BMW and PreZero together to drive circularity in the automotive industry

(Picture Linkedin/PreZero)

A strategic partnership between BMW Group and PreZero Deutschland aims to promote the circular economy in the European automotive industry by systematically using end-of-life vehicles as a strategic source of materials. The goal of the collaboration is to establish a viable and scalable business model that can be effectively applied at scale within circular production cycles.

The joint approach combines "Design for Recycling" with innovative recycling processes for plastics, steel, aluminium, and battery raw materials. By leveraging standardised solutions and digital transparency, the two companies will work together to reduce dependence on raw materials while making supply chains more resilient. These factors are considered key drivers for reducing CO2 emissions and improving resource efficiency across the entire automotive value chain.

(Picture PreZero)

The two partners are testing these processes to bring them to industrial maturity and develop new approaches to material flow management. By bridging the gap between automotive development and recycling realities, the goal is to ensure long-term competitiveness through efficient, data-driven resource management.

In concrete terms, the two companies will develop a business model for the recycling of end-of-life vehicles, aiming to recover valuable materials within the production cycle and reduce dependence on raw materials, strengthening the resilience of supply chains. This approach will be structured around three main stages:
- reuse: extending the useful life of components as much as possible;
- recycling: recovering high-quality raw materials, such as steel, aluminium, copper, textiles, and plastics, through innovative processes;
- end goal: reducing the demand for virgin raw materials and promoting decarbonisation.