To move from ambition to reality, there are four main transformation pathways to increase circularity and progress through the levels:
- Energy decarbonization: A complete shift to renewable energy sources in the production and use phase
- Materials circularity: Achieving 100% circular material content (recycled or renewable materials) and end-of-life processing (“same level” recycling)
- Lifetime optimization: Extending vehicle and component lifetimes
- Utilization improvement: Drastically improving use of available capacity
A balanced approach to all four pathways is important. Investing heavily in only one pathway, such as energy decarbonization, misses out on the “low-hanging fruits” of other pathways and might make improvements more costly. Also, the double benefit of improving both carbon and resources efficiency should be appropriately considered—making usage improvements, lifetime extensions and materials circularity ultimately complementary to energy decarbonization.