Catalytic Converter Thefts Slow
Background
Catalytic converter thefts slow after a dramatic increase as the value of the precious metals within them soared from 2019 to 2022. “Cats” as they are commonly referred to, contain rhodium, palladium and/or platinum, which are some of the most expensive metals by the ounce. Given their relatively easy-to-access location on the underside of vehicles, many unfortunate car owners return to their cars only to find them without this critical component.
Last updated May 2024
What is a catalytic converter and what are they worth?
A catalytic converter aids internal combustion engines in cleaning up their emissions. Essentially, this part of a vehicle helps facilitate chemical reactions that break up harmful pollutants into smaller, less-harmful compounds. More specifically, it burns up unused hydrocarbons and separates nitrous oxides into nitrogen and oxygen.
The precious metals that catalytic converters contain are what allows them to perform these important chemical reactions. Since catalytic converters became widely introduced in the 1970s, platinum has always been the most widely used as it is the most active catalyst. Other metals within the platinum family, such as palladium and rhodium, are also used in catalytic converters, often appealing to automakers for their lesser reactivity when compared to platinum.
With this said, as of February 2023, the least expensive of the three, and therefore most widely used, is platinum.
Each catalytic converter contains maximum 6 grams of precious metals. Therefore, at current platinum prices (as of 7 May 2024) of $32.03 per gram, the maximum that the material within a catalytic converter could fetch is around $190 USD. This amount is often lower if the metals are not isolated, but can also swing much higher if the specific metals inside fetch a higher commodity value.
Legislative measures to reduce thefts
Catalytic converter thefts in many states peaked in 2022, around the time that prices of the precious metals they contain were also at their peak. For more information on the factors influencing precious metal prices, visit this blog post.
As of 2022, lawmakers in 18 states were proposing limits to the sale of catalytic converters in hopes of curtailing the issue.
In Illinois this looked like the following: “individuals seeking to sell a catalytic converter must provide the license plate number of the vehicle, a picture of themselves, a verified name and address, and a signed declaration stating the catalytic converter was not stolen.”.
Similarly, in Rhode Island a June 2022 bill was passed that required businesses to collect certain information from anyone selling a catalytic converter, including the Vehicle Identification Number (VIN) it was removed from, as well as the seller’s photo identification.
Washington state is currently (as of April 2024) working to finalize House Bill 2153, requiring manufacturers to mark catalytic converters with a portion of the vehicle’s VIN, so that they can be traced if detached from a vehicle. This most recent bill is preceded by 2022 legislation that requires purchasers to keep a record of all catalytic converter transactions and to use traceable payment methods in place of cash.
The desire to implement additional legislation around catalytic converters indicates that thefts remain an issue across many states in the country.
Current landscape - catalytic converter thefts slow, but remain an issue
Most news organizations credit the decline in thefts to a combination of stricter enforcement, including major crimes busts breaking up theft rings across the country, and lower metal prices.
Drivers can park their vehicles with greater peace of mind knowing that thefts are on the decline. Some businesses claim that consumers are likely to see insurance premiums ever-so-slightly decline as less thefts lead to fewer insurance claims.
Regardless, remaining aware of where one parks their vehicle and the risks that certain spots can come with is a healthy habit to be in. In the case that precious metal prices recover to 2021/2022 heights, increased vigilance will once again be required by drivers.
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