SEAT & CUPRA open Circular Economy Hub in Zona Franca

SEAT & CUPRA have launched a Circular Economy Hub in Barcelona’s Zona Franca, focused on vehicle dismantling and parts recovery. Learn how the project supports sustainability.

SEAT & CUPRA have launched a new Circular Economy Hub in Barcelona’s Zona Franca, creating an industrial facility dedicated to vehicle dismantling and the recovery of parts and materials for reuse. The project transforms the former Workshop 7 into an operational hub designed to support a more circular approach to automotive production.

The facility is already up and running, initially focusing on pre-series SEAT and CUPRA vehicles. Components and materials recovered from these cars are routed into different pathways: reuse in new vehicles, recycling, or refurbishment for resale through external partners. By starting before mass production, the company aims to reduce the use of virgin raw materials and limit environmental impact at an early stage of the vehicle lifecycle.

The Circular Economy Hub represents an investment of €4.85 million and has received an additional €1.32 million in funding under Spain’s PERTE Circular Economy programme, supported by the EU’s NextGenerationEU recovery plan. This backing places the project within a broader framework of industrial transformation and sustainability-driven investment.

The launch of the hub reflects SEAT & CUPRA’s wider sustainability strategy, where circular economy principles play an increasingly central role alongside decarbonisation and waste reduction. The company is already integrating recycled and renewable materials into its products, including SEAQUAL® YARN, made from upcycled marine plastics, and Dinamica® microfibre, produced with 73% recycled polyester using a water-based manufacturing process.

Beyond materials and production processes, the new facility aligns with SEAT & CUPRA’s long-term environmental goals and with sustainability initiatives promoted across the Volkswagen Group. It also highlights the company’s commitment to Barcelona’s industrial ecosystem: the hub is a tangible outcome of a cooperation agreement signed with the city in 2024 to promote innovation and circular economy projects.

While operations currently focus on a limited flow of pre-series vehicles, SEAT & CUPRA have indicated that the scope of the Circular Economy Hub may expand over time. As it develops, the site could become a cornerstone for further initiatives in component recovery and material recycling, reinforcing the brands’ role in shaping a more sustainable automotive industry.