Audi has established a wholly owned subsidiary that will turn discarded vehicles and components into a source of revenue, with operations scheduled to begin in early 2027.
Called Audi Circular Solutions GmbH, the company will initially sell used genuine Audi parts to private and business customers in Germany and other European markets.
It will subsequently expand into buying used vehicles, arranging their dismantling through specialist partners and recovering materials for reuse in Audi’s supply chain.
The business is intended to reduce dependence on newly sourced raw materials while creating a commercial market for components that can remain in service.
Recycled plastics are among its priorities, with Audi also seeking to secure supplies of secondary raw materials for future vehicle production.
Rather than building an entirely new dismantling network, the subsidiary will work with established European partners.
Its initial dismantling activities will involve vehicles already owned by Audi, including those used internally. Vehicles purchased specifically for dismantling will be added later.
The used-parts operation is also expected to expand beyond Audi components to include parts from other brands.
The move builds on Audi’s earlier MaterialLoop recycling trials, which explored recovering materials from end-of-life vehicles for use in new cars.
It also forms part of parent Volkswagen Group’s wider circular economy strategy, which includes an industrial vehicle dismantling operation at its Zwickau plant in Germany.
Audi said the business would combine material recovery with commercially viable parts reuse, extending its recycling activities beyond pilot projects.
