German automotive behemoth BMW Group has announced that it will start sourcing sustainable aluminium from Anglo-Australian mining giant Rio Tinto in 2024, an agreement which is set to save around 70% of CO2 emissions compared to conventionally manufactured aluminium.
The BMW Group announced on Tuesday that it had signed a memorandum of understanding (MoU) to source aluminium with significantly reduced CO2 emissions from RIO Tinto’s hydro-powered operations in Canada, starting next year.
Aluminium provided to BMW will be made using Rio Tinto’s Elysis process, the world’s first carbon free smelting technology for aluminium. The Elysis process was developed by Alcoa, one of the world’s largest producers of aluminium, and formed the basis for the launch of the eponymous joint venture between Alcoa and Rio Tinto, launched in 2018.
Elysis is in the process of scaling up its supply chain and production abilities, but aluminium used during the Elysis research and development stage has already been used by Apple, ABInBev for Michelob Ultra cans, and Audi for the wheels on its eTron GT.
BMW’s new agreement with Rio Tinto will see low-carbon primary aluminium from Rio Tinto’s hydro-powered operations in Canada, combined with recycled content, used in the production of vehicles at the company’s production plant in Spartanburg, South Carolina.
Credit: Rio Tinto
“We have clear goals for lowering CO2 emissions in the supply chain,” said Joachim Post, member of the board of management of BMW AG responsible for purchasing and supplier network.
“By using innovative materials, we can reduce our vehicles’ carbon footprint – even before handing them over to customers.
“The agreement to supply low-carbon aluminium is based on several pillars: in addition to hydroelectric power and a high percentage of secondary material, we also want to lead the automotive industry by ramping up our use of aluminium with no direct CO2 emissions from the smelting process.”
Rio Tinto and BMW Group will also work to deploy the former’s new standard in transparency, traceability, and provenance for the aluminium industry, known as START, which will provide supply chain traceability to customers and consumers with information about provenance and ESG standards.
“Rio Tinto’s world-leading position in responsible aluminium production means we can offer innovative solutions to our customers on their decarbonisation journey toward net zero,” said Alf Barrios, Rio Tinto chief commercial officer.
“As global demand for responsibly sourced materials continues to grow, automakers are increasingly looking to partner with suppliers who share their commitment to traceability and sustainability.
“Rio Tinto is proud to play a role in helping to drive a greener future in the premium car industry through this partnership with the BMW Group and we look forward to deepening our ties with the automotive industry in the years ahead.”
Joshua S. Hill is a Melbourne-based journalist who has been writing about climate change, clean technology, and electric vehicles for over 15 years. He has been reporting on electric vehicles and clean technologies for Renew Economy and The Driven since 2012. His preferred mode of transport is his feet.
