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InsightsNovember 10, 20266 min read

Sell or Scrap a Used Engine or Gearbox

How to sell or scrap a used engine or gearbox in Australia: running versus core value, cast iron versus aluminium, preparation and what buyers deduct.

Alif
Alif
HomeInsightsSell or Scrap a Used Engine or Gearbox
Sell or Scrap a Used Engine or Gearbox

"Scrap engine" is searched about 30 times a month in Australia, according to Ubersuggest, with "scrap engine prices" about 20 and "scrap engine for sale" about 10. The people searching have an engine out of a car, boat or machine, or a gearbox, and want to know what it is worth. The answer depends on a question many sellers do not ask first: is this engine worth more as an engine or as metal? This guide explains the three kinds of value, why cast iron and aluminium differ, how to prepare an engine and what buyers deduct. The sources are mostly US-oriented pricing guides and marketing pages that disagree with each other, so we give the pattern and no prices. It sits beside our guides to selling a car for parts or scrap and where an old car goes. ScrapTrade runs a scrap marketplace and has a commercial interest in the scrap trade.

Four tiles: about 30 monthly Australian searches for scrap engine, 20 for scrap engine prices, running, core and scrap value, and sources disagreeing on how much more aluminium pays than iron

Running, core or scrap

The guides we read split engines into three groups. A running engine is ready to be installed and used, and sources put its value well above the others. A core is an engine worth something as a component for rebuilding. Scrap is the engine sold as metal. A dealer will generally price a dead engine on weight and the current metal price, and a scrap yard pays a lower price based purely on weight and the going rate for aluminium or cast iron, according to one guide. So the first job is to find out which you have, and the way to do it is to ask a wrecker or a rebuilder before you take it to a yard. A complete engine that is intact can be listed separately as a used or core engine, and one source notes that a complete car with a working engine is worth more than a bare shell.

Cast iron or aluminium

Aluminium usually earns more per kilogram than cast iron, but the sources disagree on how much. One says aluminium engines are worth double what iron engines bring, and another says aluminium trades at a 2 to 3 times premium over ferrous scrap. A third points out that aluminium engines are lighter, so the higher rate per kilogram applies to fewer kilograms. We cannot settle it, and Australian yards set their own rates, so ask. Our guide to scrap aluminium prices explains the aluminium side, as a guide to the metal and not a quote for your engine.

Six steps for an engine or gearbox: decide running, core or scrap, drain the fluids, identify cast iron or aluminium, remove other metals and attachments, get quotes from wreckers and yards, and keep the receipt

Preparing it

  • Drain the fluids. Reputable buyers drain engine oil, fuel, coolant and brake fluid into sealed containers before dismantling a car, according to one source, and a yard may expect an engine to arrive drained. Ask what yours requires.
  • Remove other metals. One source says buyers deduct when they must spend time removing steel bolts, cast iron inserts, oil coolers or other non-aluminium parts from an aluminium engine. Ask before you strip anything, because some parts may sell separately and some buyers prefer the engine whole.
  • Keep the parts that sell. Cylinder heads, alternators, starter motors and radiators have their own markets. Our guides to scrap electric motors and scrap radiators cover two of them.
  • Weigh it. The weight is what a scrap buyer prices.

Gearboxes

A gearbox is a similar question. One guide says part sales typically do not require vehicle titles, which is a US source and not Australian guidance. Gearboxes are usually a mix of aluminium or iron housings and steel gears, and we found no Australian source on how a yard values one, so ask for a quote and tell the yard what it is made of.

Paperwork in Australia

Registration rules differ by state, and a source notes that in NSW, for example, you lodge a notice of disposal with Service NSW when a vehicle is disposed of. That applies to a vehicle and not necessarily to an engine taken out of one, and we did not find a rule for selling an engine on its own, so check with your state transport authority if you are selling a car as well. Our guide to selling an old or unwanted car for cash covers the vehicle paperwork.

Questions to ask a buyer

  1. Is it worth more as a running engine, a core or scrap? Ask a wrecker or rebuilder, not just a yard.
  2. What do you pay by weight, and what do you deduct? Ask for the rate for iron and aluminium separately.
  3. Do you want it drained and stripped?
  4. Do you pay for attachments such as the alternator or the heads?
  5. What identification or records do you need from me?

Where ScrapTrade fits

One engine belongs with a wrecker or a yard, and ScrapTrade is not a parts marketplace. A workshop, a wrecker or a fleet clearing several engines or gearboxes, or sorted aluminium and iron from them, may find the marketplace useful: it costs nothing to list, there is no commission, price and terms are worked out in chat and an accepted bid puts the buyer's 5 percent deposit in escrow. Verified businesses and individuals can sell, and buyers in more than 50 countries bid. Whether whole engines are accepted is something we could not confirm, so ask cs@scraptrade.com.au first.

What we could not verify

  • What any engine or gearbox is worth in Australia. We give no prices.
  • How big the aluminium premium is. Sources conflict.
  • Australian rules on selling an engine on its own.
  • How yards value a gearbox.
  • Whether ScrapTrade accepts whole engines.

Frequently asked questions

Is a scrap engine worth anything?

It is worth its metal by weight at least, and more if it runs or can be rebuilt. We found no Australian price.

Are aluminium engines worth more than iron?

Usually per kilogram, but sources disagree on the size of the gap, and aluminium engines weigh less.

Should I strip the engine before selling it?

Ask the buyer first. Buyers deduct for other metals, but some parts sell separately.

Do I need to drain the engine?

Reputable buyers drain fluids, and a yard may expect it. Ask what yours requires.

Can I list an engine on ScrapTrade?

Verified sellers can list scrap. Ask support about whole engines.

Sources

  1. Ubersuggest keyword data, Australia, queried November 2026.
  2. US-oriented pricing guides, recycler pages and Australian junk-car pages on engine value, preparation and disposal, as summarised in search results.
  3. ScrapTrade website, accessed November 2026.

General information only, not legal or financial advice. Yards and rules vary by state.

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