The Business Case for Circular Economy in the Car Industry
Driving Ambitions
Published: May 18, 2022
The circular economy approach enables automotive companies to increase revenues per vehicle by 15-20 times the sales price and significantly improve profitability by maximizing lifetime performance.
This report puts forward the business case for a circular economy in the automotive industry. Circularity requires co-innovation, partnership and data transparency among automotive companies to align on a shared vision of industry-wide circularity and unlock new value pools. The report lays out key components of the circular economy, providing a direct roadmap for strategic transformation and detailing in-depth research on the business potential of a fully circular value chain.
The report was developed by the Circular Cars Initiative – a partnership formed by WBCSD and the World Economic Forum – in collaboration with Accenture.
