Dealers selling electric vehicles may be interested to note the global EV battery recycling market will be worth US$3.88 billion this year and is projected to reach US$15.58 billion by 2030. This is because of the rapid growth in EV use as adoption increases, according to Mordor Intelligence.
They said the market will grow at a CAGR of 32.05 per cent during the forecasted period and that the increase in EV adoption is driving a demand for sustainable end-of-life solutions.
“The rapid growth of electric vehicles is now triggering a parallel wave of end-of-life batteries,” said Mordor Intelligence in its update. “This shift is reshaping the recycling industry, as rising volumes, tougher regulations, volatile mineral prices, and automaker strategies all converge to create both challenges and major opportunities.”
The company underlined that the first wave of EV batteries is reaching retirement, which in turn will drive a surge in material that’s available for recycling. Since used packs contain richer metal concentrations, according to Mordor Intelligence, recyclers can benefit from better margins.
As for “volatile mineral prices,” there have been pullbacks but lithium and cobalt prices remain well above past levels. “Recycling offers a cheaper, more reliable alternative to mining while reducing exposure to geopolitical risks,” said Mordor Intelligence.
They also noted that OEMs have been partnering with recyclers to reduce emissions and localize sourcing. And that these agreements guarantee demand for recyclers, while also supporting “rapid scaling of technologies tailored to specific battery chemistries.”
Both Canada and the U.S. are investing in large-scale plants. Supportive policies and those OEM-recycler partnerships are helping to secure access to critical minerals.
