Renault Group: The Future Is NEUTRAL: The circular economy is
stepping into a new era!
The Future Is NEUTRAL: The circular
economy is stepping into a new era!
- Renault Group is creating
The Future Is NEUTRAL, the first company operating across the
entire automotive circular economy value chain,
aiming at moving the automotive industry
towards resource neutrality.
- Bringing together all the
existing expertise of the group and its partners in this activity,
this new entity offers closed-loop1
recycling solutions at each stage of a vehicle's life:
supply of parts and raw materials, production, use and end of
life.
- With the objective
of the business portfolio
reaching a
turnover2 of more than
2,3 billion euros and an operating margin
of more than 10%
by 2030, The Future Is NEUTRAL
aims to become the leader in industrial and European scale of the
closed-loop automotive circular economy, at the service of car
manufacturers as well as the entire industry.
- Renault Group is thus
taking another step forward in its historic commitment to the
circular economy.
Boulogne-Billancourt, October 13,
2022 – Today, Renault Group announced the
creation of a new entity entirely dedicated to the circular
economy: The Future Is NEUTRAL. By bringing
together the existing industrial and technological
expertise and assets of the group and its partners under a
new brand, The Future Is NEUTRAL is the first company to
operate across the entire automotive circular economy value chain,
and is aimed at all players in the automotive world, beyond Renault
Group.
In a context of energy transition marked by the
scarcity of resources and inflation in the price of raw materials,
this entity will develop more technological and industrial
solutions thanks to the expertise of its subsidiaries and its
network of partners already operating. It will enable the
automotive industry to significantly increase
the proportion of recycled materials from the automotive
industry in the production of new vehicles. Today, a new
vehicle contains only between 20 and 30% recycled materials from
all industries.
In the short term, the entity aims at growing
its existing businesses with a dedicated business model and
developing new opportunities with the automotive industry.
With the objective of the business portfolio reaching a
turnover of more than €2,3
billion2 and an operating
margin of more than
10%2 by
2030, The Future Is NEUTRAL aims to be the industrial and
European leader in the closed-loop automotive circular economy.
Finally, in order to accelerate its development
and strengthen its leadership in a fast-growing market, The Future
Is NEUTRAL is opening up a minority of its capital to
outside investors with a view to co-financing
investments of around €500 million until 2030.
Luca de Meo, CEO of Renault Group, said: “Today
we are taking another step in our historic commitment to the
circular economy. Our subsidiaries Gaia, Indra and Boone Comenor,
as well as the Refactory in Flins, have already demonstrated our
ability to generate activities that create economic, social and
environmental value throughout the vehicle life cycle. Based on
this experience and convinced of the potential of these activities,
we are accelerating and creating The Future Is NEUTRAL, which
brings together all our industrial and technological assets, as
well as our network of strategic partners. Its mission: to grow its
business with ambitious strategic plans and new outlets by offering
the automotive industry, faced with the climate challenge, new
regulatory requirements and increasing pressure on resources,
closed-loop recycling solutions, i.e. from car to car. Our ambition
is to bring recycling into a new era and become the European leader
in the automotive circular economy.”
****
“From car to
car”: the car as
a raw material
Every year in Europe more than 11 million
vehicles, made up of around 85% recyclable
materials, reach the end of their life. However, this
resource is under-exploited: new vehicles are made up of only
20-30% of recycled material, from all industries. Today, the
recyclable material from end-of-life vehicles is mostly recovered
for other industrial applications (metallurgy, construction, etc.).
The objective of The Future Is NEUTRAL is to maintain the
value of parts and materials for as long
as possible and to enable the industry to achieve a much
higher rate of recycled automotive materials in the
production of new vehicles.
Jean-Philippe Bahuaud, CEO of The Future Is
NEUTRAL, explains: “In the automotive sector, the first
under-exploited resource is the car itself, which is made up of
more than 85% of metals and plastics. The Future Is NEUTRAL brings
together the expertise to convert this potential into new growth
levers. This new entity aims to push the automotive industry
towards resource neutrality, extracting from each vehicle the
largest possible amount of material needed to manufacture a new
model.”
The Future Is NEUTRAL's
expertise
The company's strength lies in its ability to
mobilise a network of subsidiaries and partners to collect parts,
materials and batteries throughout the automotive
lifecycle, from scrap cars, factory rejects and garages.
Thanks to this ecosystem, The Future Is NEUTRAL is developing
circular economy loops at each stage of a vehicle's life,
from the production phase to the use and end of life of
vehicles.
In concrete terms, The Future Is NEUTRAL relies
on its subsidiary Gaia, whose battery repair,
parts collection and reuse, and recycling of materials from
end-of-life vehicles (ELVs) are based in Flins. Also located at the
heart of the Flins Refactory, the renovation of
mechanical and mechatronic parts, as well as the future vehicle
dismantling line, aim to supply these circular flows. With its
reference partner Suez, the entity also owns two companies:
Indra3, the leader in ELV
treatment in France, with more than 370 approved centres, and
Boone Comenor4,
an expert in the recycling of metal scraps from industry5.
Alongside industrial partners, The Future Is
NEUTRAL aims at becoming a future European leader in
closed-loop battery recycling, in line with regulations,
and attractive to other car manufacturers by leveraging a
world-class industrial process in terms of yield and purity to
ensure the required level of recycled content in their batteries at
the best cost. To develop Europe's first closed-loop battery
recycling offer, the entity relies on Europe's largest fleet of
electric vehicles6, high-content chemistry7 and capitalises on
INDRA's expanding network to assist in battery collection and
GAIA's expertise in battery diagnosis. Finally, The Future Is
NEUTRAL will also work with its battery manufacturer partners, such
as Verkor, to pool their end-of-life batteries with production
waste.
To carry out its activities, The Future Is
NEUTRAL relies on a wide range of technical skills, from
advanced engineering and chemistry to the use of
data, which it places at the heart of its business model
to optimise the economic and environmental performance of its
solutions.
The Future Is NEUTRAL also offers the automotive
industry a consultancy service, as well as
training dedicated to the circular economy, with
the support of the Circular Mobility Industry (ICM) campus based in
Flins, as part of the group's ReKnow University.
www.thefutureisneutral.com
****
About Renault GroupRenault
Group is at the forefront of a mobility that is reinventing itself.
Strengthened by its alliance with Nissan and Mitsubishi Motors, and
its unique expertise in electrification, Renault Group comprises 4
complementary brands - Renault, Dacia, Alpine and Mobilize -
offering sustainable and innovative mobility solutions to its
customers. Established in more than 130 countries, the Group has
sold 2.7 million vehicles in 2021. It employs nearly 111,000 people
who embody its Purpose every day, so that mobility brings people
closer. Ready to pursue challenges both on the road and in
competition, Renault Group is committed to an ambitious
transformation that will generate value. This is centred on the
development of new technologies and services, and a new range of
even more competitive, balanced and electrified vehicles. In line
with environmental challenges, the Group’s ambition is to achieve
carbon neutrality in Europe by 2040.
https://www.renaultgroup.com/en/
RENAULT
GROUP INVESTOR RELATIONSPhilippine de
Schonen / +33 6 13 45 68 39 /
philippine.de-schonen@renault.com |
|
|
RENAULT GROUP PRESS CONTACTAstrid de Latude
/ +33 6 25 63 22 08 / astrid.de-latude@renault.com |
|
|
Juliette Faucon / +33 7 89 27 09 92 /
juliette.faucon@renault.com
1 Closed loop: i.e. from the car to the car.2 Total Scope, Sum
of the Parts.
3 Indra is a joint venture owned 50% by Renault
Group and 50% by Suez.4 Boone Comenor is a joint venture owned 33%
by Renault Group and 67% by Suez.5 In 10 years, the activities
developed by the Gaia, Indra and Boone Comenor subsidiaries have
already made it possible to recover 14 million tonnes of steel, the
equivalent of more than 17 million vehicles, a year's production in
Europe, and 12,000 tonnes of plastics and copper, enough to supply
one year's production of Renault Megane in polypropylene. 6 900,000
Renault and Nissan electric vehicles on the road by 2022. 7
Chemicals rich in nickel, manganese, cobalt and lithium.
- Press Release - Renault Group - The Future Is NEUTRAL
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