The global battery recycling market is expected to reach USD 21.04 billion by 2025, growing at a CAGR of 10.4%, according to a report by Grand View Research, Inc. The presence of stringent government regulations is expected to have a positive impact on the market growth over the next eight years.
Transportation application is expected to witness rapid growth in the battery recycling market. Growing demand for lithium-ion battery in electric vehicles and portable devices on account of its high efficiency, long life, and low maintenance is expected to positively impact the demand for recycled products.
The industry is price driven, which in turn is expected to restrain the market growth over the forecast period. Price becomes a key differentiating factor as most recyclers make use of more or less the same technology. High competition among the players does not allow large variation in the prices, thereby reducing the profitability of recycling firms.
Companies are making efforts to improve the competitiveness by setting up new collection centers and recycling plants. Moreover, new processes are being developed to bring down cost & combat environmental pollution. ECOBAT has developed its own collection system to collect spent batteries.
Further key findings from the report suggest:
- The lithium-ion segment is expected to register a CAGR of 11.3% from 2017 to 2025, due to the growing demand from the electric vehicle industry
- Lead acid segment dominated the market in 2016 and is likely to grow at a predicted CAGR of 10.5% from 2017 to 2025 owing to its high recycling ability, cost efficiency, and high capacity
- The transportation segment emerged as the major application in 2016 and is likely to grow at the fastest CAGR of 11.4% from 2017 to 2025 on account of growing industries such as automotive, aviation, and marine
- Europe held revenue share of 36.8% in 2016 and is expected witness a CAGR of 9.8% from 2017 to 2025 due to strict government regulations regarding battery recycling in the region
- The Asia Pacific region is anticipated to be the fastest-growing market from 2017 to 2025 on account of rapidly growing end-use industries including automotive, consumer electronics, and industrial application
- Expansions, mergers & acquisitions, and agreements are the key strategies adopted by the companies over the past years. For instance, in August 2016, Aqua Metals opened its AquaRefinery to recycle lead acid batteries by using nonpolluting electrochemical process.
Grand View Research has segmented the global battery recycling market on the basis of chemistry, application, and region:
Chemistry Outlook (Revenue, USD Million; 2014 – 2025)
- Lead acid
Application Outlook (Revenue, USD Million; 2014 – 2025)
- Consumer electronics
Regional Outlook (Revenue, USD Million; 2014 – 2025)
- North America
- Asia Pacific
- Central & South America
- Middle East & Africa
About Grand View Research
Grand View Research, Inc. is a U.S. based market research and consulting company, registered in the State of California and headquartered in San Francisco. The company provides syndicated research reports, customized research reports, and consulting services. To help clients make informed business decisions, we offer market intelligence studies ensuring relevant and fact-based research across a range of industries, from technology to chemicals, materials and healthcare.