Spoke to the machine shop and the guy said that he can salvage the so called "spacer".

waiting for the axle to then play with the clearance, should be .05-.20mm That is tight!!!

Javy

Axle work is one of the hardest things to get right on a vehicle far from a no-brainer... One of the most misunderstood parts of motorsports... You need to find someone who understand how they work ...What is this hack saying is the 'ring' ..If its a press ring you never reuse it ,,The axle could come out of the vehicle ... Theres a press ring on early Mitsu's and screw ring on all later Mitsu's ...Not sure when the change was ..I have decades of axle work under my belt but Mitsu dont die so I'm not sure when the press and screw ring came and went on years ...

Yes the preload is tight ...If a TRB is run in oil its preloaded ...If a TRB is ran in grease its ran at "0" preload or .05mm NOT PRELOADED...You must pull each side wheel and brake drum off to set preload .. You need to give each side of the axle shaft a whack with a hammer to set preload and seat the axles ......If its to tight it will cook (as you have done ) ...If its to loose it will spit oil...This axle loads each axle shaft at the 'block' in the diff... If the bearing is installed 'right' on the axle shaft it "should' go back to the OEM setting with the OEM shims .."Most of the time" ..To find a good Gear Shop around you ask the Toyota guys they replace axle bearing like underware ..Toy axle are a POS ... Axle work is very hard to put into writing on the web ..I hope you understand what I'm saying ..And I'm not trying to be a dick about it ,,,

I just jumping o here without reading whole thread. I put a Gen 2 LS LSD axle in my Gen 1 V6 model so I've got some leftover parts on the shelf for my original axle I don't need.. On impulse many years ago I bought rear axle parts cause I had a small leak and was gonna have mech. just replace everthing. He just used a skinney rubber ring and tat stoped it. He also said he didn't want to mess with that wierd nut on the gen1 axle even if it needed a bearing. It had one has a special nut on the axle, my gen 2 has a pressed on collar around the axle that has to be cut off to do the bearing. I'm glad these axles are tough cause i wouldn't want to deal with that.
So,
I have a NAPA (German made) bearing and a new OEM shim or 2, and shimms off my old axle I had to cut up to haul off.
If you can't find or need some of these parts let me know. There just gathering dust here.