Circular Economy in the Automotive Industry: a Study on End-of-Life Vehicles Management and Circular Economy Strategies

The circular economy framework takes a different approach on how products are designed, used and disposed of by creating a closed-loop system that optimizes the use of resources. This thesis focuses on End-of-Life Vehicles (ELVs) and their role in the circular economy framework, as the automotive industry faces increasing pressure to reduce its environmental footprint and increase resource efficiency. Due to the presence of valuable metals, polymers, and other materials, all of which are increasingly seen as key resources in the context of urban mining, vehicles that reach End-of-Life (EoL) present considerable potential for material and part recovery. The role of ELVs in the context of circular economy is analyzed by exploring the transition from the ELV Directive (2000/53/EC) to the new proposed ELV Regulation. The research investigates how regulatory shifts impact the management of ELVs, focusing on the integration of these vehicles into circular economy strategies. Additionally, it highlights significant regulatory developments and their expected impacts on the automobile industry. Some of the issues that are analyzed include the challenges related to dismantlability, material recovery, and the efficiency of recycling processes within the context of ELV processing. Among the issues highlighted in this paper, one key issue is the difficulty in achieving higher recycling purity and reuse rates for materials and parts coming from ELVs. Technological limitations, particularly in terms of dismantling and material separation, limit the efficiency of recycling operations. Additionally, a lack of collaboration between stakeholders, such as Original Equipment Manufacturers (OEMs), Authorized Treatment Facilities (ATFs), shredders, and recyclers, further limits progress toward more effective ELV management. Enhancing communication and cooperation among these actors is essential to improve the recovery process and optimize the reuse of materials. The thesis also highlights the importance of reducing impurities in recycled materials, which currently hinder the presence of recycled content in new vehicles. Therefore, investments in advanced technologies are needed to improve the quality of recycled materials. In conclusion, this thesis underscores the potential of ELVs as a valuable resource within a circular economy framework. By focusing on regulatory evolution, industry collaboration, and technological innovation, the research contributes to understanding how the automotive sector can successfully transition towards more sustainable practices.