Recycled EV battery metals could cut imports up to 25% by 2030

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Recycling could enable Europe to cut its reliance on EV battery mineral imports by up to a quarter by the end of the decade, if Europe steps up work in this area.

Materials from end-of-life batteries and gigafactory scrap have the potential to build up to 2.4 million EVs locally in 2030

Materials from end-of-life batteries and gigafactory scrap have the potential to build up to 2.4 million EVs locally in 2030, research by Transport & Environment (T&E) has found. But the EU and the UK will not be able to harness this potential unless they secure recycling projects that are at risk of being cancelled, according to the campaign group.

Recycling spent cells and production scrap could provide 14% of the lithium, 16% of the nickel, 17% of the manganese, and a quarter (25%) of the cobalt that Europe will need for electric cars in 2030, the study reveals. These could then rise dramatically, and the region has the potential to be almost self-sufficient in cobalt for electric cars in 2040.

Julia Poliscanova, senior director for vehicles and e-mobility supply chains at T&E, said the expected volumes of locally recovered materials could enable Europe to build millions of clean electric vehicles locally.

Recovering battery materials would also replace the need for primary ores. The research finds recycling EV minerals in Europe could avoid the need to build 12 new mines globally by 2040: four lithium, three nickel, four cobalt, and one manganese. This would also reduce the potential negative impacts on water, soil and biodiversity from those mines.

As well as reducing both extraction and imports of raw materials, recycling in Europe could cut the carbon footprint of sourcing lithium by almost a fifth (19%) compared to extracting it in Australia and refining it in China. This is due to Europe’s cleaner electricity grid.

But to reap the economic and sustainability benefits, Europe needs to scale up its recycling industry. Almost half of the recycling capacity that has been announced for the region is on hold or uncertain to go ahead, according to the report.

T&E has urged the EU and the UK to urgently prioritise support for recycling across their policies and funding programmes. The EU’s upcoming proposal for a Circular Economy Act should support the scaling of local recycling factories while also restricting exports of battery waste and simplifying the shipment of end-of-life battery materials within Europe.

Julia Poliscanova added: “Neither the EU nor the UK are ready to capture the recycling opportunity. Almost half of the planned recycling capacity is at risk due to high energy costs, a shortage of technical expertise or a lack of financial support. It’s time to start treating battery recycling like another clean tech and prioritise it in our policy and grant making.”

T&E’s report, From waste to value: the potential for battery recycling in Europe, is online here.

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Natalie Middleton

Natalie has worked as a fleet journalist for over 20 years, previously as assistant editor on the former Company Car magazine before joining Fleet World in 2006. Prior to this, she worked on a range of B2B titles, including Insurance Age and Insurance Day. Natalie edits all the Fleet World websites and newsletters, and loves to hear about any latest industry news - or gossip.