Battery Recycling Market Driven by Rising EV Adoption

The global battery recycling market was valued at USD 1.83 billion in 2023 and is anticipated to reach USD 17.08 billion by 2030, expanding at a robust CAGR of 37.6% from 2024 to 2030. This rapid growth is primarily driven by the accelerating adoption of electric vehicles (EVs) and the increasing deployment of renewable energy storage systems. As battery usage rises across transportation and energy sectors, the volume of end-of-life batteries is also increasing, significantly strengthening the demand for efficient and sustainable recycling solutions.

Battery recycling plays a critical role in reducing environmental pollution, recovering valuable raw materials, and supporting circular economy initiatives. Governments and regulatory bodies worldwide are actively introducing policies and frameworks aimed at minimizing battery waste and encouraging recycling practices, which is further expected to support long-term market expansion.

Key Market Trends & Insights

Asia Pacific accounted for the largest revenue share, exceeding 40.0% in 2023. The region’s dominance can be attributed to rapid industrialization, expanding automotive production, and growing investments in renewable energy. Countries including China, India, Australia, and Japan are projected to witness significant growth due to rising demand from automotive, industrial, and energy storage end-use sectors.

By chemistry, the lead-acid battery segment led the market, capturing more than 84.0% of total revenue in 2023. The widespread use of lead-acid batteries in automotive and industrial applications, combined with well-established recycling infrastructure, continues to support segment dominance. In terms of application, the transportation segment held the largest revenue share of over 73.0% in 2023, driven by the increasing penetration of electric vehicles and hybrid automobiles worldwide.

Market Size & CAGR

• 2023 Market Size: USD 1.83 Billion
• 2030 Projected Market Size: USD 17.08 Billion
• CAGR (2024–2030): 37.6%
• Leading Region (2023): Asia Pacific

Supportive government regulations aimed at promoting battery recycling and reducing landfill waste are expected to further accelerate market growth. These initiatives encourage manufacturers and consumers to adopt responsible disposal and recycling practices, contributing to a more sustainable battery value chain.

In North America, the United States emerged as the largest market in 2023. Growing EV sales, supported by favorable federal and state-level policies, are driving battery demand and recycling activities. The Responsible Battery Recycling Act of 2022 in California mandates battery retailers to establish collection systems for used rechargeable batteries, ensuring their proper recycling and reuse. The presence of major recycling companies and advanced infrastructure further strengthens the U.S. market outlook.

The U.S. has also become a key hub for lithium-ion battery recycling due to the establishment of large-scale processing facilities. For example, Li-Cycle Corp. launched a lithium-ion recycling facility with 120,000 square feet of warehousing space, capable of processing 10,000 tons of EV battery material annually and recycling up to 60,000 electric vehicle batteries.

Order a free sample PDF of the Battery Recycling Market Intelligence Study, published by Grand View Research.

Key Companies & Market Share Insights

The battery recycling market is highly competitive and consolidated, characterized by the presence of established players with strong operational capabilities. Key strategies adopted by market participants include mergers and acquisitions, partnerships, capacity expansions, and technological advancements to enhance recycling efficiency and market reach.

• In November 2023, Redwood Materials announced an expansion of its battery recycling operations to address the rising demand for EV battery recycling.

Key Battery Recycling Companies:

• Call2Recycle
• Exide Technologies
• Gravita India Ltd.
• Glencore
• Cirba Solutions
• American Battery Technology Company
• Gopher Resource
• East Penn Manufacturing Co.
• Aqua Metals

Conclusion

The battery recycling market is poised for exceptional growth through 2030, supported by the global shift toward electric mobility, renewable energy storage, and stricter environmental regulations. With Asia Pacific leading in revenue and the U.S. advancing in lithium-ion recycling infrastructure, the market is expected to play a crucial role in ensuring sustainable resource utilization and reducing the environmental footprint of battery consumption worldwide.

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