We do this here in the US too. Grey market cars that are imported and don't meet US emissions get crushed. People caught street racing have had their cars impounded and crushed. It's just to make a show.
I have also heard big box retailers (i.e. Best Buy) will destroy unsold items to discourage employees from purposefully hiding or down-selling things in the hope they can grab it for cheap or free.
Though a lot of places will unload these items to wholesalers or discount retailers, and some gets donated to clothing charities. It goes through a few steps first.
Makes me unbearably sad we're such a wasteful species.