Title: Emirates Global Aluminium and Hyundai Mobis Forge Enhanced Partnership for Sustainable Automotive Solutions
In a significant stride toward sustainability and innovation, Emirates Global Aluminium (EGA), one of the world’s largest primary aluminium producers, has announced an expansion of its partnership with Hyundai Mobis, a prominent automotive parts manufacturer. This collaboration aims to increase the supply of CelestiAL solar aluminium, a product crafted using solar power, which significantly reduces greenhouse gas emissions associated with traditional aluminium production.
The genesis of this partnership can be traced back to 2015, when EGA first began supplying aluminium to Hyundai Mobis. Since then, production dynamics have evolved, with EGA currently supplying the automotive giant with 66,000 tonnes of aluminium annually. The renewed commitment between the two companies indicates a forward-thinking approach to meeting the rising demands of both the automotive sector and environmental sustainability.
Under the terms of the newly established agreement, the supply of CelestiAL solar aluminium is set to escalate from 8,000 tonnes this year to an impressive 15,000 tonnes annually by 2026. This increase reflects both companies’ dedication to integrating low-carbon products into their supply chains while addressing the automotive industry’s urgent need for sustainability amid growing regulatory pressures on carbon emissions.
In addition to this immediate supply boost, EGA and Hyundai Mobis are in discussions to explore a long-term agreement beyond 2026. This potential expansion includes the supply of value-added products such as billets—semi-finished aluminium products ideal for further processing—primary foundry alloys, and recycled aluminium. This diversification not only strengthens their business relationship but also aligns with the global shift towards circular economy principles.
Strategically, the partnership will also focus on the development of exclusive new aluminium alloys tailored specifically for automotive applications. These innovations aim to enhance vehicle performance while adhering to the automotive industry’s evolving standards regarding weight reduction and efficiency.
Abdulnasser Bin Kalban, CEO of EGA, articulated the company’s commitment to sustainability, stating, “At EGA, we remain committed to innovation in delivering the highest quality, low-carbon aluminium to our customers.” This statement encapsulates EGA’s dual mission of prioritizing environmental stewardship while achieving operational excellence.
Sun Woo Lee, Senior Vice President and Head of Procurement at Hyundai Mobis, elaborated on the importance of this partnership in navigating the complexities of international environmental regulations. He remarked, “With a partnership with EGA, we will proactively respond to global environmental regulations by establishing a green supply chain using low carbon aluminium.” This forward-thinking approach underscores the necessity for collaboration across industries to address the pressing challenges posed by climate change.
The positive trajectory of EGA’s CelestiAL solar aluminium production showcases the growing commitment to sustainable practices. In 2024, EGA’s production of this innovative aluminium saw an impressive 27% increase, reaching a total of 80,000 tonnes. This figure includes 8,000 tonnes of CelestiAL-R, a variant enriched with recycled material, further solidifying EGA’s dedication to both recycling and sustainability.
As the automotive industry undergoes transformative changes, driven by both consumer demand and regulatory frameworks, partnerships like that of EGA and Hyundai Mobis signify a crucial alignment of business interests toward sustainable practices. The escalation of solar aluminium production is not only a win for both companies but also a vital step toward achieving broader environmental objectives.
In conclusion, this partnership illustrates the growing recognition among industry leaders that sustainable practices are essential for future growth and innovation. As a notable player in the aluminium industry, EGA’s collaboration with Hyundai Mobis highlights a model for others to emulate—pioneering a path toward greener solutions in manufacturing that resonate with a global audience increasingly aware of their environmental impact.
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