The adoption of circular economy practices combined with accelerated electrification in the automotive industry has the potential to reduce carbon emissions by up to 75% and consumption of non-circular resources by up to 80% per mile. by 2030, according to a report from Accenture, the World Economic Forum and World Business Council on Sustainable Development.

The report “Raising Ambitions: A New Roadmap for the Circular Automotive Economy” is based on Accenture analysis which finds that demand for mobility – in terms of passenger-miles and expected vehicle fleet – is expected to increase by 70 % in the world by 2030. The automotive industry can prepare for this demand, while decarbonizing to help limit global warming to less than 1.5 ° C, achieving circularity through the prism of energy, water, waste, materials, lifespan and use of vehicles.

“Circular cars will be a key component in meeting the growing demand for mobility, while reducing resource consumption and carbon emissions to a truly sustainable level,” said Axel Schmidt, senior managing director of Accenture who heads his automotive industry. industrial group in the world. “While many automakers have already set net zero carbon neutrality targets, the roadmap for automotive circularity must be a central part of this transformation and ambition.”

According to the report, circularity in the automotive ecosystem can be accomplished through four key transformation pathways:

Achieve net zero carbon emissions throughout the vehicle lifecycle (e.g. low carbon materials and assembly, energy grid integration), enable resource recovery and close material loops (e.g. end-of-life disassembly and reverse logistics, electric vehicle battery recycling), increase the life of the vehicle and its components (e.g. subscription ownership, large-scale reuse and reconditioning) and ensure efficient use of the vehicle at over time and occupation (eg vehicle / mobility on demand).

“The circular car is fast becoming a central part of the automotive future,” said Christoph Wolff, global head of mobility and member of the executive committee of the World Economic Forum. “Companies in the sector need to think about how technology and business levers can maximize the value of the car’s resources, minimize life cycle emissions, and open up new opportunities along the value chain.”