Lithium-ion Battery Recycling Market is expected to grow with a CAGR of 30.5% during the forecast period of 2017 to 2025. In 2017, the automotive battery recycling segment generated the highest revenue share, according to a new report from Esticast Research and Consulting. Among major regions, the U.S. was the highest revenue generating market in 2017.
“With the continuous development of Li-ion battery and its increasing adoption in a vast industry vertical, a huge requirement for its waste management has emerged up,” states the report. “Moreover, the hiking requirement for lithium-ion batteries as a major power source in consumer electronic devices and vehicles, such as in mobile phones, laptops, tablets, cars and trucks is stimulating the future requirement for lithium–ion battery recycling.”
Explicit provision of government initiatives supports the growth of recyclers all over the globe. The occurrence of various potential environmental, as well as human health impacts of lithium-ion batteries has led the various health authorities to suggest stringent government regulations and policies in order to promote and encourage more recycling and reuse of Li-ion batteries.
Various governments have taken initiatives in order to curb these issues. For example in Germany, it has been mandated by the law to submit the expired batteries to the designated stores in order to get them recycled. The German government is, thus, asking people to return their batteries after use for recycling. This will also boost the growth of the battery recycling market. Regions such as China and Europe have released regulations on Recycling of Motive Lithium-ion Batteries, owing to the growing community concern about the impact of waste lithium ion batteries on the environment and public health.
Such trends are helping the major market players to get a strong foothold over the market. Growing environmental concerns and stringent government regulations led Europe to dominate the global market European Union is witnessing a rising graph in terms of quantity of lithium-ion batteries being recycled every year.
Rising recycling of waste batteries is expected to bring benefits for both the environment and the economy by boosting business and reducing waste.
The Battery Directive, setup by European Union in 2006, is responsible for the regulation and recycling of batteries. The Battery Directive was setup to tackle the increasing number of batteries entering the EU market. Approximately 800 tons of automotive batteries, 190 tons of industrial batteries, and 160 tons of consumer batteries of all types enter the European Union each year.
The main focus in recycling lithium-ion batteries is the recovery of cobalt, as it has a high economic value and is a crucial raw material for the EU market. The European market held nearly 30% of the global market revenue in 2017. However, countries such as China and India are expected to witness tremendous growth rate in the near future owing to emerging automobile industry and increasing number of waste lithium ion batteries.