sustainability x Circularity
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Sustainability in business is economic development that meets our needs today without compromising the ability of future generations to meet their needs.
Circularity refers to aspirational closed-loop business practices that optimize product and resource use, minimizing waste across the entire manufacturing and use cycle, thereby emphasizing both sustainability and economic efficiency.
These concepts go hand in hand and resonate deeply with us.
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Urgency and opportunity:
Environmental reality: The auto sector contributes significantly to global emissions (both in manufacturing and use) and consumes vast natural and often finite and limited resources (steel, aluminum, plastics, rare earths). End-of-life vehicles generate millions of tons of waste globally each year.
Regulatory pressure is intensifying, driven by EU directives on end-of-life vehicles, the right to repair, U.S. state-level EPR (extended producer responsibility), and global carbon reduction targets.
Market expectations: OEMs, suppliers, and recyclers are under increasing scrutiny from investors, customers, and partners who want to see credible climate and resource strategies.
Business opportunity: Circularity isn’t just compliance—it creates profitable streams in remanufactured parts, recycled materials, and innovative services (that’s why you’re here, right!?).
Framed simply: the industry either adapts or risks obsolescence.
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We’re on a mission to support indystry pros who want to learn more and promote the innovative work that is already underway.
The toolkit is broad, but here are the key levers:
Design for circularity: Vehicles and components are being designed for easier disassembly, repair, and material recovery.
Materials management: We’re seeing a greater use of recycled steel, aluminum, plastics, and fabrics, as well as the sustainable sourcing of critical minerals.
Extended life strategies: Maintenance, repair, refurbishing, remanufacturing, and reuse of components continues to evolve (engines, transmissions, electronics, batteries).
Recycling innovation: Advanced dismantling, chemical and mechanical recycling for plastics, closed-loop systems for batteries, and metals are a reality.
Business model shifts: We’re seeing more and more leasing, shared mobility, subscription models—where manufacturers retain ownership and responsibility, incentivizing durability and recovery.
Collaboration & standards: Cross-industry partnerships (OEMs, recyclers, dismantlers, policymakers) to harmonize standards, improve tracking (digital product passports), and scale infrastructure are on the rise.
In summary: Circularity in automotive isn’t just “good for the planet”—it’s about resilience. Securing supply chains, meeting regulation, attracting investment, and future-proofing the industry itself. We’re ready if you are.