Stellantis Circular Economy, Continues its Growth Plan
In 2023, the Circular Economy business unit, one of the seven accretive Business Units highlighted by Stellantis in its Dare Forward 2030 strategic plan, demonstrated once again its dynamism, potential and pivotal role within the Company, especially in its goal to become a net zero carbon corporation by 2038.
Stellantis’ Circular Economy business, which is based on the 4R strategy – Reman, Repair, Reuse, Recycle – saw its global sales rise by 18% in 2023, yearon-year. Across the 4Rs, Stellantis’ overall sustainable parts portfolio has grown considerably and now covers 15.2% of customers aftersales needs.
Stellantis’ Circular Economy business is expanding worldwide. In November 2023, Stellantis inaugurated the first SUSTAINera Circular Economy Hub in Mirafiori plant complex (Turin, Italy), which handles the remanufacturing of engines, gearboxes, and high-voltage EV batteries, as well as vehicle – 2 – reconditioning and dismantling, creating a center of excellence aimed at industrializing the recovery and sustainable reuse of parts and materials.
In Europe in 2023, Stellantis created SUSTAINera VALORAUTO SAS, a joint venture with Galloo, to offer individuals and professionals a comprehensive solution for the take-back and recycling of end-of-life vehicles and launched the online service early January 2024 (www.valorauto.com). Stellantis also signed a Memorandum of Understanding with Orano, for a future joint venture for the recycling of electric vehicle batteries in Europe and North America.
In Brazil, SUSTAINera won the Automotive Business Award 2023 in the ESG Category. This award honors innovative forward-thinking companies that make a positive impact on the automotive and mobility sector.
Remanufacturing At The Heart Of Stellantis’ Circular Economy Success
Remanufacturing is the principal pillar in Stellantis’ 4R strategy in Circular Economy. With sales up by 14% in 2023, the SUSTAINera label once again proved its ability to meet the growing demand for sustainable and affordable automotive parts.
In 2023, SUSTAINera expanded its range of remanufactured parts to 38 product lines, thanks to the introduction of the first remanufactured windshield video camera, developed in partnership with Valeo, and becoming a trailblazer in the remanufactured ADAS product line. In addition, SUSTAINera has extended its offering of remanufactured SCR tanks (Selective Catalytic Reduction tanks) in Europe with 17 additional part numbers fitting many models of the of the Stellantis’ brand portfolio that comply with Euro 6.1/6.2 standards.
In North America, SUSTAINera broadened its range of remanufactured transmissions, expanded to Model Year 21 and HEMI engines, covering the Model Years 2017 up to 2020 and in parallel improved their ability to meet customer demands by developing improved core sourcing opportunities.
2024: Pursue And Speed Up Growth
In 2024, Stellantis’ Circular Economy business unit intends to boost the growth momentum seen in 2023. This growth is supported by extending the range of sustainable parts offer (remanufactured, repaired, reused, and recycled) to satisfy an even wider range of customer needs. A dedicated website has been launched to enhance the SUSTAINera product offer and initiatives awareness.
As part of a global approach, Stellantis will also increase its use of ecopackaging – recycled, recyclable, reusable – introduced in 2023, by making it the norm for all its suppliers in Enlarged Europe, ahead of the 2030 European standards. This policy is also gradually being rolled out in other Regions of the world.
In 2024, Reman will remain a key pillar of Stellantis’ Circular Economy business. In Enlarged Europe and North America, new remanufactured parts will be introduced to the portfolio also including a multi-brand remanufactured offer enabling us to provide an affordable solution to a wider customer base.
