Lithium-ion Battery Recycling Market worth $56.9 billion by 2032

According to the report "Lithium-ion Battery Recycling Market by Source (Automotive, Non-automotive), Battery Chemistry, Battery Components, Recycling Process (Hydrometallurgical Process, Pyrometallurgy Process, Physical/Mechanical Process), and Region - Global Forecast to 2032", the market is expected to rise from USD 16.2 billion in 2024 to USD 56.9 billion by 2032, growing at a CAGR of 17.0% during the forecast period.

The lithium-ion battery recycling market is primarily being propelled by the rising demand for recycled goods and sustainable practices. As environmental concerns grow and regulations become more stringent, recycling lithium-ion batteries—rich in valuable metals like nickel, cobalt, and lithium—has become more attractive. This reduces the need for virgin raw materials and supports a circular economy by recovering essential components, thus minimizing the ecological footprint of battery production.

Key Market Players:

Glencore (Switzerland)
Umicore (Belgium)
Cirba Solutions (US)
Contemporary Amperex Technology Co., Ltd. (CATL, China)
RecycLiCo Battery Materials Inc. (Canada)

Recent Developments:

April 2024: Volvo and CATL announced a partnership to recycle EV batteries. Volvo will collect batteries and work with CATL to extract and reuse critical materials in new electric car batteries, ensuring adherence to regulatory standards.
February 2024: Cirba Solutions signed an MoU with EcoPro to enhance lithium-ion battery recycling, supporting clean energy material demand in the US.
December 2023: Toyota expanded its recycling collaboration with Cirba Solutions in the US, aiming to recycle batteries from hybrid, plug-in hybrid, and electric vehicles across key regions, with over 95% mineral recovery.
December 2022: Glencore entered a 15-year agreement with ACE Green Recycling to supply end products from recycled lithium-ion batteries.
April 2022: Umicore signed a strategic agreement with Automotive Cells Company (ACC) to supply recovered battery-grade metals for new Li-ion battery production.
August 2021: Glencore partnered with Britishvolt to supply cobalt, strengthening its role in the UK battery tech and recycling space.

Market Dynamics:

Driver: Rising electric vehicle demand
Restraint: Safety issues with spent battery transport and storage
Opportunity: Widespread lithium-ion battery adoption driven by cost reductions
Challenge: High recycling costs remain a hurdle