Published 05 February 2026
Building on our CMF Industry View: Automotive 26/27 report, we outline the colour and material strategies and initiatives set to drive sustainability forward for the industry – covering future-proof materials and resilient supply chains, efficient painting technologies, high-quality recyclates and consciously designed interiors.
Macro Drivers of Change
Regional Focus
Pillars of Innovation
Trend Duration
Accelerating Low-Impact Practices
A competitive edge underpins many sustainability initiatives as brands race towards decarbonisation, circularity and efficient resource consumption. Single-origin recyclates improve end-of-life systems, strategic material choices help to lower carbon footprints, and holistic thinking sees materials and components scrutinised and revised.
- Comprehensive Strategies: German auto giant Mercedes-Benz’s comprehensive Tomorrow XX initiative is to dive deep into the full material life cycle of all products in its portfolio. Materials and components will be questioned and scrutinised, with resources, recycled content and manufacturing techniques all (re)considered. Concepts already in development include underbody cladding made with plastic from scrap vehicles, applications for recycled airbags, leather alternatives from old tyres, new approaches to aluminium production, and zero-carbon steel.
For more life cycle-focused strategies, see Centring Circularity: Design for Longevity.
- Holistically Designed Interiors: This comprehensive approach is also infiltrating cabin design. For its Vision O concept, Czech automaker Škoda focuses on monomaterials (like its 100% recycled polyester knit upholstery) and the reuse of byproducts from various sources (such as its Nabore bonded floor made from leather scraps), alongside waste-free production methods, including 3D printing used for its headrests.
Meanwhile, Germany’s Audi opts for fast-growing timber for the wood applications in its latest Q3 model, whereas all textile elements are designed using single-origin materials (including recycled polyester upholstery and Econyl velour floor mats) to aid end-of-life recycling.
- Sustainability at Scale: As called out in our Look Ahead 2026, an evolution is unfolding towards viable mass-market sustainability solutions. Italian tyre manufacturer Pirelli has launched its first standard production tyre, made with more than 70% of bio-based and recycled materials, including rice husk-derived silica, recycled steel, FSC-certified natural rubber and circular carbon black (obtained from end-of-life tyres). Developed for British automaker Jaguar Land Rover (JLR) the P Zero tyre has debuted on select new Range Rover models and is set to be rolled out more widely in the coming years.
- Lightening the Load: Streamlined designs are bolstered by strategic material choices to achieve lighter, more efficiently produced vehicles with smaller carbon footprints. French technology supplier Forvia’s Power Beam headlamps are housed in corrosion-resistant plastic rather than traditional die-cast aluminium – a substitution that reduces the components’ weight by 45% and lowers production costs by more than 50%.
Elsewhere, Peugeot’s (also French) Polygon Concept is designed with fewer parts. For instance, the seats consist of only three main components: the 3D-printed shell, the structure, and the foam. Meanwhile, the wheel covers are 3D printed as a single piece in recycled plastic.
Future-Proof Materials
With ongoing sourcing challenges – courtesy of global pressures, climate change and depleting resources – automakers are pursuing long-term resilience across their supply chains. Closed-loop systems and bio-based mining methods are helping to safeguard critical materials for electric vehicle (EV) batteries, while the benefits of renewable naturals are increasingly recognised.
- Resilient Supply Chains: To improve supply-chain robustness for EVs, JLR created 50 new roles in 2025, dedicated to accurate material mapping and traceability (including for raw material resources). The investment ensures better foresight and risk mitigation, as well as keeping ethical standards high when sourcing critical materials, like lithium, cobalt and nickel.
- Direct Battery Recycling: Taking a closed-loop approach to in-house EV battery production, Germany’s BMW has opened a new mechanical recycling facility in Salching, Germany, that recovers valuable materials from unused cells and manufacturing residues. Once at full capacity, the centre will be able to produce several tonnes of battery materials annually.
Mercedes-Benz is also working on an in-house battery recycling plant, as part of its aforementioned Tomorrow XX.
- Bio-Sourced Nickel: An eco-conscious alternative to conventional metal mining is gaining traction within the industry, led by French start-up Genomines. The process, called phytomining, leverages plants to extract battery-grade nickel from the soil and is claimed to be faster, cheaper and cleaner than traditional methods – see The Brief for more. Industry leaders Hyundai Motor Group (South Korea) and JLR have recognised the potential and are collaborating on proof-of-concept projects.
- Renewable Resources: As automakers look to strengthen their material palettes away from fossil-derived and finite resources, applications for natural renewable resources are growing in scope. These resources offer myriad sustainability benefits, including lower CO2 footprints – see Sustainable Materials for a Resilient Future for more insights.
Researchers at India’s Institute of Technology Guwahati have developed a promising high-performance composite for auto interiors, made from locally sourced fast-growing bamboo. Meanwhile, Japan’s Lexus is experimenting with bamboo for decorative interior applications. Its latest IS model features the Forged Bamboo trim, an imitation forged carbon made from finely crushed fibres and resin.
Conscious Colour & Coatings
While bio-based and recycled formulations make gradual headway, investments in automated painting technologies are driving some of the most exciting opportunities for low-impact yet premium finishes in the industry. Elsewhere, automakers are considering new perspectives by forgoing paint entirely.
- Paint Shops of the Future: German engineering firm Dürr is helping to establish new low-carbon standards within automotive painting with its flexible and efficient systems. Its Puebla plant for German car brand Volkswagen (which opened in Mexico last year) was the global auto industry’s first paint shop to run exclusively on renewable energy, boasting a 40% reduction in CO2 emissions (compared with those run on natural gas).
The BMW Group is also gradually electrifying its paint shops.
- Sustainable Exclusivity: Inside these pioneering paint shops, automated paint head solutions are achieving premium finishes with minimal paint and solvent waste. Saudi-born EV brand Ceer is using Dürr’s zero-overspray tech to offer customers an eco-minded two-tone finish. Others, like DS Automobiles (France) and Mercedes-Benz, are investing in PixelPaint from Swiss-Swedish firm ABB. This inkjet printer-inspired ultra-precise technology delivers intricate custom bodywork without overspray or the need for masking (typically a lengthy process).
- Conscious Paint: Cupra (Spain) has integrated a bio-derived paint into the interior of its new Tribe Editions. Formulated by German manufacturer Mankiewicz with 15% bio-based material, it features a Sulphur Green colour across dashboards, air vents and console trims.
Elsewhere, Kia’s (South Korea) EV2 Concept explores other bio-derived colour finishes – read more in our CMF Industry View report.
Meanwhile, as part of a focus on maximising the use of recycled materials, the aforementioned Peugeot’s Polygon Concept incorporates an interior lacquer made with components from end-of-life tyres. - Bio-Enhanced Performance: A research team at Germany’s Karlsruhe Institute of Technology is working to reduce reliance on petrochemical resources. Its recent exploration into sunflower oil-based polymers shows potential for longer-lasting vehicle coatings that are also recyclable and reusable.
- No Colour: Some disruptive automakers are forgoing paint in the name of low-impact practices and affordability, instead leaning into paint-free polypropylene composite bodywork. Read about US-based start-up Slate in The Brief and Dacia’s (Romania) Hipster Concept here.
Don’t wait for legislation to initiate progress. Take a long-term view with your sustainability strategies and invest well now to help mitigate future risks and volatilities. What nascent technologies could be especially valuable in five years’ time? Or, like JLR, could new talent help to safeguard your processes and systems?
Certain finite resources are critical for the industry’s growth, so taking stock of your internal practices and material life cycles is sensible to ensure value isn’t being lost or overlooked. Take inspiration from Mercedes-Benz’s Tomorrow XX programme: its comprehensive approach is likely to uncover myriad opportunities for innovation and reform.