According to the recent report, published by QYResearch, the global EV Battery Recycling and Disassembly Equipment market is poised for robust growth, projected to increase from USD 1927 million in 2024 to USD 3779 million by 2031, representing a Compound Annual Growth Rate (CAGR) of 10.1% during the forecast period of 2025 to 2031. This growth reflects not only the surging demand for electric vehicles globally but also the rapid evolution of recycling and disassembly technologies across major regions.
EV Battery Recycling and Disassembly Equipment
Latest Trends in the Industry (2025)
The lithium-ion battery recycling industry is undergoing significant transformation in 2025, driven by technological advancements, environmental regulations, and the increasing demand for sustainable energy solutions. Key trends include the adoption of automated disassembly systems, AI integration, advancements in hydrometallurgical processes, and regional developments across North America, Europe, and Asia.
1. Automation and AI Integration
Companies are increasingly adopting automated and semi-automated disassembly systems to enhance safety, efficiency, and cost-effectiveness in battery recycling. Redwood Materials, for instance, has integrated AI-enabled platforms to streamline operations, achieving a 95% recovery rate of key elements such as lithium, nickel, and cobalt. The acquisition of Redux Recycling GmbH in 2023 further bolstered Redwood’s capabilities, enabling the processing of 10,000 tonnes of batteries annually.
Fortum has also embraced AI and automation in its recycling processes. The company’s facility in Ikaalinen, Finland, utilizes mechanical processing to recover materials like plastics, aluminium, and copper, while the black mass containing critical metals undergoes hydrometallurgical processing at Fortum’s Harjavalta plant.
2. Advancements in Hydrometallurgical Processes
Hydrometallurgy has become a preferred method for extracting valuable metals from lithium-ion batteries due to its efficiency and environmental benefits. This process involves leaching, solvent extraction, precipitation, and purification steps to separate and recover metals such as lithium, cobalt, nickel, and copper.
Umicore has developed a proprietary hydrometallurgical process that significantly enhances resource recovery, successfully reclaiming 95% of lithium from scrap battery materials. Glencore, in collaboration with Li-Cycle, announced plans to establish Europe’s largest battery recycling plant, leveraging hydrometallurgical technology to process end-of-life batteries.
3. Regional Developments
North America
Redwood Materials is at the forefront of battery recycling in North America, aiming to produce enough battery materials for 1 million electric vehicles annually. The company has also partnered with Lime to recycle batteries from e-bikes and scooters, further expanding its recycling initiatives.
Europe
In Europe, Fortum and Vianode have signed a Memorandum of Understanding to develop a sustainable EV battery recycling value chain, focusing on the recovery of graphite and other critical materials. Umicore continues to strengthen its leadership position by scaling up recycling operations and exploring partnerships to enhance value recovery.
Asia
SungEel HiTech is expanding its recycling capabilities in Asia, with plans to build a new facility in Poland to process production rejects from LG Chem’s cell manufacturing. Accurec Recycling GmbH focuses on integrated recycling systems, emphasizing crushing, separation, and de-energizing technologies to improve efficiency and safety.
4. Market Growth and Future Outlook
The global EV battery recycling market is projected to grow significantly, with its value increasing from USD 0.54 billion in 2024 to USD 23.72 billion by 2035, at a CAGR of 40.9%. This growth is driven by advancements in recycling technologies, strategic collaborations, and supportive regulatory frameworks aimed at promoting sustainable practices in the battery industry.
Leading Companies
Key manufacturers in the global EV Battery Recycling and Disassembly Equipment market include:
Li-Cycle
Umicore
TES
Glencore
Ecobat
SungEel HiTech
Accurec Recycling
Fortum
Redwood Materials
Duesenfeld
Stena Recycling
American Battery Technology Company
Retriev Technologies
Neometals
Batrec Industrie AG
Market Segmentation
By Type
Fully Automated Disassembly Equipment
Semi-Automated Disassembly Equipment
Crushing and Separation Equipment
Thermal Treatment and Smelting Equipment
Others
By Application
Power Battery Recycling
Battery Materials Regeneration
Production Scrap Processing
R&D and Laboratory Use
Others
Regional Outlook
The North American and European markets are projected to witness strong momentum, led by national sustainability goals and favorable policy environments. The U.S. market, however, faces uncertainties due to evolving tariff policies, which could influence supply chain configurations and import/export strategies.
China and Japan remain critical hubs for equipment manufacturing and innovation. China, in particular, is expected to see high growth in semi-automated disassembly applications due to its rapidly aging EV fleet and rising end-of-life battery volumes.
This report delivers a comprehensive view into the competitive landscape, investment priorities, and strategic positioning of leading market players. As the global push for battery sustainability intensifies, innovation in disassembly and recycling equipment will remain pivotal to achieving circular economy targets in the EV sector.
Related Reports:
Global EV Battery Recycling and Disassembly Equipment Sales Market Report, Competitive Analysis and Regional Opportunities 2025-2031
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