Ferrari and BMW Expand Aluminium Wiring Use, Reduce Dependence on Copper

Luxury automotive companies Ferrari and BMW are expanding the use of aluminium wiring in their new vehicles, suggesting a broader industry shift away from copper, which has been the primary material for electrical wiring since the advent of the electric battery more than 200 years ago. The move follows similar initiatives by Elon Musk-owned Tesla and several Chinese electric vehicle manufacturers. 

According to JPMorgan, the transition is expected to affect around 2 per cent of global copper demand this year, reported Reuters. The shift is being driven by rising copper prices, supported by tightening supplies and growing demand from sectors including renewable energy and data centres.

The report added that industry analysts believe aluminium could replace an even greater share of copper in vehicle wiring if these market conditions persist.

Ferrari, which already uses aluminium extensively in vehicle bodies, engines and chassis, was quoted by Reuters that it introduced aluminium power cables on its 296 hybrid sports car last year. The Italian luxury carmaker has since extended the technology to additional models, including the Luce, its first fully electric vehicle, launched last month.

According to Ferrari communications executive Dario Esposito, the change reduces the total weight of a vehicle's wiring by up to 20 per cent.

While Ferrari cited performance benefits, aluminium also offers a significant cost advantage. The metal currently trades at around $3,100 per tonne, roughly one-quarter the price of copper.

BMW said it first introduced aluminium conductors in the 1 Series in 2011 and has gradually expanded their use across hybrid and electric vehicles. 

The German carmaker now employs a substantial number of aluminium cables in both high- and low-voltage systems used in its latest eDrive electric vehicle technology, introduced last year.

The substitution of aluminium for copper has occurred in phases over the past two decades.

However, record copper prices earlier this year, which briefly approached $15,000 per metric tonne in late January, have strengthened the commercial case for wider adoption. 

Supply forecasts continue to lag projected demand over the coming decade, reinforcing expectations that aluminium will play a larger role in future vehicle electrical systems.