from me. Not happening,

...

Frankly, I doubt the used TDI market will EVER cool off, especially now that you can't buy them new! Just watch. And as I said, no one is getting mine.

...

I'm with you on this - I like the car and I'm keeping it. Any fix - however costly - has to be better for the environment than junking the car.

In my personal opinion the value indicated in any "blue book" is only referencing transfer value across individuals. The value I place on my car may well be significantly above (or below) that number. I alone know how I treated the car and I alone know what it is worth to me. Flame me all you wish for these statements but as far as I'm concerned, the value of my 09 JSW - to me - is far ahead of any of the buyback numbers I've seen. So I am not motivated to give it up. If some of you think that I'm being "emotional", then so be it. I don't think I am being any more irrational than anyone else in this matter - I just have a lot invested in the car that I don't see the buyback addressing (nor do I expect that they should).

With any buyback, I will need to spend some money to continue to get the kind of utility that this car provides. There is no way this will be a zero-cash transaction since the money I get from turning it in will not be enough to buy another car of comparable utility. You may argue that after the buyback I'll have a "better" car so should be agreeable to the transaction. Not so. I'm quite satisfied with the one I have, am not seeking something else and so you'd really be "forcing" me to "upgrade" at a cost. The extra "value" that the replacement would provide is not worth much - to me. Of course if someone offered me a brand new car as a clean swap, I'll think about it - but I'm not holding my breath for that one!

I bought the car in good faith and paid all cash (no loan, lease, etc.). I've taken care of it and done nothing wrong or illegal so if someone wants to take the car away, I need to be offered terms that I think make sense for me. Forcing me to give it up or accept a deal that appears rotten (to me) just because they (VW et al) don't want to spend the money to resolve seems regressive and not too different from the issues surrounding eminent domain.
After all there is a fix - they could always redesign a new engine that will fit! The issue is one of cost not of technical ability - it would be way too expensive for them and so they don't want to do it. But the fault was theirs in the first place so why is it reasonable to expect me to bear the cost of rectification? If they can't pay enough for me to surrender it, then they should fix it at zero cost to me so that I can continue to drive it around legally. And if the fix impacts operational performance, then I'm willing to consider options that are actuarial fair. After all I understand that there are technical limitations to what can and cannot be achieved.
But to expect me to give up the car at a non-trivial cost to me just because they screwed up seems counter to fair commerce.

 

[k1xv]

I disagree. The blue book value is an estimation of the transaction price between a willing seller and a willing buyer. In this case, the willing buyers these days is primarily limited to hard core diesel Tdi enthusiasts. Any adjustment to the supply - demand picture will rest on what will be the future supply (constrained) vs the number of interested potential buyers (seems to be declining substantially).

When Ford Pintos went off the market, prices fell. Pinto enthusiasts did not bid up the remaining, but shrinking supply in the used market. On the other hand, real Chrysler 426 hemi head cars from the 60s and early 70s are no longer made, and the demand for the surviving existing ones is strong enough to drive up used prices.

Somehow, I see 2.0 liter Tdis falling more into the Pinto category than in the Phymouth GTX 426 Hemi category.

 

[tadawson]

Part of that was due to the Pinto being a low end, unremarkable, generic "Chunk-O-Dung" from the get-go which had absolutely nothing (unless you consider the no extra cost "Flambe" package a plus . .) to make it unique in the market . . . The TDI, however, has numerous desirable attributes that make it unique in the market.

 

[Sankar]

I disagree. The blue book value is an estimation of the transaction price between a willing seller and a willing buyer. In this case, the willing buyers these days is primarily limited to hard core diesel Tdi enthusiasts. Any adjustment to the supply - demand picture will rest on what will be the future supply (constrained) vs the number of interested potential buyers (seems to be declining substantially).
...

I don't disagree with you - I may have not been clear in my post.
I think that there is a difference between the clearing price (the one at which a transaction takes place) and the reservation price (the one that a buyer/seller may have ahead of a transaction).
My point is that my reservation price is above what is being offered - this drives my decision. Of course I'll have to live with that decision but in my case, the money involved is not critical. I am fortunate in that I can easily afford a car that costs twice as much (but choose not to) and could walk away from the $20k or so that this car would represent (at best!).
Thus (to me) this is not a decision based solely on monetary constraints but one based on what I like to drive, what I like to work on (I do a lot of mods on this car), etc. I'm a DIYer and consider this car to be the best I've owned.
That has value which is not represented in any book - blue, green or yellow.