Audi and wheel maker Cromodora have struck an agreement for a long-term cooperative undertaking that will include Cromodora building a new wheel plant in Eastern Europe (site undisclosed) exclusively to supply Audi and the Volkswagen Group.

Audi says that production at the plant is scheduled to begin in 2023 and Audi will also include guarantees to Cromodora over the sourcing of its wheels for a specified period of time.

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Audi maintains that the new plant on a greenfield site creates the opportunity to create sustainable processes from the very beginning. Since the end of 2018, Audi's carbon program has pursued the goal of reducing emissions in the supply chain in collaboration with its partners.

In CO2 workshops, Cromodora and Audi are exchanging ideas about measures to achieve sustainability. The aim is to use green power, secondary materials, minimised consumption of fresh water, and certification by the 'Aluminium Stewardship Initiative'. Internal loop systems, too, are to be established, for example to re-use waste material in the plant's own production.

In terms of cost effciency, Audi and Cromodora have agreed 'transparent, optimised cost structures'. Risks are shared by the two partners, for example if the costs of raw materials rise. Furthermore, Audi says the new plant will meet Audi quality standards.

 "Through our strategic cooperation with Cromodora we are creating a new form of collaboration, from which both sides benefit," said Dr. Bernd Martens, member of the board of management responsible for Procurement and IT. "The new plant is also a textbook example of our ability to work economically and at the same time sustainably."

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