Toronto, Ontario — The Ontario Automotive Recyclers Association is warning that Ontario’s vehicle identification number branding system is failing and creating risks for drivers, the environment and the recycled parts market.
“The purpose of a VIN branding program is to protect public safety, combat fraud, and support environmental stewardship,” the OARA team wrote in a position statement released on August 20. “Ontario’s current system is failing on all three counts.”
The association argues that auctions are “selling high-value vehicles with incomplete, inaccurate, or intentionally omitted branding” which “inflates sale prices and transaction fees” while eroding the system’s integrity.
The OARA identifies two primary dangers. The first is public safety. “Vehicles that should be branded as salvage are re-sold without the required re-inspection, leading to unsafe, substandard repairs on Ontario’s roads,” the group writes. “This creates unacceptable risks for drivers, passengers, and all road users.”
The second is auto theft. According to the statement, “organized theft rings exploit Ontario’s weak VIN branding system to launder stolen vehicles through clean titles,” which undermines enforcement and public confidence.
The association also warns that the failures are damaging the legitimate recycling industry. “By allowing unsafe vehicles to bypass branding requirements, the system reduces the availability of end-of-life vehicles for lawful recycling, increases costs, and undermines the traceability of recycled parts,” the OARA team wrote.
As a remedy, the group is calling for stricter oversight. “OMVIC must increase audit and compliance enforcement at auctions, where most of these transactions occur,” the statement urges. It also recommends “restricting the export of undepolluted vehicles” and “closing loopholes that allow damaged vehicles to circulate with clean titles.”
The paper concludes: “A functioning VIN branding system is fundamental to public safety, fair markets, and environmental protection. Ontario cannot allow this system to remain broken. [The] OARA stands ready to work with OMVIC, the Ministry of Transportation, and all stakeholders to restore accountability and integrity.”
