In the wave of the global acceleration towards clean energy transformation, lithium - ion batteries, as key energy storage devices, are widely used in electric vehicles, energy storage systems, and various electronic products. However, lithium - ion batteries have a limited service life. With their large - scale application, the generation of a large number of retired batteries has attracted great attention from all walks of life to resource recycling and environmental protection. From the perspective of the international market, the current situation of lithium - ion battery recycling is full of opportunities, but at the same time, it also faces many challenges.​

I. Scale and Potential of the International Recycling Market​

In recent years, the global lithium - ion battery recycling market has been steadily expanding. As the first batch of power batteries put on the market gradually usher in the "retirement wave", the market demand for battery recycling has increased rapidly. According to relevant institutions' forecasts, the global scrapped amount of power batteries will soar to 1483 GWh/year by 2030. Under this global trend, different countries and regions also show different development trends.​

In other parts of Asia, India's recycling capacity is 89,900 tons/year, while Japan and South Korea have relatively lower recycling capacities, at 6,000 tons/year and 28,000 tons/year respectively. However, these countries all have plans to further expand their recycling capacities, and other Asian countries and regions are also actively building new recycling facilities.​

The total recycling capacity in North America is currently 144,000 tons/year, which is obviously insufficient compared with the growth expectations of lithium - ion battery production and application. Nevertheless, the U.S. federal government is actively providing financial support to promote the construction of new recycling facilities and the improvement of existing ones, striving to increase the existing recycling capacity to more than 300,000 tons/year. For example, the U.S. Department of Energy's Loan Programs Office provided a conditional loan of $375 million to Li - Cycle US Holdings, a lithium - ion battery recycling and circular economy company, for the construction of lithium - ion battery recycling facilities in North America.​

Europe currently has a recycling capacity of more than 20,000 tons/year, distributed in many countries such as the United Kingdom, France, and Germany. With the implementation of the EU's "New Battery Regulation" in 2023, the European battery recycling industry has ushered in significant expansion, with many enterprises expanding their business scales or building new facilities. It is expected that this expansion will promote Europe's recycling capacity to exceed 1.12 million tons/year, among which Scotland, Hungary, and Italy are developing relatively rapidly, with Scotland's recycling capacity alone reaching 350,000 tons/year. Umicore, a Belgian multinational materials technology and recycling company, plans to build Europe's largest battery recycling plant, with an expected recycling capacity of 150,000 tons/year.​

It is not difficult to see from these data that the global lithium - ion battery recycling market is booming. A large number of retired batteries provide sufficient "raw materials" for the recycling industry, and the growing capacity indicates that the industry is about to usher in explosive growth, containing huge business opportunities.​

II. Opportunities Brought by International Policy Promotion and Supervision​

To standardize the development of the lithium - ion battery recycling industry, countries around the world have introduced relevant policies.​

The EU has strengthened the sustainable development standards of the battery industry through the "New Battery Regulation" and established a full - life - cycle supervision mechanism. This mechanism will have a profound impact on the entire value chain of batteries from production to recycling, promoting the European battery recycling industry to develop in a more standardized and sustainable direction. Although strict policy standards put forward higher requirements for enterprises, they also urge enterprises to increase R&D investment and improve technical level, so as to gain a more favorable competitive position in the global market. Some European enterprises that can take the lead in meeting policy requirements are expected to obtain more cooperation opportunities and market shares in the international market.​

At present, the United States has not yet introduced federal policies for lithium - ion battery recycling, but the U.S. Environmental Protection Agency said it is formulating a proposed guideline, which aims to separate lithium - ion batteries from the current general waste guidelines and list them as a new and independent category of general waste. It is expected that this proposed guideline will be released in mid - 2025. Once this policy is implemented, it will create a more orderly market environment for local lithium - ion battery recycling enterprises in the United States, stimulate their innovation vitality, attract more enterprises to enter this field, and promote the rapid development of the U.S. lithium - ion battery recycling industry.​

III. Opportunities in Technological Development and Innovation​

At the technical level, lithium - ion battery recycling technologies are constantly innovating, mainly including hydrometallurgy, pyrometallurgy, and direct recycling processes. The Fraunhofer Institute for Material Recycling and Resource Strategy in Germany evaluated that each kilogram of lithium - ion battery recycled can reduce carbon dioxide equivalent emissions by 2.7 - 4.6 kilograms, among which direct recycling has the most prominent environmental benefits. Some international enterprises have successfully developed new chemical processes that can completely separate copper foil from positive and negative electrode materials, achieving a recovery rate close to 100%.​

Digital solutions such as digital twins, blockchain, cloud computing, and artificial intelligence have also begun to emerge in the international battery recycling industry. In terms of the whole - life - cycle tracking of materials, through blockchain technology, information about lithium - ion batteries from production, use to recycling can be recorded and traced, ensuring that every link is traceable, and improving the transparency and credibility of recycling. In optimizing the recycling process, artificial intelligence can intelligently optimize the recycling process based on a large amount of historical data and real - time monitoring data, improving recycling efficiency and resource recovery rate. Using digital twin technology, a virtual model of a battery recycling plant can be created, and various recycling schemes can be simulated and verified in a virtual environment to find potential problems in advance and make improvements, reducing risks and costs in actual production. The application of these digital technologies has greatly improved recycling efficiency, enhanced traceability, provided strong support for enterprises to reduce costs and improve competitiveness, and opened up new business models and market spaces.​

IV. Existing Problems and Challenges​

Although the international lithium - ion battery recycling industry is full of opportunities, it still faces many difficult challenges.​

The large number of "small workshop" - style enterprises has seriously disrupted the market order, and this situation is not uncommon in the international market. These "small workshops" usually do not have environmental assessment permits and safety production qualifications, but they compete for sources of goods at a price 20% - 30% higher than that of formal enterprises. For example, in some regions, small workshops disassemble batteries in a simple and rough way, which not only causes great pollution to the environment but also makes it difficult for formal enterprises to obtain sufficient raw materials, unable to operate at full capacity, and fall into the predicament of "not having enough to eat".​

In addition, the high cost of battery recycling is also a common problem. A large amount of capital investment is required in links such as the purchase and maintenance of recycling equipment, the training of professional and technical personnel, as well as transportation and storage. Moreover, due to the continuous upgrading of battery technology, recycling technology also needs continuous research and development and improvement, which further increases the cost. At the same time, large fluctuations in market prices also bring great operational risks to recycling enterprises. The prices of key metals such as lithium, nickel, and cobalt contained in batteries are affected by various factors such as market supply and demand and international political and economic situations, and the prices fluctuate，making it difficult for recycling enterprises to accurately estimate costs and benefits, which affects the long - term and stable development of enterprises.​

In general, from the perspective of the international market, the lithium - ion battery recycling industry has a broad prospect and great potential in resource recycling and environmental protection. Although there are many challenges, with the continuous promotion of national government policies, continuous technological innovation, and the gradual improvement of market mechanisms, these challenges are expected to be gradually solved. Enterprises should seize the current opportunities, increase investment in technological research and development, improve their own strength, so as to gain a favorable position in the future market competition. At the same time, the government, enterprises, and all sectors of society need to work together, strengthen cooperation, standardize the market order, and promote the healthy and orderly development of the lithium - ion battery recycling industry.