The recycling of used batteries refers to the recycling and reuse of used batteries. The most used industrial batteries in China are lead storage batteries, where lead accounts for more than 50% of the total battery cost. It is the reuse and reprocessing practice of batteries aimed at reducing the number of batteries disposed of as material waste. Battery recycling aims to reduce the number of batteries disposed of as municipal solid waste. The main methods are fire, hydrometallurgy, and solid-phase electrolytic reduction technology.
The global battery recycling market size was valued at USD 16.6 billion in 2019 and projected to reach USD 24.80 Billion by 2027, registering a CAGR of 4.85%. The major factors driving the market are the rising concerns regarding depleting precious and rare earth metals and growing inclination towards recycled products and materials. Further, stringent government regulations and the growing demand for battery recycling in various industries, including transportation, consumer electronics, and industrial applications is anticipated to drive the growth of the global battery recycling market during the forecast period. Additionally, the surge in concerns over battery waste disposal and rise in usage of lithium-ion batteries due to the declining lithium-ion battery prices driving the market growth throughout the forecast period. With increasing sustainability trends, and the upsurge in demand for electric vehicles has been striving a positive growth trend for the global battery recycling industry.
Moreover, the rise in awareness about environmental and health hazards is a major demand trigger for the market. Also, the government pushes for electric vehicles along with rising demand for smart devices throwing a sizeable opportunity for the growth of global battery recycling market share in the future periods. The reduction of toxic effects of metals used in batteries and high recycling rate associated with the lead-acid battery is projected to foster the market growth in the analysis periods. Furthermore, the recycling of batteries will reduce the overall emission and energy consumption related to the mining of fresh raw materials. These benefits will trigger the growth of the battery recycling market in the upcoming years. The rise in demand for electronic equipment and increasing consumption of portable electronics such as laptops, mobile phones, tablets, digital cameras, camcorders, etc. are estimated to boom the market growth.
With the increasing depletion of global oil reserves and the continuous deterioration of the environment, new energy vehicles will become the future development direction of automobiles. Lithium-ion, nickel-metal hydride, and other power batteries have emerged with outstanding comprehensive performances such as high specific energy, long life, suitable for large current discharge, and no pollution. They have become the preferred green power source for new energy electric vehicles.
It is foreseeable that in the future, battery recycling will become an emerging industry. The recovery and regeneration of failed power batteries will bring not only huge environmental benefits but also bring considerable economic and social benefits. These can not only effectively control the cost of the battery, but also have a positive effect on the popularity of hybrid vehicles.
The rare earth resources used in nickel-metal hydride batteries are mainly mixed rare-earth metals such as lanthanum, cerium, praseodymium, and neodymium. They exist in the form of nickel-cobalt, manganese, and other metals through melting to form a hydrogen storage alloy anode active material. It can be seen from this that the chemical composition of nickel-metal hydride batteries is very complex and compared with other batteries such as nickel-cadmium batteries, its recovery, and separation is much more difficult.
Based on Chemistry, the global battery recycling market classified into Lithium-ion battery, Lead-acid battery, Nickel-Cadmium battery, and others. The Lead-acid battery dominated the market with the highest revenue share in 2019 and will witness significant growth in the forecast period. It is primarily attributed to the growing usage of lead-acid in various applications for its benefits such as simplicity, cost-effectiveness, and energy efficiency.
The lithium-ion battery is anticipated to exhibits a momentous growth in the market in the estimated period due to the surge in demand for lithium-ion batteries in portable devices, electric vehicles, and energy storage systems due to low maintenance and higher efficiency.
Based on the source, the global battery recycling market segregated into automotive batteries, industrial batteries, and consumer & electronic appliance batteries. The automotive batteries segment held a lucrative share in 2019 and projected to dominate the global battery recycling market by 2027. It is owing to the rising use of automobiles and the growing number of government regulations related to battery recycling. The rise in the use of automobiles in emerging regions, such as the Asia Pacific and the growing number of government regulations related to battery recycling.
The industrial batteries will be the fastest-growing segment in the forecast period. It is on account of the increasing demand for lead-acid batteries in forklift, emergency power backup, heavy machinery, and UPS systems due to its cost-competitive, heavyweight, and maintenance-free.
Based on the application, the global battery recycling market segmented into transport, consumer electronics, industrial, and others. The transport segment led the battery recycling market in 2019 and is expected to witness significant growth during the forecast period based on rising demand for battery in the automobile as it can deliver high power to start an engine. Additionally, the growing demand for electric vehicles will spur the transport battery market.
The industrial segment will grow at a significant rate during the forecast period. It is owing to the rising usages of lead-acid in Uninterruptible Power Supply systems as they provide high power density and enhanced life expectancy along with the increasing adoption of UPS systems as an essential power backup device in various industries.
Based on the processing state, the global battery recycling market categorized into the extraction of materials, disposal, and repackaging, reuse, and second life. The repackaging, reuse, and second life segment held for a significant market share in 2019 and will witness to gain maximum market revenue by 2027. It is attributable to these states’ help in evaporates the battery, which can recover and then extract battery products.
Based on geography, the global battery recycling market segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa. The Asia Pacific captured the largest market share of 2019. It is owing to the growing demand for electric vehicles, strong economic growth, the rapid pace of urbanization, and the changing standard of living.
Europe is estimated to occupy an attractive growth rate in the global battery recycling market by 2027. The rising growth is attributed to the increasing demand for the UPS system in commercial infrastructure, increasing demand for electric vehicles, and the presence of key recyclers in these regions.
Companies such as Call2Recycle, Inc, Battery Solutions, LLC, Exide Technologies, Umicore, Exide Industries Ltd., Contemporary Amperex Technology Co. Ltd. (CATL), GEM Co., Ltd., EnerSys, Johnson Controls International plc, Aqua Metals, Inc., Retriev Technologies Inc., Gravita India Limited, ECOBAT Logistics, Fortum Oyj, Teck Resources Limited, American Manganese Inc., Glencore International AG, TES-AMM Singapore Pte Ltd, RSR Corporation, COM2 Recycling Solutions, are the key players in the global battery recycling market.
By Processing State