By Mandar Bakre on Friday, 24 November 2023
Category: Buzz

Stellantis opens Circular Economy Hub to recycle and reuse old EVs, batteries

Stellantis, the world's fourth largest automaker, has officially opened its SUSTAINera Circular Economy Hub at the Mirafiori Complex in Turin, Italy, months after opening a battery technology center in the same complex.

The hub's primary objective is to extend the life of Stellantis vehicles and auto parts, and the company said it had a comprehensive plan for its circular economy ambitions, based on a 360-degree approach deploying the 4R's: Remanufacture, Repair, Reuse, and Recycle. At end of life, the vehicles are stripped down and parts collected for recycling via remanufacturing, during which they are used to build new vehicles and parts. 

In addition, Stellantis noted the hub will also complement its recent moves to strengthen its global electrification ecosystem and become a net zero emitter by 2038. These include: 

Stellantis forecasts the hub will generate efficiencies and synergies among its activities and help vertical integration of materials and processes. The Circular Economy Business Unit is one of seven accretive business units announced in its Dare Forward 2030 strategic plan, and Stellantis has hiked its 2030 revenue target from recycling operations to more than €2 billion.

The company said it took a circular economy mindset in setting up the hub. It occupies a total area of 73,000 square meters, of which 55,000 square meters were recovered from a partially unused facility. In the process, the company said it recycled more than 5,000 tonnes of metal from obsolete assets. The equipment and machinery used in the facility was repurposed from other locations, which saved the company 55 percent in new machinery and equipment purchases.

John Elkann, Chairman of Stellantis, and Carlos Tavares, CEO of Stellantis, attended the ribbon cutting and inaugurated operations. In a statement, Tavares said: "We are industrializing the recovery and sustainable reuse of materials, building new technologies and advanced capabilities as we grow in this area. We know that our commitment to remanufacturing, repairing, reusing and recycling will not only take pressure off our planet, but it will also bring financial value to Stellantis, safeguarding our shared future as we quickly transform our production and consumption business model."

Stellantis said the hub – which entailed an investment of €40 million – would initially host four activities based on the 4R strategy, but the scope was set to expand in the coming days:

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