Stellantis will invoice more than 2,000 million a year with its circular economy division

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If you want to be CO2 neutral, investing in the circular economy is inevitable. That is one of the conclusions of Carlos Tavares, the CEO of Stellantis, the fourth largest car manufacturer in the world.

In the Dare Forward 2030 plan, the director set out his intention to achieve carbon neutrality by 2038 and to create seven business parks to face the future. The most recent unveiling was the Circular Economy, with which the consortium aims to invoice more than 2,000 million a year by 2030.

In 2021, that figure rose to 528 million, although in the words of the division’s director, Alison Jones, “the benefits go beyond billing, as they enable cost and raw material savings.”

Jones and his team’s strategy is to implement four R’s: remanufacture, repair, reuse and recycle. The first of these will be responsible for 95% of the turnover of the new division.

Essentially, remanufacturing is about rescuing parts, cleaning and rebuilding them with the same characteristics they first came off the assembly line in. According to his calculations
will make approximately 12,000 units available to customers -and their dealers and workshops.

In the case of repairs, the group will create 21 centers exclusively for the batteries of its electric cars, in an effort to recover the materials and put them back into circulation and recycle what cannot. This company will grow significantly from 2030, when zero emissions are abolished.

In reuse, Stellaantis wants to obtain parts in good condition from cars that have reached the end of their life and sell them as such. Jones claimed that in this case, for example, body panels could be recovered. Now the group has 4.5 million units in stock through the e-commerce platform
B-parts.

But especially this strategy
“it makes no sense if the life of cars is not extended”, according to Jones himself. “We have set ourselves the goal of making vehicles more robust and simpler so that they last longer and require fewer resources.”

One consequence of this, however, is that the average age of the fleet will increase, “something that shouldn’t necessarily be a problem when it comes to clean vehicles,” Jones recalls.

The distribution system will be made through regional centers and local operators “striving for maximum efficiency and emissions savings.” In the case of Europe, the person responsible for these operations will be the Italian factory in Mirafiori, the future of which was unknown until now.

Source: La Verdad

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