Hyundai Mobis is focusing on creating a sustainable growth foundation through its circular economy strategy. Circular economy refers to an economic model that seeks to reduce various wastes by reusing and recycling resources, while pursuing the coexistence of the economy and the environment.
According to the automotive industry on 22nd, Hyundai Mobis recorded a waste recycling rate of 93% for its domestic business sites last year. This figure represents a significant improvement compared to 77% in 2022. The Hyundai Mobis Changwon plant was recognized in 2022 as the first in the domestic automotive industry by an international verification agency as a 'zero waste to landfill' business site.
Waste recycling is carried out by repurposing materials such as waste paper, scrap metal, and waste synthetic resins into raw materials or fuel. The Changwon plant, which received a gold rating in 2022, obtained the highest rating (platinum) last year.
Hyundai Mobis has officially recognized waste synthetic resin (waste plastics) and waste paper generated at its business sites as circular resources by the Ministry of Environment. This has allowed the company to reduce more than 190 tons (t) of waste annually and simultaneously improve resource utilization efficiency by reusing waste as raw materials. Hyundai Mobis also set a goal to achieve zero (0) waste emissions at all domestic and international business sites by 2030 to realize carbon neutrality.
To reduce carbon emissions, it is also increasing the use of low-carbon materials. Last year, Hyundai Mobis secured approximately 62 billion won worth of 15,000 tons of low-carbon aluminum from Emirates Global Aluminium (EGA), a global aluminum production company. The low-carbon aluminum produced using solar energy has a carbon emission level that is one-fourth that of regular aluminum.
Hyundai Mobis plans to proactively secure low-carbon aluminum to utilize in the manufacture of key components such as chassis in response to the European Union's (EU) carbon border adjustment mechanism (CBAM), which will be implemented in full next year.
The use of eco-friendly packaging materials is also being expanded. Hyundai Mobis is fulfilling its obligations under the producer responsibility recycling system for synthetic resin packaging materials (air caps, vinyl) and lubricants. For existing plastic packaging, the proportion of packaging materials using recycled plastics has increased, and the introduction of eco-friendly paper packaging is also increasing. Last year, the proportion of eco-friendly paper packaging used by Hyundai Mobis was approximately 85%.
Hyundai Mobis is sharing these environmental management activities with its partners. A Hyundai Mobis representative noted, 'While encouraging partners to design, manufacture, package, and transport supplied components in an environmentally friendly manner, we are also emphasizing our collective efforts to establish an eco-friendly system.'