A new law to promote car recycling that will take effect in January has already fueled competition and led to greater cooperation among Japanese automakers.

While competing to introduce environmentally friendly and easily recyclable models, carmakers have teamed up to increase the efficiency of their recycling operations.

"The law has spurred businesses to compete in two stages: the developing stage, to minimize the volume of waste, and the disposal stage," to maximize recycling, said Toru Tohata of Nissan Motor Co.'s recycling promotion department.