Battery materials recycling market shows steady growth

According to a new research report by Global Market Insights, the battery materials recycling market will surpass USD 40 billion by 2025.

The battery materials recycling market is propelling from the past few years as a result of surging government regulations against dumping hazardous solid waste including batteries and growing demand from the end user industries especially from automotive and industrial sector. Growing concerns regarding fossil fuels sustainability in future as they are on way to extinction, potential market players have been scrupulously planning a future thriving on electricity fuel deployment. The rising wave for renewable energies and electric vehicle is the major growth driver for this market. Also, stringent government regulations in Europe and North America are on their way to reshape future of battery materials recycling market.

Although battery recycling was introduced globally as a move towards sustainable environment, but the objective does not prove it well since extraction of material when not performed in controlled conditions might cause co2 emission as well as land and water contamination. Apart from environmental concerns, recycling process is not much economically viable which will hinder many small players to enter the battery materials recycling market.

Owing to huge application of lead acid batteries in automotive sector, lead is recorded to be the most recycled material accounting for a market share of over 50% in 2025. The reasonable cost and energy efficient production process is expected to further drive the growth of lead extraction in future. On the other hand, iron is next most extracted material which is reused across numerous sectors. Plastics and steel are also extracted in large amounts from battery recycling technique which are then reused in ample number of areas including textiles, electronics, building & construction, aerospace and many other.

Among all end user industries, the major application of battery materials recycling market has been seen in consumer goods & electronics industry by generating revenue USD 6.5 billion in 2018. Consumer goods & electronics industry utilizes the recycled materials in further production of new batteries or to make new appliances depending upon the type of material recycled. It utilizes materials such as iron, lead, plastics, etc.
Based on region, Asia Pacific emerged as the highest revenue generator for battery materials recycling market, raised by its huge domestic battery production as a result of increasing motor vehicle demand in economies such as China and India. For instance, automotive sector contributes to around 7% to India’s GDP. Future it also evident that government initiatives are also in favor of uplifting the automobile sector. For instance, National Electric Mobility Mission Plan (NEMMP) in India aims to improve long term growth of this sector.

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