4.6 Article

Circular economy framework for automobiles: Closing energy and material loops

Journal

JOURNAL OF INDUSTRIAL ECOLOGY
Volume 25, Issue 4, Pages 877-889

Publisher

WILEY
DOI: 10.1111/jiec.13088

Keywords

automobiles; circular economy; energy; industrial ecology; materials; sustainability

Funding

  1. Ford Circular Economy Master's Project Fellowship [N025068]
  2. University of Michigan School for Environment and Sustainability
  3. University of Michigan Argonne National Laboratory (ANL Grant) [7F-30052]
  4. University of Michigan Argonne National Laboratory (U.S. DOE Award) [DE-AC02-06CH11357]

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Corporations, including automotive manufacturers, are increasingly exploring extended circular economy strategies to enhance sustainability. A comprehensive circular economy framework for the automotive industry is currently lacking, but research shows that electric vehicles use higher proportions of renewable energy and recycled materials, which can significantly reduce environmental impacts.
Corporations, including automotive manufacturers, are increasingly exploring extended circular economy strategies as a means to enhance the sustainability of their products. The circular economy paradigm focuses on reducing nonrenewable materials and energy, promoting renewable feedstocks and energy, and keeping products/materials in use across the life cycle of a system. As such, life cycle environmental burdens associated with vehicle manufacturing, use, and disposal could potentially be reduced through circular economy strategies; however, no such comprehensive circular economy framework currently exists for the automotive industry. We develop the first circular economy schematic of automobiles, derived from the Ellen MacArthur Foundation's framework. Further, we characterize the current automotive circular economy using metrics of renewable energy and recycled materials. Specifically, for current U.S. average sedans, we find that internal combustion engine vehicles (ICEVs) use similar to 6% renewable life cycle primary energy and 27% recycled materials; for battery electric vehicles (BEVs), these measures are similar to 8% and 21%, respectively. On a vehicle-miles-traveled basis, BEVs use similar to 47% less nonrenewable life cycle primary energy than ICEVs, highlighting the importance of electrification as a strategy for automotive manufacturers to reduce environmental burdens. Our proposed circular economy framework is then applied to Ford Motor Company's sustainability programs and initiatives as an example. This schematic aims to provide a starting point for the automotive industry to operationalize circular economy strategies, the application of which could advance its overall sustainability performance.

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