BMW and PreZero launch closed-loop vehicle recycling partnership

BMW Group has announced a strategic partnership with PreZero, a recycling and disposal operator that's part of the Schwarz Group (which owns Lidl and Kaufland). The collaboration aims to develop a closed-loop vehicle management system across Europe, covering the entire lifecycle of cars.

This initiative applies to all vehicle types, not just electric models. The goal is to establish a sustainable system for reusing and recycling materials, which should reduce BMW's reliance on primary resources and enhance supply chain resilience—particularly important for new vehicles launching in 2026.

The cooperation begins at the design stage. BMW plans to implement Design for Recycling principles more actively, making new models easier to disassemble and reuse. End-of-life vehicles will be treated as sources of strategic materials, with components first reused as spare parts and then recycled into secondary materials and raw inputs.

BMW highlights that advancing the circular economy is a key part of its strategy to cut CO2 emissions and conserve resources. For its part, PreZero has strengthened its position in automotive recycling in recent years, including lithium-ion battery processing.

Overall, the partnership should create a scalable framework for vehicle recycling across the European market.