Global Lithium-Ion Battery Recycling Market - 2020-2027
発行: DataM Intelligence
The global lithium-ion battery recycling market size was worth US$ XX billion by the end of 2019 and is estimated to show trajectorial growth by US$ XX billion by 2027, growing at a CAGR of XX% during the forecast period (2020-2027).
The lithium-ion battery is referred as a type of rechargeable battery that is less toxic and can be easily recyclable and reused. These batteries are in popular demand for portable electronics and electric vehicles and are tremendously growing in military and aerospace applications. With improving lithium-ion battery usage in various consumer products, the danger of explosion and their disposal has become tough; therefore, to prevent such severe disasters, lithium-ion battery recycling becomes necessary. Many key players are also favoring lithium-ion batteries' recycling to avoid the loss of useful metals such as high-grade copper, aluminum, cobalt, nickel and other high-grade rare earth metals.
Today, recycling can recover nearly 25-95% of the lithium-ion cell's material, depending on the type of technology used for the separation. Various technological procedures, such as the hydrometallurgical process, pyro-metallurgy and other mechanical processes, are used to achieve recycling.
As of 2019, in most cases, Li-ion battery recycling does not extract lithium since lithium-ion battery technology continuously changes and the recycling process of these batteries can thus be outdated in coming years. Also, lithium extraction from old batteries is five times more expensive than mined lithium; therefore, lithium extraction becomes challenging in recent times.
The global lithium-ion battery recycling market is driven due to increasing adoption and investment in electric vehicles' development by various manufacturers globally. Growing government policies and EPA guidelines imposed by countries regarding the safe disposal and recycling of spent batteries propel the lithium-ion battery recycling market. The growing demand for lithium-ion batteries from various end-users such as power plants, marine and industrial applications is more likely to fuel the market of li-ion battery recycling in the forecast period.
Increasing adoption and investment in the development of electric vehicles by various manufacturers globally
As per the forecast done by the International Energy Agency, the number of electric vehicles on the world's road is expected to increase from 3 million to 125 million by 2030. Sales of electric cars topped 2.1 million globally in 2019, surpassing the sales of the 2018 year. As of now, electric vehicles accounted for 2.6% of global car sales and about 1% of global car stock in 2019, which made it register a 40% year-on-year increase. However, the growing number of electric vehicles offers a serious waste-management challenge for recyclers at end-of-life. Industry analysts projected that by 2030, the world would hit 11 million metric tons of used Li-ion batteries per year.
Batteries powering electric vehicles consume a lot of plastics, rare minerals and metals. Most businesses have begun to recycle lithium-ion batteries as raw materials such as cobalt or lithium have low accessibility, thereby increasing the market of Li-ion battery recycling in the forecast period. Also, lithium metal availability is limited and they offer high energy and power density, which leads to increased demand for the battery. Therefore, recycled metal is preferred in the production of these batteries.
Stringent government regulation and EPA guidelines imposed by various countries globally
Batteries are composed of heavy metals and hazardous chemicals; hence, the direct disposal of these batteries waste has garnered environmental concerns due to water and soil contamination. Thus, various countries impose strict rules to encourage recycling batteries and dumping them into the environment after primary and secondary treatment. Out of various regional players, North America topped the ranking of li-ion battery recycling market share. The dominance is attributed to the Environment Protection Agency (EPA) focusing on air emission standards in the region. In countries like Germany, the law must submit the expired batteries to the designated stories to get them recycled. Various companies are now trying to bring a new approach to drop down the process cost of a recycling plant and combat environmental pollution.
The Battery Directive was set up in 2006 by the European Union, responsible for regulating and recycling batteries. The team was set up to tackle the increasing number of batteries entering the EU market. The main focus is to extract cobalt from the Li-ion batteries as it holds high economic values and is an important raw material for the EU market. Thus these regulatory bodies are expected to propel the demand for Li-ion battery recycling in the forecast period.
Growing advancements in battery technologies lead to building technologically advanced batteries by the manufacturers, thus creating massive opportunities for the battery recycling companies to invest and redirect their resources to bring a breakthrough recycling technology.
Various manufacturing companies are trying to bring the most efficient battery at a cheaper cost in the market. The arrival of advanced technology created enormous opportunities for the battery recycling industries to invest a significant chunk of their revenue on redirecting their resources to bring a breakthrough recycling technology in the market, thus creating lucrative opportunities for the market to proliferate recent times. Recently scientists at WMG at the University of Warwick have developed a technology that allows the current Li-ion battery to be charged up to five times faster than the current recommended limit.
The technology also continually measures the battery's temperature far more precisely than the pre-existing methods. Thus, this technology's arrival created opportunities for the recycling industries to treat the batteries with charge percentage and add values to Li-ion battery recycling's growing market.
For instance, in 2019, Akkuser OY & Digitoimisto ROI, a company based in Finland, is developing new technology to recycle low-grade cobalt-Li batteries. The new technology will be the advanced version of the dry technology method used for battery recycling.
COVID-19 Impact Analysis
The global Li-ion battery recycling has shown a slight decline due to the Covid-19 pandemic since many manufacturing facilities were closed for months. Further several countries have restricted their activities during the covid-19 pandemic. The major lockdown due to the COVID-19 outbreak leads to suddenly dropping down consumers' interest in purchasing any goods and halt in transportation sectors has severely hampered the business of Li-ion battery recycling market due to disruption in the product's supply chain management.
The majority of businesses are shut down and operations across several end-users of Li-ion battery products such as automotive, industrial, power plants and marine are also compromised, thus dropping the product's global demand in 2020. Many research institutes either health their ongoing research or has shifted towards understanding coronavirus's behavior activities, impacting Li-ion battery recycling studies' ongoing research.
The global Li-ion battery recycling market is segmented based on technology, battery chemistry, end-user and region.
Rising demand and investments in the electric vehicle industries and increasing usage of the Li-ion batteries in the automotive industry
In terms of end-user, the global Li-ion battery recycling can be bifurcated into automotive, marine, industrial and power. Out of the mentioned segments, automotive dominated the recent Li-ion battery recycling market and expected to maintain its dominance in the forecast period due to rising demand and investments in the automotive sector. Another reason for the growing demand for Li-ion battery recycling in the automotive industry is the growing popularity and demand for electric vehicles globally. Millions of vehicles are equipped with or directly powered by Li-ion batteries, thus mitigating environmental pollution and reducing energy use. The rapid increase in the Li-ion batteries in electric vehicles is expected to build a large market of spent Li-ion batteries in the near future. Remanufacturing, repurposing and recycling are the key options for Li-ion battery recycling in the automotive industries.
As per an article published in Science direct 2019, Li-ion battery sales have increased by 16%per year from 1996 to 2016 and in 2016 the global market for Li-ion batteries was over $20 billion at the cell level. The market is estimated to reach up t0 $40 billion and out of which $15 will be covered by the hybrid and electric vehicles market. Therefore, this number of Li-ion batteries in electric vehicles are directly responsible for building the Li-ion battery recycling market in the automotive segment in the forecast period.
Rising market of electric vehicles and stringent government regulation by the North American region
As per the U.S Energy Information Administration forecast, by 2035 U.S, there will be 1.4 million electric vehicle sales, making North America the dominating region of Li-ion battery recycling market in the forecast period. The demand for electric vehicles is expected to maintain similar trends in the coming years due to the Environment Protection Agency (EPA) regarding air emission standards in the North American region.
Asia-Pacific is expected to grow the Li-ion battery recycling market at the fastest rate in the forecast period due to the new market's emergence for electric vehicles. The energy storage system for residential and commercial applications drives the market in the region. Also, China topped the lithium-ion batteries for the electric vehicle market and the country accounts for around 40% of the global sale of the electric vehicle. Thus, these rising numbers of end-users and manufacturing of Li-ion batteries in the region are triggering the recycling plants' market in the region.
The lithium-ion battery recycling market is highly fragmented and competitive, with the presence of a large number of local and global companies. Some of the key players contributing to the market's growth include Umicore SA, Glencore PLC, GS Yuasa Corporation, Brunp Recycling, Storage Battery System, International Metals Reclamation Company, Retriev Technologies, Taisen Recycling, TES-Amm, Duesenfeld and among others.
The major players are adopting several growth strategies such as product launches, acquisitions and collaborations, contributing to the Li-ion battery recycling market's growth globally. However, many key manufacturers prefer to acquire and partner over other growth strategies in recent times.
Overview: The company is a global material technology and recycling group that reduces harmful emissions, gives new life to used metals and power the vehicles and technologies of the future. The company started with different numbers of mining and smelting companies and gradually evolved to build a material technology and recycling of precise metals such as cobalt, zinc, germanium and others. The company has built 75% of the revenue from clean mobility and recycling.
The global Lithium-ion battery recycling market report would provide access to an approx: 76 market data table, 80 figures and 244 pages.
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