Two Japanese corporations are joining forces to close the loop on recycling electric vehicle batteries.
Recycling Today reported on the joint venture between Panasonic Energy and Sumitomo Metal Mining. It focuses on recycling lithium-ion batteries to produce nickel, which will be used in future batteries.
The end result is that scrap materials from discarded EV batteries will be turned into the materials needed to produce future EV batteries.
Criticisms of EVs include the amount of mining needed to make their batteries (although it is a drop in the bucket compared to dirty energy mining) and the waste created when batteries reach the end of their lifespan.
This initiative could help with both issues.
"Building a sustainable recycling scheme for end-of-life lithium-ion batteries is crucial for the future expansion of EVs," Panasonic Energy CEO Kazuo Tadanobu said, according to Recycling Today. "This collaboration supports our mission of fostering a sustainable society."
Watch now: How easy is it really to charge an EV?
Many new developments have occurred in EV battery technology in recent years. A 2024 study showed that batteries can last more than 20 years, meaning they may outlast the cars themselves. And one multimillion-dollar project is working on a new type of EV battery that researchers believe will last 10 years longer than current batteries while charging in a matter of minutes.
Even if batteries last longer than initially thought, finding eco-friendly ways to dispose of them will be key as EVs continue to grow in popularity. Roughly 1.3 million EVs were sold in the United States in 2024, according to Cox Automotive, an all-time high and a 7.3% increase over the previous year.
An EV is one of the most significant purchases you can make in terms of reducing carbon pollution. Even when including the materials required to build an EV and its battery and the electricity needed to charge it, an EV produces about half the pollution of a gas-powered car over its lifetime.
Panasonic and Sumitomo plan to expand the initiative in the future, including other battery materials such as lithium and cobalt.
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