Page 51 from: What’s inside issue #4?

51recyclinginternational.com | July/August | 2024

BATTERIES

efforts and clarify legal ambiguities.
Currently, the absence of HS codes
for these materials creates significant
hurdles in international trade, often
leaving recyclers in a legal grey area.

RIGHT BALANCE
Tim Hotz, analyst at Roland Berger,
highlighted the ambitious targets set
by original equipment manufacturers
(OEMs) for recycled content in batter-
ies. The industry is aiming for a
550-gigawatt capacity by 2030, driv-
en by both regulatory compliance and
market demand.
Hotz noted that while there is gener-
ally sufficient supply for compliance,
the tight balance for nickel and lithi-
um could create an undersupply,
potentially leading to a premium on
recycled materials.
Vertical integration trends, where car-
makers are increasingly getting
involved in battery production, is
seen as posing risks to smaller players
in the value chain. Larger facilities
offer economies of scale but the chal-
lenge lies in securing sufficient feed-
stock to fully utilise these capacities.
The recycling industry must navigate
this ‘chicken and egg scenario’, bal-
ancing investment with the availability
of recyclable materials.

PANEL VIEWS
Discussion by the panellists further
illuminated the complex landscape of
battery recycling. Dr Alexander
Zeugner, project manager at H.C.
Stark Tungsten Powders, emphasised
the need for subsidies and technical
hubs to boost recycling innovation.
Safety measures, particularly for
cobalt-containing batteries, are strict-
er in Germany compared to other
countries, he maintained, putting
local recyclers at a disadvantage.
Matt Stock, new technology specialist
at Benchmark Mineral Intelligence in
the UK, highlighted logistical chal-
lenges and the importance of opti-
mising material flows through
improved waste codes and legislative
alignment with EU directives. The
UK’s exit from the EU had created
uncertainty, Stock said, but he
believed the industry would follow EU

guidelines to remain competitive.
Cameron Lippert, co-founder of
ElectraMet in the US, discussed the
economic impact of logistics on bat-
tery recycling. He suggested that ‘co-
locating’ shredding facilities with pro-
duction hubs could reduce transpor-
tation costs and improve economic
feasibility. Lippert warned that with-
out proper incentives and coopera-
tion, many recycling facilities might
fail despite significant financial invest-
ments.

WHICH DIRECTION?
Hongqui Su, an analyst at Shanghai
Metals Market, provided insights into
China’s battery recycling landscape.
Despite having extensive production
facilities, many are underutilised due
to high feedstock prices and limited
profitability.
Su told delegates that Chinese recy-
clers are ‘betting on future battery
demand’, particularly for energy stor-
age, and are hopeful for regulatory
changes that could ease import
restrictions on black mass.
‘To use a soccer analogy, I think we
are 5-0 behind China,’ observed Nils
Steinbrecher, md of TES Sustainable
Battery Solutions. ‘They have so much
know-how when it comes to battery
production and recyclers are using
that to their advantage. We are still
catching up.
‘We tend to make things to bureau-
cratic, too difficult. It will ultimately
chase recyclers away from wanting to
process material in Europe. The
administration of sustainability will
also kill us.’
Common sense should prevail,
Steinbrecher believes. ‘I drive an elec-
tric car. When I’m tired of it, I will sell
it to whoever offers me the best
price. I am not going to give it back
to Nissan. It’s my car; I decide.
Economics inform our actions. Why
would we want to force consumers
into a corner?’
At the same time, Steinbrecher insists
that the mindset surrounding sustain-
ability is changing for the better.
‘People are engaged more than a few
years ago. I remember when people
were against the energy transition.

They were annoyed and didn’t see
the need. The motto was: “Solar
power is evil, wind turbines are evil.
Coal is just fine. What’s the prob-
lem?” We’ve come a long way.’

THE OUTLOOK
The conference concluded with a con-
sensus on several key points:
• Data and regulation: There is a

pressing need for more timely and
detailed data across the entire bat-
tery lifecycle, from production to
end-of-life. Regulatory frameworks
must evolve to address the com-
plexities of battery recycling and
trade.

• Technological innovation:
Advances in pre-treatment and
post-treatment processes, such as
the pyro-hydro flowsheet, are
essential for improving recovery
rates and economic viability.
Energy-efficient processes and the
development of high-quality feed-
stock control are critical.

• Collaboration and integration:
Vertical integration and strategic
partnerships among OEMs, recy-
clers, and regulatory bodies are vital
for building a sustainable battery
recycling ecosystem. Subsidies and
technical hubs can foster innovation
and competitiveness.

• Market dynamics: The fluctuating
prices of key materials like copper
and aluminium introduce uncertain-
ty. The industry must adapt to mar-
ket conditions while ensuring the
availability of feedstock through
improved collection and recycling
infrastructure.

Fotobijschrift

KADERKOP
??

Indonesia now leads in lithium production, which is essential for e-car batteries.

Co-locating recycling plants at battery production hubs is
hailed as a smart move.

50-51_batteryupdate.indd 51 03-07-2024 10:20