Circular Use of Resources and Waste Reduction

To address environmental challenges such as climate change, the transition to a Circular Economy (CE) is becoming increasingly important. Our business activities are supported by a wide range of natural capital resources, and we recognize that contributing to the transition toward a circular society through our business operations is one of our key management priorities. Based on this recognition, we are promoting initiatives to reduce the use of virgin raw materials and maximize the residual value of products.

We are promoting global initiatives to maximize resource productivity by reducing waste generation through resource-efficient manufacturing processes and product designs that minimize material loss. These efforts target both primary materials, such as metals and resins, and auxiliary materials, including oils and chemical agents. In addition, we and our domestic group companies have achieved zero emissions (zero landfill waste) at all facilities. Furthermore, in accordance with the “Plastic Resource Circulation Act,” we are advancing initiatives to reduce plastic waste generation and promote recycling and resource circulation activities.

As part of our efforts to maximize the residual value of products, we are actively promoting our remanufacturing business. In particular, many alternators and starters removed from end-of-life vehicles can continue to function effectively after replacement of wear components such as brushes and bearings and appropriate refurbishment. To support this initiative, we have established a recycling network involving customers, service stations (SS), sub-service stations (SSS)^*1, DENSO SOLUTION, and DENSO REMANI. Through this network, used alternators and starters are collected, remanufactured, and shipped with quality assurance based on performance inspections equivalent to those for new products. Today, group companies in North America, Europe, and China are also operating similar remanufacturing businesses, expanding the distribution of remanufactured products globally.

^*1 SS/SSS: Service Station / Sub-Service Station

Number of Remanufactured Products Produced by DENSO REMANI CORPORATION (Japan)
Due to improved durability and extended service life of alternators and starters, the number of units supplied for remanufacturing has been declining. These efforts contribute to solving environmental issues from both the perspectives of resource circulation and the effective use of resources through reduced resource consumption.

We are applying the robotics technologies we have cultivated over many years to vehicle dismantling processes and, together with partner companies, are working to establish a value chain integrating arterial and venous industries^*2 within the automotive industry. Through this initiative, we aim to realize “Car-to-Car” horizontal recycling, in which resources are continuously circulated from vehicle manufacturing to collection, recycled raw material and material production, and back into new vehicles.
In June 2025, we established the “BlueRebirth Council” together with five other founding companies. The BlueRebirth Council is a large-scale collaborative framework involving dozens of major mobility-sector companies and research institutions across Japan. Leveraging technologies such as our automated precision dismantling system and a data platform connecting arterial and venous industries, the council aims to realize a “value chain integrating arterial and venous industries.”
Through the accumulation of dismantling expertise and the advancement of automated robotic dismantling, a pathway is emerging toward the stable procurement of high-quality recycled materials. We are also currently engaged in evaluating the material properties of automotive materials made from recovered recycled feedstock, marking a significant step toward realizing a Car-to-Car circular economy.

^*2 Arterial and Venous Industries: Terms that compare economic activities to the circulation of blood in a living organism. “Arterial industries” refer to industries that process resources to manufacture products, while “venous industries” refer to industries that collect used products and return them to society through reuse, resale, remanufacturing, and recycling.