Porsche tests chemical recycling of automotive shredder residue

Porsche, BASF and BEST finished a pilot using chemical recycling of automotive shredder residue to produce new steering wheels from recycled plastics.

Porsche AG, together with BASF and Austria’s BEST Bioenergy and Sustainable Technologies GmbH, has completed a remarkable pilot project exploring the recycling of so-called automotive shredder residue (ASR). This mixture of plastics, foams, films and paint particles from end-of-life vehicles has so far been destined almost exclusively for incineration.

The trial used high-temperature gasification to convert mixed plastic waste into synthesis gas. BASF integrated this syngas into its production network to create a polyurethane formulation, which was then applied in the production of new Porsche steering wheels.

A key feature of the project was the complete avoidance of fossil-based inputs. Instead, bio-based raw materials such as wood chips were combined with automotive waste. To ensure traceability, the mass balance approach was applied, enabling certification under schemes like ISCC PLUS and REDcert².

Porsche underlined that such pilots help evaluate how chemical recycling could become part of its long-term circular economy strategy. BASF, meanwhile, emphasized that mechanical recycling remains the priority, but additional technologies are needed to process complex waste streams that cannot be handled mechanically.

The response from experts and stakeholders has been mixed. Research institutes such as Fraunhofer UMSICHT highlight chemical recycling as a necessary complement to mechanical processes. Environmental groups, including Zero Waste Europe and the Climate Change Innovation Network, criticize it for high energy demand and concerns over transparency in mass balance accounting. Nevertheless, in July 2025 the European Commission proposed recognizing mass balance in the Single-Use Plastics Directive, while excluding fuels from this system.

BEST contributed its expertise in thermochemical processes and syngas production, having previously worked with biomass and residual waste. Their know-how was essential in adapting gasification to the challenges of ASR.

Other carmakers are also testing similar ideas. Audi, in collaboration with KIT, explored pyrolysis of mixed plastics, while Toyota in Japan reports detailed ASR recycling balances under national end-of-life vehicle legislation. Industrial-scale adoption is not yet visible, but experimentation in this field is intensifying.

The economic dimension remains uncertain. Porsche has not disclosed costs for the pilot, and academic studies indicate that viability depends heavily on scale, energy prices and feedstock quality. This explains why industry players are cautious, taking a step-by-step approach to deployment.

For Volkswagen Group, of which Porsche is part, the project aligns with broader circular economy goals, including closed-loop battery recycling and component remanufacturing. While no concrete KPIs for scaling ASR gasification have been set, the successful trial suggests it could become a meaningful addition to the group’s sustainability portfolio.