SustainEra: Stellantis inaugurates first Circular Economy Hub in Turin
The Stellantis Group has officially opened its so-called SUSTAINera Circular Economy Hub (CE-Hub) at the Mirafiori complex in Turin. The center aims to serve as a focal point for the circular economy, based on the 4R strategy: Reman, Repair, Reuse & Recycle. The goal is to extend the lifespan of parts and vehicles and ensure that they last as long as possible. Once this is no longer feasible, the material from remanufacturing and dismantling of end-of-life vehicles will be collected for recycling purposes and then reintroduced into the production cycle to manufacture new vehicles and parts, the company promotes. The Circular Economy Business Unit is one of the seven high-growth business units announced in the Dare Forward 2030 strategic plan, which aims to generate revenues of more than 2 billion euros by 2030. In its initial phase, the CE-Hub hosts four activities to implement the 4R strategy, with the scope continually expanding:
- Remanufacturing (Reman): Used, worn, or defective components like engines, transmissions, and electric vehicle batteries are disassembled, cleaned, and remanufactured to original OEM specifications without compromising quality. The goal is to offer a sustainable, affordable alternative available under the SUSTAINera label as part of the Stellantis replacement parts offering. The facility aims to handle more than 50,000 remanufactured parts by 2025, with this number expected to rise to 150,000 by 2030.
- Sorting center (Reman, Recycle): An estimated 2.5 million old parts are expected to be incorporated into the remanufacturing and recycling activities of the facility by 2025. This number will rise to 8 million by 2030.
- Vehicle refurbishment (Repair, Reman, and Reuse): Vehicles will be aesthetically and mechanically repaired with new, remanufactured, or used parts and then reintroduced into circulation either through SPOTiCAR, Stellantis' manufacturer-certified used car program, or through the "Stellantis & You, Sales and Services" network.
- Vehicle dismantling (Recycling, Reman, and Reuse): At the end of their lifecycle, vehicles become a valuable resource for parts that are remanufactured, reused, or recycled as material. Specifically, the used OEM parts managed by the CE-Hub are integrated into the inventory of partner B-Parts to complete the SUSTAINera Reuse offering.
By 2038, the group aims to achieve net-zero CO2 emissions with this component as well. John Elkann, Chairman of Stellantis, and Stellantis CEO Carlos Tavares attended the inauguration and opened the center.
“We are industrializing the recovery and sustainable reuse of materials, building new technologies and advanced capabilities, and growing in this area. We know that our commitment to refurbishment, repair, reuse, and recycling not only eases the burden on our planet but also brings financial value to Stellantis and secures our shared future by rapidly reshaping our production and consumption model,” explained Stellantis CEO Carlos Tavares.
John Elkann, Chairman of Stellantis, also sees a rapidly developing industry. He believes it will be a European model for the circular economy in the automotive sector, combining environmental protection with economic development. Stellantis launched the center according to the principles of the circular economy thanks to an investment of 40 million euros. The CE Hub covers a total area of 73,000 m², of which 55,000 m² were reclaimed from a partially unused facility. The group has recycled more than 5,000 tons of metal from outdated installations. The equipment and machinery for the facility were taken from other locations, resulting in savings of 55 percent compared to purchasing new machinery and equipment. The site currently employs 170 highly qualified staff. This number is expected to rise to approximately 550 by the year 2025.
Diverse Activities for More Climate Friendliness in the Automotive Sector
The Circular Economy Hub is meant to support the company's large ambitions regarding the goal of climate neutrality. In particular, it highlights:
- the partnership with Orano for the pre-treatment in the recycling process of EV batteries to recover cobalt, nickel, and lithium from end-of-life vehicles and waste from gigafactories
- the founding of the joint venture SUSTAINera Valorauto SAS with Galloo for the disposal of end-of-life vehicles
- the collaboration with Qinomic for the electric retrofitting of light commercial vehicles. The prototype will be showcased until November 25 at the Solutrans fair on the Euroexpo grounds in Lyon (France)
- the establishment of strategic partnerships to secure raw materials for EV batteries and the planning of six gigafactories in Europe and North America; as well as the opening of the first battery technology center in the Mirafiori complex for the internal testing and development of EV batteries.
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