Aditya Birla Group's subsidiary has shaken hands with automotive circular economy firm The Future is Neutral, an entity of the Renault Group and SUEZ that provides comprehensive circular economy solutions for the automotive industry, covering every stage of a vehicle's life, to drive innovative, sustainable solutions for end-of-life vehicles. The collaboration aims to transform the way decommissioned cars are managed, turning environmental challenges into new business opportunities.
Sustainability is front and centre for the Aditya Birla Group; it's not just a box to tick for them. Novelis, its flagship in the metals sector, is taking real action, aiming for at least 95 per cent recycling in its automotive aluminium operations, speaking volumes about its commitment. By joining forces with The Future is Neutral, the company is backing its sustainability framework with some serious intent.
The two companies are joining forces to boost production of automotive aluminium sheet with at least 95 per cent recycled content, over half of which will be sourced from post-consumer scrap. This particularly aims to establish a solid circular economy model for end-of-life vehicles. By doing this, both firms are helping drive the auto industry toward smarter, more sustainable use of materials. It's a move that's not just good for business, but for the environment, too.
Michael Hahne, Vice President, Commercial, Novelis Europe, noted, "Collaborations with strong partners are essential to unlock higher volumes of high-quality aluminium scrap from end-of-life vehicles."
Also read: Leading the charge in end-of-life vehicle recycling with advanced aluminium recovery: Novelis
Treasure in waste
Climate change isn't just a headline anymore; it's a daily challenge, and companies can't afford to play catch-up. Right now, organisations everywhere are under real pressure to get smart about how to use its resources effectively. Both firms are not just talking a big sustainability game but are also pushing for businesses that can adapt quickly and handle tighter regulations and resource shortages without flinching. It's about betting on innovation, investing in next-gen technology, building unexpected partnerships and shaking up business models to fit this new sustainable economy.
The Group is making serious moves to cement its reputation as India's leader in sustainable business. The firm is at present rethinking waste with the focus of turning what used to be a problem into something that actually drives value. The firms are rolling out fresh ideas in waste management, shifting from the old "use and toss" routine to something much more intelligent and more responsible. This enunciates the firm's forward-thinking play, sharpening its sustainability edge and keeping in sync with global climate goals.
Gains in recycling
Producing aluminium from recycled material uses only about 5 per cent of the energy compared to virgin aluminium production. For Novelis, a heavyweight in sustainable aluminium rolling and recycling, it's an integrated part of its strategy. With its 3x30 vision, its outlook pushes for 75 per cent recycled content use in its products by 2030.
Boosting recycled aluminium slashes energy costs and cuts down on reliance on carbon-heavy, primary aluminium. Novelis is investing in next-gen recycling technologies, growing its scrap collection network and working closely with customers to recapture and reuse aluminium scrap from every part of the supply chain.
Partnership in details
The collaboration between the two organisations is rooted in advancing a circular economy approach, essentially, keeping valuable materials in play across the automotive supply chain and cutting down on waste. The goal here is to establish a strong, competitive supply of automotive aluminium sheet with high recycled content, specifically targeting greater adoption by automakers across Europe.
Novelis currently supplies automakers with advanced aluminium products containing up to 85 per cent recycled material, even for demanding applications like outer body panels. Moreover, this partnership leverages deep expertise in sourcing and separating end-of-life vehicle scrap, paving the way for even higher recycled content in automotive manufacturing. This initiative further aids in reducing the industry's environmental impact in a meaningful way and sets a new standard for sustainable automotive production.
Xavier Kaufman, Chief Business Officer of The Future is Neutral, stated, "The automotive industry is increasingly seeking competitive solutions to source low-carbon aluminium. Our goal is to provide them with circular recycled materials sourced from end-of-life vehicles. The partnership with Novelis catalyses its expertise in automotive circularity to serve the mutual purpose, and position both companies at the forefront of the initiative."
The collaboration between Novelis and The Future is Neutral exemplifies how strategic partnerships can drive circular economy solutions in the automotive sector. By scaling the use of high-recycled-content aluminium, the initiative not only strengthens supply chain sustainability but also sets a benchmark for reducing the industry's environmental footprint.
Also read: Novelis pioneers 100% recycled end-of-life aluminium coils for car bodies
Responses
