North America Battery Recycling

North America Battery Recycling

Battery recycling is a crucial process for environmental sustainability and resource conservation. By reclaiming materials like lithium, cobalt, and nickel from used batteries, recycling not only reduces the demand for new raw materials but also minimizes the environmental impact of hazardous waste. The process involves collection, sorting, and dismantling batteries to extract valuable components for reuse in manufacturing new batteries or other products. Proper battery recycling helps mitigate pollution, reduces energy consumption, and promotes a circular economy by closing the loop on valuable resources. However, improving infrastructure and awareness around battery recycling remains essential to maximize its benefits and minimize its environmental footprint.

The North America Battery Recycling Market is expected to grow at a steady rate of around 7.5%. Promulgating demand for electric vehicles is driving a recent surge in lithium-ion battery manufacturing. The trend is prompting demand for North America battery recycling infrastructure to minimize waste and feed secondary materials back into the supply chain. The demand for recycled lithium, cobalt, and nickel could comprise 10% to 20% of battery metal demand by the end of 2030. The surging investment in the region for the North America battery recycling infrastructure is propelling the growth of the market. For instance, American Battery Technology Company raised USD39.1 million to support a new Nevada facility.

• Based on the chemistry, the market is segmented into lead acid, lithium-based, nickel-based, and others. The lead-acid segment is expected to witness significant growth during the forecast period. Lead-acid battery recycling held a significant share in the market owing to cost-effectiveness and a well-developed supply chain. Further, lead-acid batteries are highly recyclable, with several countries achieving recycling rates of over 90%. However, lowering the cost of lithium-ion batteries and increasing the adoption of electric vehicles would increase the demand for lithium-ion batteries. As a result, the recycling rate of lithium-ion batteries would also increase since the average life of lithium-ion batteries is about 10 years.
• Based on the source, the market is fragmented into automotive, industrial, consumer & electronics, and Others. Currently, automotive holds a significant share of the market in terms of value owing to the increasing demand for automobiles. Further, the growing number of stringent government regulations related to North America battery recycling is also propelling the growth of the market. In addition, the shorter average life of automotive batteries of around 4 to 6 years resulted in an early recycling rate compared to other types of batteries like lithium-ion. This is also fueling market growth.
• For a better understanding of the market adoption of the North America Recycling Battery Industry, the market is analyzed based on its worldwide presence in countries such as the U.S., Canada, and the Rest of North America. The United States is expected to grow at a significant CAGR during the forecast period. The Li-Ion North American battery recycling market in the United States is experiencing substantial growth due to the rapid proliferation of electric vehicles (EVs) in the country, which has led to an increasing supply of used Li-Ion batteries. The government's push for cleaner transportation and a reduction in greenhouse gas emissions, coupled with incentives for EV adoption, has further boosted the recycling industry. For instance, In March 2022, the United States invoked the Defence Production Act to rapidly boost US production of critical minerals for EV and storage batteries, focusing on lithium, nickel, cobalt, graphite, and manganese. Moreover, environmental regulations and a growing awareness of sustainable practices have encouraged the responsible disposal and recycling of batteries. With strong research and development capabilities and a focus on innovation, the nation's well-established logistics and infrastructure ensure smooth collection and distribution, making it a leader in the North American North America battery recycling market.
• Some of the major players operating in the market include Call2Recycle Inc., Battery Solutions LLC, Umicore N.V., Contemporary Amperex Technology Co. Ltd., GEM Co. Ltd., EnerSys, Johnson Controls International plc., Aqua Metals Inc., Exide Industries, and Sunlight Battery.