The lithium-ion battery recycling market is anticipated to record a noteworthy CAGR over the forecast period, i.e., 2021 – 2029. The growth of the market can be attributed to the rising use of battery-operated electric vehicles, and the increasing level of air pollution in recent years due to combustion of diesel and gasoline in conventional automobiles. The total number of electric vehicles (EV) sold worldwide grew by approximately 2 million from 2018 to 2019. More than 7 million EVs were sold in 2019. Apart from these, growing concerns regarding battery disposal and decline in the price of lithium-ion batteries are also estimated to drive market growth in the coming years. Furthermore, the properties of lithium-ion batteries such as favorable capacity-to-weight ratio and lower self-discharge rate than other batteries are expected to boost their demand in the near future.
The market is segmented by chemistry into lithium-manganese oxide (LMO), lithium-titanate oxide (LTO), lithium-nickel cobalt aluminum oxide (NCA), lithium-nickel manganese cobalt (Li-NMC), lithium-iron phosphate (LFP), and lithium-cobalt oxide (LCO), out of which, the lithium-nickel manganese cobalt segment is estimated to hold the leading share over the forecast period on the back of growing adoption of lithium-nickel manganese cobalt batteries for power tools, electric powertrain, and medical devices. Additionally, based on industry, the automotive segment is projected to grab the largest market share by the end of 2029 owing to the staggering adoption of lithium-ion batteries as a result of the ability of these batteries offer high energy and power density to the vehicle. The segment for power industry is also projected to hold a significant market share, which can be credited to the increasing production volumes for the end user of this industry in developing nations.
In 2018, the world’s total energy supply was 14282 Mtoe, wherein the highest share in terms of source was captured by oil, accounting for 31.6%, followed by coal (26.9%), natural gas (22.8%), biofuels and waste (9.3%), nuclear (4.9%), hydro (2.5%), and other (2.0%). Where there was an increase in energy demand in 2018, the year 2019 witnessed slow growth as the energy efficiency improved owing to decline in the demand for cooling and heating. However, in 2020, the electricity demand decreased by 2.5% in the first quarter of 2020 due to the outbreak of Coronavirus resulting in government imposed shutdowns in order to limit the spread of the virus, which was further followed by shutdown of numerous business operations impacting their growth. This also resulted in decline of 5.8% in the worldwide CO2 emissions which was recorded to be five times larger than the one recorded during the global financial crisis in 2009. However, in 2021, the demand for oil, gas and coal is estimated to witness growth, which is further projected to create opportunities for market growth. Moreover, rising environment degradation and awareness related to climate change is motivating many key players to employ sustainable energy strategies and invest significantly in environment-friendly power generation technologies with an aim to promote sustainable development among various nations around the world. Such factors are anticipated to promote the growth of the market in upcoming years.
On the basis of geographical analysis, the lithium-ion battery recycling market is segmented into five major regions, including North America, Europe, Asia Pacific, Latin America and the Middle East & Africa. The Asia-Pacific region is expected to grab the largest share in the market during the forecast period on the back of the rising demand for electric vehicles in major economies of the region such as Japan, China, and India. In addition, China is currently the largest manufacturer of lithium-ion battery for electric vehicles. China manufactured more than 70% of total lithium cells in the world in 2019. Moreover, increasing R&D investment by Indian government for developing efficient hybrid vehicles is also anticipated to fuel the growth of the region. Furthermore, Europe is expected to witness significant market growth in the forecast period owing to huge number of clean energy generation targets in the region and growing willingness of companies to develop technologies to treat different types of battery chemistries.
The lithium-ion battery recycling market is further classified on the basis of region as follows:
Our in-depth analysis of the lithium-ion battery recycling market includes the following segments:
FREQUENTLY ASKED QUESTIONS
Growing adoption of electric vehicles and environmental concerns associated with safe disposal of used batteries are major growth drivers for the market.
The market is anticipated to attain a noteworthy CAGR over the forecast period, i.e., 2021 – 2029.
Safety concerns regarding recycling of lithium-ion batteries is estimated to hamper the market growth.
Europe will provide more business growth opportunities in the future owing to the large clean energy generation targets in the region.
The major players in the market are Glencore PLC, Retriev Technologies, Umicore SA, Zhejiang Huayou Cobalt Co. Ltd., GEM Co. Ltd., and others.
The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue generating capacity as well as the new products being launched into the market by the company.
The market is segmented by chemistry, technology, industry, and by region.
The automotive segment is anticipated to hold largest market size and is estimated to grow at a notable CAGR over the forecast period and display significant growth opportunities.
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