Novelis and Volvo Cars Create Automotive Closed-loop Recycling System

Novelis, the world leader in aluminium rolling and recycling, emphasized its commitment towards shaping the future for mobility at today’s Volvo Cars Sustainability Dialogue 2019 in Gothenburg, Sweden by highlighting the closed-loop recycling system it implemented with Volvo Cars in 2019. Through the closed-loop system, the companies work together to take back Volvo’s production scrap which allows for significant CO2 saving and minimizes the primary aluminium input. This reduces the CO2 footprint of the aluminium sheet delivered to Volvo Cars by 78% and secures that their production scrap remains in the value-chain and is transformed in the same high-quality products infinitely.

Closing the loop also involved introducing greener logistics: Shifting transportation of the aluminium sheet from road to train reduces the CO2 emissions related to transport by 68%.

The collaboration reflects the companies’ long-term partnership with sustainability at the core of both businesses and a strong focus on implementing sustainable manufacturing processes along the value chain. This is also demonstrated through operating ethically and responsibly, protecting the health and safety of our people, developing our employees and contributing to the communities where we operate.

“We are very proud of the closed-loop recycling system we introduced with Volvo Cars. As the global leader in aluminium recycling, Novelis has pioneered the biggest automotive closed-loop recycling systems in the world. In this way, we are reducing our dependence on primary aluminium and creating a more efficient and sustainable business model for us and our customers,” said Michael Hahne, Vice President Automotive at Novelis Europe.

Transforming the business model from a traditional linear approach to a closed-loop one enables Novelis to accelerate and multiply the sustainability potential of aluminium as a lightweight, infinitely recyclable metal and to dramatically reduce the embedded carbon in the products.

Novelis has made significant progress toward increasing the use of recycled aluminium and thus minimizing the use of natural resources and reducing CO2 emissions across the value chain, from 33% overall recycled content in fiscal year 2010 to 61% in fiscal year 2019. Moving forward, Novelis will not only continue to develop recycling-friendly aluminium solutions but will also capitalize on the growing source of recycled aluminium from end-of-life vehicles.

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