Application of circular economy principles in a automotive industry chain

Abstract

The economic model applied predominantly at a global level is linear, which operates through extractivism. In this model, the potential of the environment to regenerate due to resource consumption and waste generation is not fully considered. In this context, the Circular Economy emerges as an alternative for promoting new business models and forms of consumption that respects the recovery capacity of the environment., decoupling economic development from the increase in consumption of natural resources through the circularity of materials. One of the pioneering Circular Economy structures in scientific publications is called Butterfly Diagram, which has three principles and two different forms of circularity, which are biological and technical. Within the industrial context, there is the automotive sector, which traditionally practices a linear economy, consuming natural resources and generating a large amount of waste. On the other hand, the automobile is a product with a high level of recyclability, bringing great potential to the sector for implementing Circular Economy practices. The objective of this research is to identify and analyze existing circularity practices in an automotive industry, also verifying how they can be framed within the Butterfly Diagram. The research method used was a case study of a commercial vehicle manufacturer, with incorporated analysis units. The sources of evidence were semi-structured interviews, direct observation, documentary research and archive records. The research results show that Circular Economy practices already exist in the sector studied, mainly in after-sales processes. The evidence also makes it possible to propose new hierarchies for the technical cycle of materials in the Butterfly Diagram, dividing maintenance into preventive and corrective, and recycling into upcycling and downcycling.