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Circular economy pathways for decarbonizing aluminum and steel automotive body sheet components in the United States

CSS Publication Number
CSS25-35
Full Publication Date
October 30, 2025
Abstract

Decarbonizing vehicle production is essential to reducing automotive sector emissions. This study quantifies greenhouse gas (GHG) emissions from aluminum and steel auto-body sheet components produced in the US. It evaluates the effectiveness of circular economy (CE) strategies (greater closed-loop recycling of pre-consumer scrap, post-consumer scrap, and increased manufacturing yields) to reduce supply chain emissions across different process technology and electricity grid decarbonization pathways. We combine dynamic material flow analysis (2025–2050) with cradle-to-gate life-cycle modeling to assess production emissions and the potential reductions associated with the CE strategies under frozen, moderate, and aggressive technology and grid decarbonization scenarios. Current emissions intensities are estimated at approximately 12.3 kg.CO₂eq/kg of aluminum and 4.3 kg.CO₂eq/kg of steel sheet embedded in the vehicle. Under the frozen decarbonization scenario and current levels of circularity, annual emissions attributable to US aluminum and steel auto-body sheet supply chains could rise by 54 % and 18 % respectively by 2050. Rapid deployment of the CE strategies can cut these annual emissions in 2050 by 52 % for aluminum and 44 % for steel. However, scrap quality constraints lead to saturation points, limiting these benefits unless addressed. Aggressive deployment of low-carbon production technologies and a low-carbon grid reduces the relative benefit of implementing the CE strategies; however, even under the aggressive technology and grid decarbonization scenario, the CE strategies reduce annual emissions by a further 23 %-54 % by 2050. These findings highlight the urgent need to integrate CE strategies into the sheet metal supply chain to support decarbonization efforts and help meet climate targets.

Co-Author(s)
Mohammadreza Heidari
Yongxian Zhu
Alissa Tsai
Robert De Kleine
Jarod Kelly
Siddharth Shukla
Daniel R. Cooper
Research Areas
Urban Systems and Built Environment
Materials
Energy Systems
Keywords

Industry decarbonization, Circular economy, Recycling, Life cycle assessment, Metal, Vehicles

Publication Type
Journal Article
Digital Object Identifier
https://doi.org/10.1016/j.resconrec.2025.108654
Full Citation

Heidari, M., Zhu, Y., Tsai, A., Keoleian, G. A., Kim, H. C., De Kleine, R., Kelly, J., Shukla, S., & Cooper, D. R. (2025). Circular economy pathways for decarbonizing aluminum and steel automotive body sheet components in the United States. Resources, Conservation and Recycling, 226, 108654. CSS25-35.