I've had very good luck on multiple cars with the following:
- 400 grit sandpaper wet sand
-- rinse with water
- 800 grit wet sand
-- rinse with water
- 1200/1500 grit wet sand
-- rinse with water
- 2000 grit wet sand
-- rinse with water
- Get a terry cloth towel (I used a 12" x 12" one), get it wet, but not dripping wet, put a BIG blob of plain toothpaste on it (Regular crest works well) and just start rubbing the headlight lens with it. If the toothpaste starts to dry out, spray it with a little water to re-moisten it. Keep doing this until the lens is clear. It takes a little while, but works great
-- rinse thoroughly with water.
- Hit the lens with a good coat of wax / sealant / clearcoat. I have used both paste car wax and a special headlight sealant. Both seem to work well.
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On both cars, I turned yellowing, hazy lenses into nice, clear, clean lenses that lasted for a LONG time without needing any re-application.