PUBLISHER: The Business Research Company | PRODUCT CODE: 2133801
PUBLISHER: The Business Research Company | PRODUCT CODE: 2133801
Lithium-ion battery recycling refers to the process of collecting, dismantling, and treating used lithium-ion batteries to recover valuable materials such as lithium, cobalt, nickel, and manganese. The process aims to minimize environmental impacts, conserve critical raw materials, and promote a sustainable battery supply chain by returning recovered materials to the production of new batteries.
The primary battery chemistry types of lithium-ion battery recycling include lithium-nickel manganese cobalt, lithium-iron phosphate, lithium-manganese oxide, lithium-nickel cobalt aluminum oxide, and other battery chemistry types. Lithium-nickel manganese cobalt batteries are widely used in electric vehicles and energy storage systems due to their high energy density, long cycle life, and balanced performance. The different battery sources include consumer electronics, electric vehicles, energy storage systems, power tools, and industrial equipment. The materials recovered include base metals and others, graphite, lithium, and cobalt and nickel. The various recycling processes or methods include hydrometallurgical recycling, pyrometallurgical recycling, and direct recycling, and they are used by several end-users, including automotive original equipment manufacturers (OEMs), battery manufacturers, recycling companies, metal and chemical producers, energy storage providers, and others.
Tariffs are influencing the lithium-ion battery recycling market by increasing the costs of imported shredding systems, chemical reagents, separation equipment, and advanced processing machinery used in hydrometallurgical and direct recycling operations. North America and Europe are particularly affected due to their dependence on specialized imported equipment, while Asia-Pacific is experiencing cost pressures associated with cross-border battery waste flows. These tariffs are raising capital expenditures and slowing capacity expansion at early-stage recycling facilities. However, they are also encouraging the development of domestic recycling infrastructure, localized equipment manufacturing, and more resilient regional battery material supply chains.
The lithium-ion battery recycling market research report is one of a series of new reports from The Business Research Company that provides lithium-ion battery recycling market statistics, including lithium-ion battery recycling industry global market size, regional shares, competitors with a lithium-ion battery recycling market share, detailed lithium-ion battery recycling market segments, market trends and opportunities, and any further data you may need to thrive in the lithium-ion battery recycling industry. This lithium-ion battery recycling market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The lithium-ion battery recycling market size has grown rapidly in recent years. It will grow from $10.96 billion in 2025 to $12.89 billion in 2026 at a compound annual growth rate (CAGR) of 17.6%. TThe growth during the historic period can be attributed to increasing EV battery waste, rising demand for recovered metals, growing pressure for sustainable disposal, expansion of circular-economy initiatives, and increasing regulatory compliance requirements.
The lithium-ion battery recycling market size is expected to see rapid growth in the next few years. It will grow to $24.32 billion in 2030 at a compound annual growth rate (CAGR) of 17.2%. The growth during the forecast period can be attributed to increasing global EV adoption, growing demand for lithium and cobalt recovery, rising emphasis on closed-loop manufacturing, expansion of large-scale recycling facilities, and increasing government-backed recycling policies. Major trends during the forecast period include technological advancements in hydrometallurgy, automation-based sorting innovations, development of high-efficiency extraction technologies, research into battery-material purification, and advancements in pyrometallurgical processing.
The increasing adoption of electric vehicles (EVs) is expected to drive the growth of the lithium-ion battery recycling market going forward. Electric vehicles are automobiles powered by one or more electric motors that operate using rechargeable batteries instead of conventional internal combustion engines. The adoption of electric vehicles is increasing due to declining battery costs, which refers to the reduction in lithium-ion battery prices over time resulting from technological advancements, economies of scale, and improved manufacturing processes, making EVs more affordable and accessible to consumers. Lithium-ion battery recycling supports the management of end-of-life EV batteries by recovering valuable metals such as lithium, cobalt, and nickel, thereby reducing environmental impacts and conserving resources. For instance, in 2024, according to the International Energy Agency (IEA), a France-based intergovernmental organization, electric car sales in 2023 were 3.5 million higher than in 2022, representing a 35% year-on-year increase. Therefore, the increasing adoption of electric vehicles is driving the growth of the lithium-ion battery recycling market.
Major companies operating in the lithium-ion battery recycling market are increasingly concentrating on advanced solutions, such as direct-material recycling processes, to enhance material recovery, minimize environmental impact, and improve cost efficiency. Direct-material recycling processes refer to recycling methods that preserve active battery materials in their original form rather than breaking batteries down into individual metals, thereby enabling greater material reuse and reducing processing energy requirements. For instance, in March 2024, 24M Technologies, a Massachusetts-based battery technology company, launched Liforever, an advanced direct-material recycling process for semi-solid lithium-ion batteries. The technology is designed to efficiently recover cathode and anode materials while preserving their structural integrity. Liforever supports various battery chemistries, including lithium iron phosphate (LFP) and nickel-rich variants, and enables the re-lithiation and reuse of active materials, helping reduce waste and improve sustainability.
In September 2023, Redwood Materials Inc., a US-based provider of lithium-ion battery recycling and materials recovery services, acquired Redux Recycling GmbH for an undisclosed amount. Through this acquisition, Redwood Materials seeks to expand its recycling capacity in Europe, strengthen its presence in the lithium-ion battery recycling market, and leverage Redux Recycling's technical expertise in recovering critical battery materials, including lithium, cobalt, nickel, and manganese. Redux Recycling GmbH is a Germany-based company that provides lithium-ion battery recycling services, including mechanical separation and the preparation of black mass from end-of-life batteries.
Major companies operating in the lithium-ion battery recycling market are Glencore plc, BASF SE, Contemporary Amperex Technology Recycling Co. Ltd., Umicore SA, Sumitomo Metal Mining Co. Ltd., Zhejiang Huayou Cobalt Co. Ltd., EcoPro CNG Co. Ltd., Northvolt AB, Toho Zinc Co. Ltd., Redwood Materials Inc., Ascend Elements Inc., Lohum Cleantech Pvt. Ltd., Attero Recycling Pvt. Ltd., ACCUREC Recycling GmbH, Neometals Ltd., American Battery Technology Company, SungEel HiTech Co. Ltd., Redux Recycling GmbH, SNAM S.p.A., Brunp Recycling Technology Co. Ltd., JX Nippon Mining & Metals Corporation, Duesenfeld GmbH, GEM Co. Ltd., Primobius GmbH, TES Sustainable Battery Solutions
North America was the largest region in the lithium-ion battery recycling market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the lithium-ion battery recycling market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the lithium-ion battery recycling market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The lithium-ion battery recycling market includes revenues earned by providing services such as battery collection and transportation, battery dismantling and discharging, mechanical and chemical recycling processing, recovery and refining of valuable metals, and safe disposal and environmental compliance services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Lithium-Ion Battery Recycling Market Global Report 2026 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses lithium-ion battery recycling market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for lithium-ion battery recycling ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The lithium-ion battery recycling market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
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