Light weighting by material substitution is a key to reducing GHG emissions during vehicle operation. The GHG benefits are a salient factor in selecting lightweight materials for vehicles. Although the literature has performed lightweight material selections using GHG benefits under product- and fleet-based life-cycle inventory (LCI) analyses, recycling effects have therein been accounted for by arbitrarily selecting allocation methods for recycling, as the consensus on their selection is absent. Furthermore, studies have mistreated the temporal variations of the LCI parameters (the dynamic inventory (DI)), though that could be an important factor affecting the overall LCI results when allocation methods for recycling are in place. Therefore, to investigate their influence on greenhouse gas (GHG) benefit evaluations, an LCI case study was conducted, centered on aluminum- and magnesium-substituted internal combustion engine vehicles (ICEVs) at the product- and fleet- levels. “CO2 savings” and the “CO2 payback time”, as well as four allocation methods for recycling, were considered to represent the GHG benefits and address the recycling effects, respectively. The dynamic inventory was based on the world average electricity grid mix change. The results indicate that changing the conditions of the DI and the allocation methods for recycling could alter the better performing material under fleet-based analyses. Therefore, we ascertained that the choice of the allocation method for recycling and conducting fleet-scale dynamic LCI analyses in the presence of the DI is pivotal for material selections.