Toyota Motor Europe will invest in a new circular vehicle processing facility in Wałbrzych, Poland, designed to handle up to 20,000 end-of-life vehicles each year. The 25,000 square meter site, described as a Circular Factory, will introduce a structured approach to dismantling vehicles at the end of their lifecycle, with a focus on maximizing material recovery and reuse.

The facility will assess components such as batteries and wheels for remanufacture, repurposing or recycling. Raw materials including copper, steel, aluminium and plastics will be extracted and prepared for reintegration into new vehicle production, supporting closed-loop manufacturing processes.

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Expanding Existing Manufacturing Operations

The new investment will extend operations at Toyota’s existing Wałbrzych site, which currently manufactures key components for hybrid and conventional powertrains. By integrating circular processing capabilities into an established production base, the company aims to strengthen material efficiency while reducing reliance on virgin, carbon-intensive raw materials.

According to Toyota Motor Europe, the initiative aligns with its circular economy framework built around the principles of reduce, reuse and recycle. The company stated that structured end-of-life vehicle processing can reinforce supply chain resilience and lower emissions across the value chain through reuse and remanufacturing.

Leon van der Merwe, Vice President of Circular Economy at Toyota Motor Europe, said the Polish site will become the company’s second Circular Factory in Europe. The first facility was launched in 2025 in Burnaston, United Kingdom, and serves as a benchmark for expanding circular economy operations across the region.

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Supporting Carbon-Neutral Manufacturing Goals

The new facility forms part of Toyota Motor Europe’s broader programme to advance circularity and support carbon-neutral manufacturing. By recovering materials and components domestically, the company aims to reduce embedded emissions while improving supply security amid growing demand for electrified vehicle components.

The development follows Toyota Motor’s recent introduction of a battery-electric version of the Highlander SUV in North America under its multi-pathway strategy for reducing carbon emissions. The move reflects the company’s parallel focus on electrification and lifecycle sustainability.

With the Wałbrzych Circular Factory, Toyota Motor Europe is expanding its operational model beyond production and into end-of-life recovery, embedding circular economy principles more deeply into its European manufacturing footprint.

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