Li-ion Battery Recycling Market Size, Share, By Battery Chemistry, Source, Recycling Process, End-Use, and Region - Trends, Analysis and Forecast till 2034

Report Code: PMI556024 | Publish Date: August 2024 | No. of Pages: 188

Li Ion Battery Recycling Market Overview

  • The Li-ion battery recycling market size is expected to be USD 29.4 billion by 2034.
  • In 2024, the market was worth USD 4.5 billion.
  • The market is projected to grow at a CAGR of 22.9% during the forecast period.

Lithium-ion battery recycling is a procedure that involves recovering materials from end-of-life lithium-ion batteries; these materials are found in most of the devices mentioned above, including electronic devices, electric vehicles, and even energy storage systems. Given the increasing demand for lithium-ion batteries, there is a corresponding increase in the need for effective recycling methods to mitigate the environmental impact and decrease resource scarcity. Increasing development of new technologies and processes for a clean recycling process to drive market expansion.

Key Takeaways:

  • Europe is the leading region in the market. The region’s growth is attributed to the growing implementation of government policies across the region.
  • Asia Pacific is the fastest-growing region in the market owing to the increasing population across the region.

Li-ion Battery Recycling Market Share

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Li Ion Battery Recycling Market Drivers & Restraints

Key Drivers of Target Market:

Growing Demand for Lithium-Ion Batteries to Drive Market Expansion

  • The demand for lithium-ion batteries has been increasing along with the growing electric vehicle industry and rising adoption of renewable energy sources, driving the li-ion battery recycling market growth. If the production of these batteries grows exponentially, this will no doubt result in a larger volume of spent batteries that need proper disposal and recycling. As the fleet of EVs is proliferating worldwide and the correlative increase in energy storage systems, there will be a quantum jump in the number of end-of-life batteries. This will demand effective recycling solutions.

Consumer Awareness and Sustainability to Propel Market Expansion

  • Growing consumer awareness about the environment and sustainability issues creates demand for recycled products. More consumers are trying to buy products with some percentage of recycled materials, including batteries, which creates a market pull for battery recycling. Furthermore, brand reputation and consumer trust are increasingly equated with sustainability practices. As such, companies are motivated to focus on the prioritization of recycling, incorporation of recycled materials into products, and growth of sustainable practices.

Restraints:

High Recycling Costs May Hamper Market Growth

  • The high process cost is one of the major growth hindering factors for the lithium-ion battery recycling market. Extraction of useful metals from end-of-life batteries requires specific apparatuses and intricate chemical processes that make it quite costly. Moreover, energy consumption for the reprocessing of batteries further adds to the cost incurred.

Opportunities:

Circular Economy and Sustainability Can Provide Better Growth Opportunities

The growing emphasis on sustainability and the circular economy thus opens up a gigantic opportunity for the lithium-ion battery recycling industry. Companies can contribute to a more sustainable future by recovering key materials from spent batteries and reducing mining, which is associated with negative environmental impacts and the depletion of finite resources. This supports global consideration with a shift to sustainable practice and reduces our ecological footprint. Additionally, battery recycling will reduce the environmental hazards resulting from poor disposal of used batteries, avoiding spillages into land and water.

Li Ion Battery Recycling Market Segmentations & Regional Insights

The li-ion battery recycling market is divided into battery chemistry, source, end-use, and region.

Battery Chemistry Insights:

On the basis of battery chemistry, the market is segmented into lithium cobalt oxide, lithium iron phosphate, lithium manganese oxide, lithium nickel cobalt aluminum oxide, and lithium nickel manganese cobalt oxide. The lithium cobalt oxide segment is expected to dominate the market during the forecast period owing to its large use in applications, such as laptops and smartphones.

Source Insights:

By source, the market is trifurcated into hydrometallurgical process, pyrometallurgical process, and physical/mechanical process. The hydrometallurgical processes segment is expected to lead the market as it is more selective and can recover metals, such as lithium, nickel, cobalt, and manganese with high purity.

End-Use:

Based on end-use, the market is categorized into automotive, industrial, consumer electronics, and others. The automotive segment is expected to hold the largest li-ion battery recycling market share during the projected period. The segment’s expansion is attributed to the rising number of electric vehicles globally.

Regional Insights:

Geographically, the market is studied across North America, Asia Pacific, Europe, Latin America, and the Middle East & Africa.

  • Europe: Europe emerges as a frontrunner to lead the Li-ion battery recycling market worldwide, thanks to governmental policies and strong initiatives to inculcate circular economies. A move toward more sustainable operations and a decrease in raw material imports have propelled the recycling market's growth.
  • Asia Pacific: Asia Pacific is the fastest-growing region in the Li-ion battery recycling market, driven by the prosperous electronic and automotive industries in economies, such as China, Japan, and South Korea. High populations with fast rates of industrialization increase the demand profiles of this region's battery recycling.

Li-ion Battery Recycling Market Report Scope:

Attribute

Details

Market Size 2024

USD 4.5 Billion 

Projected Market Size 2034

USD 29.4 Billion

CAGR Growth Rate

22.9%

Base year for estimation

2023

Forecast period

2024 – 2034

Market representation

Revenue in USD Billion & CAGR from 2024 to 2034

Market Segmentation

By Battery Chemistry - Lithium Cobalt Oxide, Lithium Iron Phosphate, Lithium Manganese Oxide, Lithium Nickel Cobalt Aluminum Oxide, Lithium Nickel Manganese Cobalt Oxide.

By Source - Electric Vehicles (EVs), Electronics, Power Tools, Others.

By Recycling Process - Hydrometallurgical Process, Pyrometallurgical Process, Physical/Mechanical Process.

By End-Use - Automotive, Industrial, Consumer Electronics, and Others.

Regional scope

North America - U.S. and Canada

Europe – U.K., Germany, Spain, France, Italy, Russia, and Rest of Europe

Asia Pacific - Japan, India, China, South Korea, Australia, and Rest of Asia-Pacific

Latin America - Brazil, Mexico, Argentina, and Rest of Latin America

Middle East & Africa - South Africa, Saudi Arabia, UAE, and Rest of Middle East & Africa

Report coverage

Revenue forecast, company share, competitive landscape, growth factors, and trends

Segmentation:

By Battery Chemistry:

  • Lithium Cobalt Oxide
  • Lithium Iron Phosphate
  • Lithium Manganese Oxide
  • Lithium Nickel Cobalt Aluminum Oxide
  • Lithium Nickel Manganese Cobalt Oxide

By Source:

  • Electric Vehicles (EVs)
  • Electronics
  • Power Tools
  • Others

By Recycling Process:

  • Hydrometallurgical Process
  • Pyrometallurgical Process
  • Physical/Mechanical Process

By End-Use:

  • Automotive
  • Industrial
  • Consumer Electronics
  • Others

By Region:

North America

  • U.S.
  • Canada

Europe

  • Germany
  • U.K.
  • France
  • Russia
  • Italy
  • Rest of Europe

Asia Pacific

  • China
  • India
  • Japan
  • South Korea
  • Rest of Asia Pacific

Latin America

  • Brazil
  • Mexico
  • Rest of Latin America

Middle East & Africa

  • GCC
  • Israel
  • South Africa
  • Rest of Middle East & Africa

Li Ion Battery Recycling Market Competitive Landscape & Key Players

The key players operating in the li-ion battery recycling market are SNAM, Umicore, Lithion Recycling Inc., and BATREC INDUSTRIES AG, among others. The major players in the market are forming joint ventures and partnerships and collaborations to maintain competitive edge in the market.

List of Key Players in the Market:

  • SNAM
  • Umicore
  • Sumitomo Metal Mining Co., Ltd.
  • Lithion Recycling Inc.
  • BATREC INDUSTRIE AG
  • American Zinc Recycling Corp
  • Fortum
  • DOWA ECO-SYSTEM Co., Ltd.
  • Li-Cycle Corp.
  • Neometals Ltd
  • ACCUREC Recycling GmbH
  • AkkuSer
  • San Lan Technologies Co., Ltd
  • Duesenfeld
  • Glencore
  • Redux GmbH
  • uRecycle Group
  • Retriev Technologies Inc.

Li-ion Battery Recycling Market Key Players

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Li Ion Battery Recycling Market Recent News

  • In May 2024, Mitsui plans to invest in a lithium-ion battery recycling facility in Japan. Mitsui & Co., Ltd. has agreed to form a joint venture focused on lithium-ion battery recycling alongside VOLTA INC. and Miracle Eternal PTE LTD.  J-Cycle Inc., a newly created joint venture, was established with plans to begin operations at a battery recycling facility in Ibaraki Prefecture, Japan, by September of the same year, subject to necessary permits and clearances. J-Cycle Inc. intends to produce and distribute black mass obtained from wasted batteries and scrap created during battery production.
  • In April 2024, the Technology Development Board (TDB) recently announced a collaboration with startup Remine India to establish a commercial operation in Uttarakhand for recycling lithium-ion batteries and e-waste. According to the Ministry of Science and Technology, the deal gives TDB Rs 7.5 crore in financial help for the Rs 15 crore project. TDB's assistance in this effort would help informal recyclers link with official recyclers, thereby contributing to a circular economy. The TDB reports to the Department of Science and Technology (DST).
  • In March 2024, 24M developed a direct-material recycling technology for semi-solid Li-ion batteries. 24M Technologies (24M), a Massachusetts-based battery technology company, has introduced 'Liforever,' a direct material recycling technique for semi-solid lithium-ion batteries for electric vehicles and energy storage systems. The latest innovation is unique to the 24M semi-solid battery manufacturing platform. It is said to reduce the environmental impact of lithium-ion batteries by allowing for efficient and cost-effective recovery and reuse of battery materials, including lithium iron phosphate (LFP), both during the manufacturing process and at the end of life.

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Li Ion Battery Recycling Market Company Profile

Company Name

SNAM

Headquarters

San Donato Milanese, Italy

CEO

Stefano Venier

Employee Count (2023)

3,798 Employees

FAQs

Li-ion Battery Recycling Market Size was valued at USD 4.5 Billion in 2024 and is expected to reach USD 29.4 Billion by 2034, growing at a CAGR of 22.9%

The Li-ion Battery Recycling Market is segmented into Battery Chemistry, Source, Recycling Process, End-Use, and Region.

Factors driving the market include the growing demand for lithium-ion batteries, consumer awareness, and sustainability.

The Li-ion Battery Recycling Market's restraints include high recycling costs.

The Li-ion Battery Recycling Market is segmented by region into North America, Asia Pacific, Europe, Latin America, and the Middle East and Africa. Europe is expected to dominate the Market.

The key players operating the Li-ion Battery Recycling Market include SNAM, Umicore, Sumitomo Metal Mining Co., Ltd., Lithion Recycling Inc., BATREC INDUSTRIE AG, American Zinc Recycling Corp, Fortum, DOWA ECO-SYSTEM Co., Ltd., Li-Cycle Corp., Neometals Ltd, ACCUREC Recycling GmbH, AkkuSer, San Lan Technologies Co., Ltd, Duesenfeld, Glencore, Redux GmbH, uRecycle Group, Retriev Technologies Inc.