Lithium-ion Battery Recycling Market To Reach $2,741.5 Million By 2033

Lithium-ion Battery Recycling Market Growth & Trends

The global lithium-ion battery recycling market size is expected to reach USD 2,741.5 million by 2033, registering a CAGR of 30.9% from 2026 to 2033, according to a new report by Grand View Research, Inc. The market is experiencing unprecedented growth, driven by the surge in demand for electric vehicles (EVs), consumer electronics, and renewable energy storage solutions. As the world is embracing cleaner energy sources, the necessity for sustainable battery manufacturing and disposal practices has become increasingly critical.

The market offers a range of opportunities for businesses, investors, and environmental advocates. Companies specializing in battery recycling, such as Li-Cycle Corp., Retrieve, and Umicore, are developing efficient and cost-effective recycling processes to meet the rising demand.

Moreover, partnerships between battery manufacturers, EV manufacturers, and recycling companies drive collaboration across the value chain, ensuring the responsible management of lithium-ion batteries from production to end-of-life. For instance, in February 2023, Tesla, an EV manufacturer, partnered with Redwood Materials, a battery recycling company established by a former Tesla Chief Technology Officer. This collaboration is focused on advancing technologies dedicated to recycling lithium-ion batteries utilized in Tesla vehicles.

One of the key drivers of the market is the automotive sector’s rapid electrification. With significant automakers committing to electrify their vehicle fleets, the demand for lithium-ion batteries is soaring. As a result, the need for efficient recycling solutions to recover valuable materials such as lithium, cobalt, and nickel is paramount.

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Lithium-ion Battery Recycling Market Report Highlights

• The global lithium-ion battery recycling market continues to gain traction, driven by the rapid expansion of electric vehicles (EVs), energy storage systems (ESS), and consumer electronics, which is accelerating the generation of spent batteries worldwide

• The global lithium-ion battery recycling market continues to expand, driven by the rapid growth of electric vehicles (EVs), energy storage systems (ESS), and consumer electronics, which is significantly increasing the volume of end-of-life lithium-ion batteries.

• Emerging opportunities are linked to the increasing shift toward localized battery supply chains and the rising focus on securing critical raw materials for next-generation batteries.

• However, the market faces several restraints, including high capital requirements for setting up recycling facilities, complex dismantling processes, and the need for safe handling of hazardous battery components

• Asia Pacific accounted for approximately 44.1% of the global Lithium-ion Battery Recycling market revenue in 2025, driven by the region’s dominance in EV production, battery manufacturing, and consumer electronics

Lithium-ion Battery Recycling Market Segmentation

Grand View Research has segmented the global lithium-ion battery recycling market report on the basis of application, and region:

Lithium-ion Battery Recycling Application Outlook (Revenue, USD Million, 2021 - 2033)

• Transportation

• Consumer Electronics

• Industrial

Lithium-ion Battery Recycling Regional Outlook (Revenue, USD Million, 2021 - 2033)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • Germany

  • UK

  • Italy

  • Spain

  • Netherlands

  • Poland

• Asia Pacific

  • China

  • Japan

  • India

  • South Korea

  • Australia

• Latin America

  • Brazil

  • Argentina

• Middle East & Africa

  • Saudi Arabia

  • UAE

  • South Africa

List of Key Players in Lithium-ion Battery Recycling Market

• Li-Cycle Corp.

• Redwood Materials, Inc.

• Umicore

• Glencore

• Ecobat

• Cirba Solutions

• American Battery Technology Company (ABTC)

• Fortum

• Retriev Technologies

• GEM Co., Ltd.