Anglo American was keen to take advantage of the potential of adding recycled metals to its products, and to be the first to offer customers a 'closed-loop' solution.
Anglo American was increasingly aware that its customers were interested in producring ethically source, recycled materials. However, along with its main competitiors in the platinum supply business, Anglo American relied entirely on mine-sourced metals, and did not have immediate experience in recycling.
The company set out to gain a better understanding of how capable it was of carrying out the recycling of used platinum products such as catalytic converters.
After researching this secondary market, with its benefits and pitfalls, Anglo American partnered with an industry expert. With their input, it put in place a temporary sourcing arrangement allowing it to test its own processes. The trial has been profitable, and now Anglo American are exploring the potential of scaling up this business.
Anglo American is now developing a recycling solution for a global luxury OEM (original equipment manufacturer, or manufacturer of parts used in another company's end product), which has reacted positively so far.
Adding recycled metals to its portfolio also offers Anglo American strategic sourcing diversity, and a generally stable income even when world metal prices are depressed.
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