The recycling of power batteries, whether for secondary use or as raw materials, requires the support of recycling entities. However, the current situation is far from ideal. So why has power battery recycling become such a challenge?
The main body of recycling is missing
Based on the characteristics of power batteries and following the principle of recycling, my country currently advocates the principle of first utilizing retired power batteries in a tiered manner before scrapping and recycling them, and requires vehicle manufacturers to act as the main body responsible for power battery recycling. However, since most vehicle manufacturers are merely "assemblies" for electric vehicles, while batteries are supplied by specialized battery companies, a phenomenon has emerged where three types of entities coexist in power battery recycling: the first type is vehicle manufacturers; the second type is battery manufacturers; and the third type is power battery scrapping and recycling companies and raw material companies.
"According to regulations, automakers should bear the primary responsibility for recycling, but they are not omnipotent," said Cui Dongshu, Secretary-General of the China Passenger Car Association. To a certain extent, automakers are more like "assembly plants" for electric vehicles, responsible for the normal use of batteries during the warranty period. Production, supply, secondary use, and recycling are the expertise of battery companies. "I believe that whoever sells the battery should be responsible for it; at the very least, there should be cooperation between the two parties. Unfortunately, battery companies are often excluded from the recycling system, and their responsibilities are currently unclear."
Recycling technology bottlenecks need to be overcome
Due to their large size and complex composition, the recycling and reuse of power batteries faces many limitations and high technical barriers.
Dismantling retired batteries is complex due to significant differences in type, specifications, and manufacturing processes, as well as variations in series/parallel connection configurations, vehicle models used, usage time, and operating conditions. Furthermore, the lack of a unified standard for power batteries in my country hinders large-scale centralized utilization.
Even considering recycled batteries, including lithium batteries, the cathode materials are incredibly diverse, with mainstream options including lithium cobalt oxide, lithium manganese oxide, lithium nickel cobalt manganese oxide, and lithium iron phosphate. The process involves leaching with acid and alkali solutions, followed by various chemical processes to extract the metal oxides. However, the extraction conditions for these oxides differ, making the mixed solutions even more challenging.
Uncertain recycling model
Despite the difficult start, the prospects are generally viewed favorably by the industry. Overall, the large-scale "retirement wave" of power batteries has not yet arrived, and the dismantling and recycling of power batteries is still difficult to achieve economies of scale.
For example, some automakers have chosen to collaborate with other companies to jointly promote the recycling and reuse of power batteries in China. Sixteen vehicle and battery manufacturers, including Changan, BYD, and Yinlong New Energy, have partnered with China Tower Corporation, a major player in power battery recycling, to address issues related to the recycling and reuse of retired power batteries.
Besides vehicle manufacturers, battery producers have also actively explored this area. Companies like CATL, CALB, BAK Battery, and Guoxuan High-Tech have established battery recycling networks and begun to develop power battery recycling businesses. Some institutions even predict that the power battery recycling market will become a new "hotspot" worth tens of billions of yuan. This is why, in addition to automakers, battery companies, and raw material recycling companies, capital is also pouring into this field, seeking new opportunities.
