ReAutoLoop Innovations | Aiding Compliance with EU ELV Regulations: Topcentral®'s Automotive Recycling Supply Chain Solution Garners Attention

With the tightening of global environmental regulations, particularly the comprehensive implementation of the new European Union End-of-Life Vehicles (ELV) Regulation, the automotive industry's demand for sustainable materials has surged. At the 2025 Highly-Functional Plastic and Composites Expo in Tokyo, Ningbo Topcentral New Material Co., Ltd.'s ReAutoLoop Innovations – an innovative solution for the automotive recycling supply chain, focused on ELV-sourced Post-Consumer Recycled (PCR) materials – became a focal point for Japanese automakers and suppliers. Its core strengths in compliance, high performance, and stable supply capacity were highly favored.

  Topcentral®'s Three Core Competencies for ELV-Sourced PCR Materials

At the Tokyo exhibition, Topcentral® highlighted three core competitive advantages of its ELV-sourced PCR materials:

• Outstanding Performance:

  Ensuring that PCR materials consistently meet rigorous automotive-grade standards in terms of performance, odor, and VOC (Volatile Organic Compounds) is crucial for application safety. Topcentral's produced materials, such as rPP and rPA, meet automotive-grade standards in heat resistance and mechanical strength. This provides a strong guarantee for the safety and reliability of vehicles, satisfying the strict material performance requirements of automotive manufacturing.

• Closed-Loop Traceability System:

  Recycling plastics from End-of-Life Vehicles has long been a challenge, with the current recycling rate being less than 20%. The ReAutoLoop Innovations scheme achieves a sustainable, innovative, and collaborative closed-loop ecosystem for automotive recycling and circularity, connecting the entire chain from Consumer → Recycler → Dismantler → Processor → Brand Owner → Consumer. Through the Back2Circle® traceability platform, Topcentral ensures transparent, end-to-end management from ELV collection, sorting, modification, to the final pelletized product. This guarantees that materials comply with ELV regulations regarding source and composition. In the future, this system is designed to integrate with the original intent of the DPP (Digital Product Passport/CarbonID), meeting European regulatory requirements, reducing carbon tax burdens, and enhancing product market competitiveness.

• Scaled Supply Capacity:

  Leveraging China's vast automotive recycling network, Topcentral® can stably supply multiple categories of ELV-recycled plastics. These cover a wide range of application scenarios, including interior parts (instrument panels, door panels), exterior parts (bumpers), and functional parts (battery casings).

  MobilityCircles Solution: A Comprehensive Blueprint for the Future

In addition to the ELV-focused materials, Topcentral® also presented its MobilityCircles Solution at the exhibition. This scheme goes beyond traditional petrochemical material supply models, aiming to provide a full-lifecycle material circulation system—from design, usage, and recycling to regeneration—for the entire automotive and mobility value chain. It seeks to build a closed-loop ecosystem: "Recycling - Regeneration - Modification Design - Parts - Product - Brand - Consumer - Recycling."

The solution integrates advanced material circular technologies like iCircularALL®, BgDAT® Big Data, AiDetect® AI, TraceBytes™ Blockchain, and Lock2Bytes®, along with industry ecosystem design and business model innovation. This provides a clear and visible roadmap and blueprint for the sustainable development of the mobility industry.

  Global Policy Trends and Market Outlook

Beyond the EU ELV Regulation, governments in Japan, South Korea, and China are actively planning, promoting, and investing in recycling infrastructure and industry ecosystems. They are fostering greater collaboration among automakers, dismantlers, and recyclers.

Forecasts indicate a stepwise increase in the supply of recycled plastics from End-of-Life Vehicles in Japan: projected to reach 21,000 tons per year by 2030, increase to 157,000 tons by 2036, and hit 200,000 tons by 2041. It is anticipated that increasingly positive and clear policy guidance will emerge, offering more innovative solutions and possibilities for the automotive industry to achieve closed-loop, green, low-carbon circulation and carbon neutrality.

  Industry Recognition and Collaboration

During the exhibition, Topcentral®'s innovative solutions captured the attention of numerous clients across the automotive industry. Multiple automakers and upstream/downstream partners actively engaged with Topcentral for multi-dimensional, multi-topic, and multi-exploration discussions on collaboration and project implementation plans. They jointly explored and validated a feasible "Three-Pillar" driven reform and innovation model: Enabling Sustainable Technology Innovation, Driving by Policy and Regulation, and Gaining Consumer Market Acceptance. This heralds an exciting future for both the industry and consumers.