Rio Tinto has signed a memorandum of understanding (MoU) with BMW Group, whereby the former will supply responsibly sourced aluminium to the German automaker.
Under this new partnership, Rio Tinto plans to provide responsibly sourced aluminium to the BMW Group’s vehicle production plant in Spartanburg, South Carolina, for use in body components from 2024.
Low-carbon primary aluminium from Rio Tinto’s hydro-powered operations in Canada, combined with recycled content, could generate a reduction of up to 70 percent in CO2 emissions compared to the BMW Group’s benchmark for aluminium.
Rio Tinto and the BMW Group will also work to deploy START from Rio Tinto. START provides supply chain traceability to customers and consumers with information about provenance and ESG standards.
The Honourable François-Philippe Champagne, Canada’s Minister of Innovation, Science and Industry, said: “Canada is a global destination of choice for low-carbon investment. This exciting partnership between BMW and Rio Tinto is proof that Canada is well positioned to seize the economic benefits of the clean economy. I am proud to see that low carbon Canadian aluminum will be going into BMW’s vehicles. Canada will continue to enhance our competitive advantages—abundance of critical minerals, skilled labour, clean energy, proximity to markets—to grow our economy and to support made-in-Canada innovation.”