NAICS 423140 Quarterly Industry Report
Motor Vehicle Parts (Used) Merchant Wholesalers
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 423140Sector: Wholesale Trade (42)Updated: Q1 2026
About This Report
This Fair Market Value industry report for NAICS 423140 draws on data from the U.S. Census Bureau[5] economic profiles, Bureau of Labor Statistics[6] employment surveys, and SBA size standard publications[7]. Our research team tracks salvage vehicle supply, used parts pricing dynamics, and remanufacturing trends to provide valuation context for used auto parts wholesale operations. Updated quarterly, each data point is sourced to its originating federal or institutional database.
Industry Snapshot
Key metrics for the motor vehicle parts (used) merchant wholesalers industry.
Industry Definition & Overview
Motor Vehicle Parts (Used) Merchant Wholesalers (NAICS 423140) encompasses establishments primarily engaged in the merchant wholesale distribution of used motor vehicle parts and establishments that dismantle motor vehicles for the purpose of selling the parts. These operations include auto salvage yards, used parts warehouses, and remanufactured component distributors that supply repair shops, body shops, and consumers with affordable alternatives to new original equipment parts.
The industry sits at the intersection of vehicle end-of-life processing and aftermarket parts supply. Salvage operators acquire totaled, flood-damaged, and high-mileage vehicles from insurance companies, auctions, and direct sellers, then catalog and warehouse reusable components. According to the U.S. Census Bureau[5], about 4,565 businesses operate in this industry across the United States. Electronic parts interchange databases and online inventory platforms have transformed how salvage yards sell parts, connecting local yards to a national buyer network. Core exchanges, where a used part is traded in when a remanufactured replacement is purchased, form a significant revenue stream.
Environmental compliance is a major operational consideration. Yards must properly drain fluids, handle refrigerants, dispose of hazardous materials, and manage scrap metal recycling in accordance with federal and state regulations. Many operations also sell whole vehicles for scrap metal value after stripping saleable components.
What's Included in This Industry
- Used automotive parts wholesale distribution
- Motor vehicle dismantling and parts recovery
- Remanufactured auto parts wholesale operations
- Salvage yard parts warehousing and sales
- Used truck and commercial vehicle parts distribution
- Core exchange and remanufacturing supply operations
- Online used parts marketplace and inventory sales
- Used automotive glass wholesale distribution
- Recycled auto body panels and structural parts wholesaling
- Used drivetrain and powertrain component distribution
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Sector | Wholesale Trade | 42 |
| Subsector | Merchant Wholesalers, Durable Goods | 423 |
| Industry Group | Motor Vehicle and Motor Vehicle Parts and Supplies Merchant Wholesalers | 4231 |
| NAICS Industry | Motor Vehicle Parts (Used) Merchant Wholesalers | 42314 |
| National Industry | Motor Vehicle Parts (Used) Merchant Wholesalers | 423140 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 423120 | Motor Vehicle Supplies and New Parts Merchant Wholesalers | Motor vehicle supplies and new parts merchant wholesalers distribute new replacement components rather than used or salvaged parts from dismantled vehicles |
| 423130 | Tire and Tube Merchant Wholesalers | Tire and tube merchant wholesalers distribute new and used tires separately from the broader used auto parts wholesale market covered here |
| 423110 | Automobile and Other Motor Vehicle Merchant Wholesalers | Automobile and motor vehicle merchant wholesalers distribute complete vehicles at wholesale rather than individual salvaged or used components |
| 423930 | Recyclable Material Merchant Wholesalers | Recyclable material merchant wholesalers handle scrap metal from dismantled vehicles but focus on raw material recovery rather than parts resale |
| 441330 | Automotive Parts and Accessories Retailers | Automotive parts and accessories retailers sell used and new parts to consumers at retail prices rather than through wholesale distribution channels |
| 811111 | General Automotive Repair | General automotive repair shops are primary customers that purchase used parts from wholesale distributors as cost-effective repair alternatives |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | California | 11.7% | 206 |
| 2 | Texas | 7.8% | 137 |
| 3 | Florida | 7.3% | 128 |
| 4 | Pennsylvania | 5.3% | 94 |
| 5 | New York | 4.7% | 83 |
| 6 | Michigan | 4.5% | 80 |
| 7 | Illinois | 4.1% | 72 |
| 8 | Ohio | 4.0% | 71 |
| 9 | North Carolina | 3.2% | 57 |
| 10 | Georgia | 2.7% | 48 |
% Of Establishments
0%
12%
Source: County Business Patterns, U.S. Census Bureau[3]
SBA Lending Summary
152
Total SBA Loans
$94.7M
Total Loan Volume
$623K
Average Loan Size
14 yrs
Average Loan Term
9.75%
Average Interest Rate
840
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[4]
Key Insight: The SBA[7] classifies Motor Vehicle Parts (Used) Merchant Wholesalers under NAICS 423140 with a size standard of 125 employees. Most salvage yards and used parts distributors operate with relatively small workforces, and the large majority of firms in this industry fall well below the SBA threshold. Qualifying businesses can access SBA lending programs[8] for yard expansion, inventory acquisition, environmental compliance upgrades, and technology investments in electronic parts cataloging systems. Eligible businesses can access SBA 7(a) loans[9] for working capital, equipment, and acquisition financing, while 504 loans[10] support major fixed-asset purchases including real estate and heavy machinery.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Enterprise Bank & Trust | 24 | $44.5M | $1.9M |
| 2 | East West Bank | 8 | $16.0M | $2.0M |
| 3 | Needham Bank | 8 | $8.0M | $1.0M |
| 4 | Bank of America, National Association | 8 | $8.0M | $997K |
| 5 | Lendistry SBLC, LLC | 16 | $7.2M | $451K |
Frequently Asked Questions
Common questions about this industry.
What types of businesses are classified under NAICS 423140?
NAICS 423140 covers merchant wholesalers distributing used motor vehicle parts and establishments that dismantle vehicles to sell the parts. These include auto salvage yards, used parts warehouses, remanufactured component distributors, and online used parts marketplace operators. Per the U.S. Census Bureau[5], about 4,565 businesses operate in this industry across the United States.
How is NAICS 423140 structured within the classification system?
This code belongs to Industry Group 4231 (Motor Vehicle and Motor Vehicle Parts and Supplies Merchant Wholesalers), Subsector 423 (Merchant Wholesalers, Durable Goods), and Sector 42 (Wholesale Trade). It shares Industry Group 4231 with 423110 (vehicles), 423120 (new parts), and 423130 (tires and tubes).
What is the SBA size standard for NAICS 423140?
The SBA[7] sets the size standard at 125 employees for this industry. Businesses with fewer than 125 employees qualify as small businesses for federal contracting set-asides and SBA-backed financing programs.
Which NAICS codes are most closely related to 423140?
Sibling codes 423110 (vehicles), 423120 (new parts), and 423130 (tires) cover other motor vehicle wholesale categories. Recyclable material wholesalers (423930) handle scrap metal from the same dismantled vehicles. Per Census Bureau NAICS references[11], the key distinction is that 423140 covers parts resale while 423930 covers scrap material recycling.
What industries interact most with used auto parts wholesalers?
General automotive repair shops (811111) are the largest customer segment, sourcing used parts as affordable repair alternatives. Body shops (811121) purchase salvaged body panels and glass. Per Bureau of Labor Statistics[6] industry data, insurance companies supply totaled vehicles that become the primary inventory source for salvage operations.
What specific activities are included in NAICS 423140?
Activities include dismantling motor vehicles, cataloging and warehousing reusable parts, distributing used engines, transmissions, body panels, and electrical components, operating core exchange programs for remanufactured parts, selling parts through online inventory platforms, and managing environmental compliance for fluid drainage and hazardous material handling. Per the Census Bureau[5], dismantling vehicles for scrap rather than parts resale falls under NAICS 423930.
Can used auto parts wholesalers access SBA loans?
Yes. Used parts wholesalers with fewer than 125 employees qualify for SBA loan programs[8] including 7(a) loans for inventory acquisition and working capital, 504 loans for yard expansion and equipment, and microloans for smaller capital needs. Environmental compliance upgrades often represent a significant capital investment eligible for SBA financing.
Where are used motor vehicle parts wholesalers concentrated in the United States?
Salvage yards and used parts distributors operate across all 50 states, with concentrations near major metropolitan areas where vehicle density supports higher salvage volumes. States with large vehicle populations including Texas, California, Florida, and the Midwest industrial belt support the highest densities of used parts operations. Rural areas also maintain salvage yards serving local repair markets with limited access to new parts distribution networks.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [5]U.S. Census Bureau census.gov
- [6]Bureau of Labor Statistics bls.gov
- [7]SBA size standard publications sba.gov
- [8]SBA lending programs sba.gov
- [9]SBA 7(a) loans sba.gov
- [10]504 loans sba.gov
- [11]Census Bureau NAICS references census.gov
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