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The number of China’s scrapped car is on an explosively growing trend, and the development of scrapped car recycling industry has a golden prospect. The current scrapped car recycling system is not perfect in our country, because related industries driven by market develop slowly, and there are some outstanding problems such as potential safety risks, environmental pollution and resource waste. The paper analyzes and studies the existing problems and countermeasures to investigate the development strategy of scrapped car recycling industry according to the whole automobile industry chain construction, technology and equipment conditions, policy guidance, etc. and at last explore the new industrial development pattern of serving automobile reverse design.