ICM: Please give us an overview of the Stellantis Group’s Circular Economy strategy?

Alison Jones:
Stellantis’ Circular Economy business unit is one of the seven business units highlighted by Stellantis in its Dare Forward 2030 strategic plan. The business, which is based on our 4R strategy – Reman, Repair, Reuse and Recycle – has ambitious objectives which will contribute greatly to the Company’s overall ambition to reach its carbon net zero target by 2038. Our Circular Economy business is growing and Stellantis is investing; for example in November 2023, we inaugurated our first Circular Economy Hub in our Mirafiori plant in Turin in Italy, an excellence centre aimed at industrialising the recovery and sustainable reuse of parts and materials. The Circular Economy business has a key role in the Group’s future success.

ICM: You were appointed Senior Vice President, Global Circular Economy Business Unit of Stellantis in June 2022. How do you approach this new role after your career in many different disciplines in the automotive industry? (VW, Abarth, Alfa Romeo, Citroën, DS Automobiles, Fiat, Fiat Professional, Jeep_, Peugeot, Managing Director UK PSA Group …)

Alison Jones:
My 30 years in strategic and operational roles with many different automotive brands and economic environments have given me a good overview of where this industry is going and helped prepare me for this critical next step. Being in charge of all aspects of Circular Economy for the Group worldwide requires a cradle-to-grave approach, which covers working with the designers and engineers to support design for circular economy, gaining access to materials – the return of used parts is fundamental in this business – material flow, sales and e-commerce, manufacturing, spare parts, the 4Rs, working with the dismantling network and customers of course. Customer service and focus remains a top priority.

ICM: Tell us more about the 4 Rs – Reman, Repair, Reuse, Recycle, how is Stellantis different?

Alison Jones:
Remanufacturing is the principal pillar in the 4R strategy in Circular Economy and is where we concentrate much of our innovation. Our target is to reach 40% of recycled and bio-sourced material content by 2030. To help us achieve this we are creating partnerships; in Europe last year we created a joint venture with the Galloo group, SUSTAINera VALORAUTO, to offer a comprehensive solution for the take-back and recycling of end-of-life vehicles. An example in Recycling is the signed Memorandum of Understanding with Orano for a future joint venture for the recycling of EV batteries in Europe and North America and to gain access to the value chain of EV battery materials. In our Mirafiori plant in Turin we have developed a disused part of the factory into an excellence centre using reconditioned equipment. We have retrained our staff to make remanufactured parts because this business requires a different skill set from the traditional automotive manufacturing model. Old material is sorted, dissambled and cleaned, and reconditioned spare parts for the remanufacturing of engines, gearboxes, and high-voltage EV batteries, as well as full vehicle reconditioning and dismantling are all engineered on site. We are also extending the life of our products, designing for the future and staying one step ahead of legislative changes. 

ICM: How will the Circular Economy shape the future of Stellantis?

Alison Jones:
The Circular Economy is very positive for the future of our Group. It takes many forms and drives innovation and change, the first one being a culture change, and this is well underway in the Group already. But above all it has to be profitable and contribute to a sustainable future for the Group.

The Circular Economy business unit has plans for growth and expansion and the target is to reach more than €2 billion in revenues by 2030 as part of the Stellantis’ Dare Forward 2030 strategic plan and decarbonisation target of carbon net zero by 2038. We are on track to deliver this, and to continue to position Stellantis as the reference for sustainable and affordable automotive parts in the years to come.