China’s Electric Vehicle Battery Recycling Boom Drives Eco-Transition and Global Market Expansion

TIANJIN, June 6 (Xinhua) — In Tianjin, northern China, a bustling workshop breathes new life into discarded electric vehicle batteries, blending skilled technicians’ expertise with automated systems. This scene exemplifies a burgeoning business opportunity across China, the world’s largest electric vehicle market, as it transforms battery waste into a key asset for its green revolution. Tianjin Battery Technology, a startup at the forefront of China’s sustainable economy, focuses on this rapidly expanding sector. With China leading global production and sales of new energy vehicles, the growing number of end-of-life batteries is driving demand for sustainable solutions. By the end of 2024, China had 31.4 million such vehicles, about 9% of its automotive fleet. Government policies encouraging consumer upgrades have further expanded the automotive recycling market. Since 2016, China’s Ministry of Industry and Information Technology has required passenger vehicle manufacturers to offer an eight-year or 120,000-kilometer warranty on essential components like batteries. Market forecasts indicate that retired electric vehicle batteries in China will reach 1.04 million tons in 2025 and could hit 3.5 million tons by 2030. Ma Youwei, a 40-year-old equipment manager at Tianjin Battery Technology, oversees battery disassembly. For him, seemingly ‘retired’ batteries are hidden treasures. Components are reused for second-hand vehicle repairs, while crushing produces copper and aluminum. Black powder is refined into lithium carbonate for new batteries. “We extract all value from retired batteries,” Ma said. Tianjin Battery Technology processes 10,000 tons annually, recovering over 90% of lithium. “China heavily relies on lithium, cobalt, and nickel imports,” noted Ke Yanchun of China Resources Recycling Group Co., Ltd. “Recycling reduces dependency on imported resources.” Technological innovation is reshaping the sector. Shenzhen-based GEM, a leading recycler, uses intelligent disassembly systems and advanced lithium extraction, achieving over 90% recovery. It also developed a digital lifecycle management system. GEM operates 140+ recycling plants nationwide and partners with 750+ global manufacturers. Meanwhile, CATL, the world’s largest battery maker, plans European recycling operations, with a Hungary plant set for 2026. GEM has established seven recycling centers, including in South Korea and Indonesia. Hefei’s Gotion High-tech and Hong Kong’s Envision Greenwise aim to build 100 global recycling plants. Jiaxing’s Huayou Recycling partnered with France’s SUEZ Group to explore the French battery recycling market.
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