Schedule a Call Back
A rundown of the global battery recycling market
Articles- Jul 27,24
As the capacity of li-ion batteries increases, the amount of scrap batteries in production are also piling up fast, making battery recycling a focal point for the market.
The battery recycling market is drawing fierce competition as the EV industry undergoes rapid development, leading to an influx of retired power batteries. Companies across the industry are vying for dominance. Renee Ju, Research Associate, Interact Analysis explores the major players and their strategies, highlighting the contrast between large-scale recyclers in major markets and the collaborative efforts se en in the recycling landscape.
In recent years, the EV industry is going through rapid development that, eventually will lead to a horde of retired power batteries. Additionally, as the capacity of li-ion batteries increases, the amount of scrap batteries in production are also piling up fast, making battery recycling a focal point for the market.
Li-ion companies in the market lead
Manufacturers that establish recycling businesses come from across the battery industry chain, including upstream raw mineral and material suppliers, midstream battery manufacturers, vehicle OEMs and businesses specialising in battery recycling. In China, there are fewer large-scale companies that specialise in lithium battery recycling and currently companies with battery recycling plants tend to be manufacturers from elsewhere in the lithium battery industry chain. In contrast, in other major country markets the li-ion battery recycling market is dominated by large-scale recycling manufacturers that specialise in recycling businesses, such as Li-cycle. Other companies in the lithium battery industry chain predominantly participate in the battery recycling market through collaboration with recycling companies.
Aside from signing cooperative research agreements, cooperation on battery recycling among companies in the lithium battery industry chain usually takes the form of signing supply agreements. These can be divided into directional supply and establishing a closed-loop recycling ecosystem. Directional supply involves OEMs and battery manufacturers supplying scrap batteries or scrap materials to recycling companies, and recycling companies supplying recycled materials obtained from processing scrap batteries to raw material manufacturers.
In contrast, some companies collaborate with the aim of establishing a closed-loop recycling ecosystem. Let’s take the collaboration announced by GEM in February 2023 with Mercedes-Benz China, CATL, and Brunp as an example: Mercedes-Benz China’s retired waste batteries will be processed by GEM and Brunp, with the recycled key raw materials such as nickel, cobalt, manganese, and lithium supplied to CATL’s supply chain and used to produce new batteries for Mercedes-Benz. The cooperation in battery recycling between upstream and downstream companies in the lithium battery industry chain not only meets environmental protection requirements but also maximises battery value and reduces battery production costs.
Non-lithium battery-related companies also explore battery recycling
Some companies whose main operations are not directly related to batteries are also exploring the market for battery recycling, such as sanitation companies and other recycling enterprises (including those specialising in metal recycling and solid waste recycling). Typically, these companies run the battery recycling businesses through collaboration with lithium battery-related companies, with the recycling business supplying the products of their recycling plants to raw material manufacturers for further application in the lithium battery industry and for use in other industries. For example, the recycled nickel, cobalt, and tungsten powders can be utilised in the production of hard alloys, rather than being directly used in the production of lithium battery-related products. The battery recycling landscape is becoming increasingly complex.
Final thoughts
With the rapid expansion of lithium battery capacity and the imminent wave of retired power batteries, recycling has become a safe, environmentally friendly, and economical way to dispose of scrap batteries and raw materials. As relevant policies and regulations are continuously improved and implemented by different countries, the battery recycling market is entering a new stage of professionalisation and scale, with market opportunities continuously emerging. As a restructuring of the industry ecosystem takes place, optimising resource allocation, strengthening technological research and development, accelerating upstream and downstream collaboration, and promoting the integration of the industrial chain may become the keys to success.
--------------------------------------------
About the author:
As a Research Associate at Interact Analysis based in China, Renee Ju, focuses on lithium battery and hydrogen research. She also assists the commercial vehicle team in database setup and conducts both primary and secondary information research for data and industry analysis.
Renee Ju
Interact Analysis
battery recycling
battery
batteries
lithium ion
oem
battery manufacturers
battery manufacturing
Related Stories
Automation & Robotics
Tariff uncertainty can hinder US automation recovery in 2025: Blake Griffin
From February 2024 through to January 2025, we saw a gradual improvement for machinery production in the US. While readings for March are not available yet, this momentum is likely to have faltered ..
Read moreElectrical & Electronics
India’s Li-ion battery sector to see investments over ?750 billion by 2030: ICRA
By FY2025, demand for Li-ion battery cells in India is expected to reach 11-13 GWh.
Read moreAuto & Auto Components
Hannover Messe 2025 presents battery cell and pack production for EVs
Electric mobility is seen as a key technology for long-term emission reductions – and consequently for a more sustainable future.
Read moreRelated Products
Forklift Battery
BATTERIES, UPS SYSTEMS & VOLTAGE STABILISERS
Aatous International is a manufacturer and solution provider of a wide range of forklift battery.
Kusam Meco -Wrist Type High Voltage Alarm
BATTERIES, UPS SYSTEMS & VOLTAGE STABILISERS
‘KUSAM-MECO’ has introduced a new wrist Type High Voltage Alarm Detector - Model KM-HVW-289 having a wide sensing range from 1kV-220 kV AC.
Servotech Power Systems files 2 patents for energy management technologies
BATTERIES, UPS SYSTEMS & VOLTAGE STABILISERS
Servotech Power Systems, a leading manufacturer of EV chargers and solar solutions, has announced that it has filed two patents for innovative energy management technologies in order to facilitate gri Read more
latest News
Subscribe to iNoW
For Industry News on WhatsApp, Give a Miss Call on: +91 84228 74016
