SIAM Sustainable Circularity Conference Pushes Automotive Circular Economy in India

The automotive circular economy took center stage in New Delhi as the Society of Indian Automobile Manufacturers hosted the 4th International Conference on Sustainable Circularity. The event brought together policymakers, regulators, OEMs, recyclers and technology firms to accelerate India?s shift toward a resource-efficient and low-emission mobility ecosystem. Discussions emphasized coordinated policy action, structured recycling systems and stronger industry collaboration to embed circular principles across the automotive value chain.

Policy Alignment Driving the Automotive Circular Economy

Speakers highlighted that scaling the automotive circular economy requires harmonized regulations, stronger compliance systems and targeted incentives. Government representatives noted that emission reduction, improved fuel efficiency and promotion of cleaner fuels are being integrated into evolving standards. A fitness-based vehicle regulation framework and restrictions on older vehicles in Delhi NCR were reiterated as critical measures aligned with Supreme Court directives.

Nearly 125?130 registered vehicle scrappage facilities are operational under the vehicle scrapping policy, forming the backbone of formal end-of-life vehicle processing. However, documentation gaps, unpaid challans, insurance lapses and pending road taxes continue to limit ELV flow into authorized systems. Addressing these bottlenecks remains essential for improving formal scrappage volumes.

Strengthening ELV Tracking and Compliance

Digital tracking of end-of-life vehicles has improved monitoring and disposal planning, enabling better lifecycle management. Authorities emphasized that enhanced traceability and structured integration of informal recyclers into formal systems will support compliance, transparency and scale. Wider geographic expansion of automated testing stations was also identified as necessary to boost ELV volumes entering regulated channels.

Design, Materials and Recycling Integration

The conference underscored that the automotive circular economy extends far beyond end-of-life recycling. Integrating circularity into vehicle design, material selection and manufacturing processes was presented as a strategic priority. Industry leaders stressed embedding reuse and recover principles during product development to reduce waste and improve secondary material utilization.

Experts from OEMs, suppliers and regulatory bodies discussed closing gaps in traceability, quality assurance and policy clarity. While technological capability in recycling is available, consistent enforcement and stronger collaboration across stakeholders remain critical to achieving full system integration.

Secondary Raw Materials and EPR Frameworks

End-of-life vehicles were described as future reservoirs of secondary raw materials, capable of reducing dependence on virgin resources. Effective extended producer responsibility regulations and enforcement mechanisms were highlighted as essential to strengthening recovery rates and ensuring accountability across the supply chain.

Industry Collaboration and Innovation

Recycling innovations led by startups and established industry players demonstrated how structured ecosystems can improve material recovery efficiency. Participants emphasized that collaboration among OEMs, recyclers and technology providers is central to building a scalable automotive circular economy. Development of registered vehicle scrappage facilities was identified as foundational for structured mobility transformation.

The discussions also highlighted the automotive sector?s contribution of around 7 percent to India?s GDP and its responsibility in supporting the Net Zero 2070 target. Lifecycle-based production strategies, reverse logistics optimization and digital traceability were presented as pillars for long-term sustainability.

Sustainable Mobility Week and Future Roadmap

The conference was held at the India Habitat Centre as part of sustainable mobility week 2026, running from February 16 to 19. During the event, a context paper titled ?Accelerating India?s Transition to an Automotive Circular Economy? was released, outlining strategic pathways for policy alignment and industry execution.

Organizers concluded that advancing the automotive circular economy requires synchronized regulatory action, expanded scrappage infrastructure and deeper integration of circular principles across sourcing, manufacturing and recycling systems. The week will conclude with the 1st International Conference on Automotive Material Compliance and Sustainability, reinforcing India?s commitment to sustainable mobility transformation.