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Circular economy framework for automobiles: Closing energy and material loops

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  • Laura C. Aguilar Esteva
  • Akshat Kasliwal
  • Michael S. Kinzler
  • Hyung Chul Kim
  • Gregory A. Keoleian
Abstract
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 ∼6% renewable life cycle primary energy and 27% recycled materials; for battery electric vehicles (BEVs), these measures are ∼8% and 21%, respectively. On a vehicle‐miles‐traveled basis, BEVs use ∼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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  • Laura C. Aguilar Esteva & Akshat Kasliwal & Michael S. Kinzler & Hyung Chul Kim & Gregory A. Keoleian, 2021. "Circular economy framework for automobiles: Closing energy and material loops," Journal of Industrial Ecology, Yale University, vol. 25(4), pages 877-889, August.
    • Handle: RePEc:bla:inecol:v:25:y:2021:i:4:p:877-889
    DOI: 10.1111/jiec.13088
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    References listed on IDEAS

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    1. Ruchi Mishra & Rajesh Kr Singh & Nripendra P. Rana, 2024. "Digital orientation, digital eco‐innovation and circular economy in the context of sustainable development goals," Business Strategy and the Environment, Wiley Blackwell, vol. 33(4), pages 2752-2770, May.
    2. Chirumalla, Koteshwar & Kulkov, Ignat & Parida, Vinit & Dahlquist, Erik & Johansson, Glenn & Stefan, Ioana, 2024. "Enabling battery circularity: Unlocking circular business model archetypes and collaboration forms in the electric vehicle battery ecosystem," Technological Forecasting and Social Change, Elsevier, vol. 199(C).
    3. Anne P. M. Velenturf, 2021. "A Framework and Baseline for the Integration of a Sustainable Circular Economy in Offshore Wind," Energies, MDPI, vol. 14(17), pages 1-41, September.
    4. Jia Shao & Shuya Zhong & Mi Tian & Yuanyuan Liu, 2024. "Combining fuzzy MCDM with Kano model and FMEA: a novel 3-phase MCDM method for reliable assessment," Annals of Operations Research, Springer, vol. 342(1), pages 725-765, November.
    5. Varbanov, Petar Sabev & Wang, Bohong & Ocłoń, Paweł & Radziszewska-Zielina, Elżbieta & Ma, Ting & Klemeš, Jiří Jaromír & Jia, Xuexiu, 2023. "Efficiency measures for energy supply and use aiming for a clean circular economy," Energy, Elsevier, vol. 283(C).

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