The global battery recycling market was esteemed at around US$ 10 Bn in 2017 and is foreseen to extend at a CAGR of about 11% from 2018 to 2026, as indicated by another report by Transparency Market Research (TMR) titled ‘Battery Recycling Market – Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2018–2026.’ Battery recycling keeps utilized batteries from winding up in city squanders and landfills. It empowers the reuse of battery materials. Pretty much every kind of battery, for example, family batteries, PC batteries, cell phone batteries, control instrument batteries, and vehicle batteries can be reused. Batteries are made from perilous metals and overwhelming metals, for example, lead, mercury, nickel, zinc, and cadmium. These metals may drain into the dirt if not arranged appropriately, in this manner tainting the dirt and contaminating submerged and surface water sources. Battery recycling guarantees the consistent progression of risky materials and keeps them from entering the earth, in this way shielding the earth from corruption. Battery recycling exercises additionally help avoid potential wellbeing perils.
Rise in Environmental Concerns and Manufacturing Economics Achieved from Recycled Products Projected to Boost Battery Recycling Market
Increase in environmental concerns about potential threats from unsafe disposal of used batteries is expected to be a key driver of the battery recycling market. Major raw materials used in batteries such as lead, cadmium, nickel, and mercury are highly hazardous and can cause severe damage to the ecosystem. Battery manufacturing companies have recognized these potential hazards. Several government and non-profit organizations have taken steps toward battery recycling by spreading awareness about it or by entering into agreements with consumers for spent batteries. Raw materials used for manufacturing batteries are of high commercial value. The recycling process can yield these raw materials in a cost effective way vis-à-vis their fresh counterparts.
Using recycled products for manufacturing can lower manufacturing costs of various products, thereby making the manufacturing process more economical and environment friendly. Rise in demand for portable consumer electronics is also likely to a key factor augmenting the market. Batteries are used in portable electronic products as their power source. These batteries have lifespan of around two to five years. They need to be replaced with new batteries post their lifespan. The amount of spent batteries is rising with the increase in demand for portable electronic products. This, in turn, is boosting the demand for battery recycling. However, low end-user awareness about battery recycling is projected to hamper the market. Small-scale end-users of batteries dispose them in garbage dumps instead of giving them to recyclers. Governments and various organizations across the globe have taken steps to increase awareness about battery recycling among end-users in order to prevent batteries from ending up in landfills or garbage dumps.
Lithium-ion Battery Chemistry and Electronic Appliances Spent Battery Source Segment Expected to Lead Global Battery Recycling Market
The battery recycling market can be segmented based on battery chemistry, spent battery source, and end-use. In terms of battery chemistry, the battery recycling market can be classified into lithium-ion, lead-acid, nickel-cadmium, and others. Lead-acid was the dominant segment, accounting for more than 45% share in terms of value in 2017. It is expected to continue its dominance during the forecast period. However, the lithium-ion battery chemistry segment is anticipated to expand at a fast pace during the forecast period. In terms of spent battery source, the battery recycling market can be segmented into automotive, electronic appliances, and others. Automotive was the dominant segment of the market in 2017. However, the electrical appliances segment is estimated to expand at a significant pace during the forecast period.
High Profitability from Recycled Products to Fuel Expansion of Extraction of Materials End-use Segment
Based on end-use, the battery recycling market can be divided into extraction of material; repackaging, reuse, & second life; and disposal. The extraction of material segment dominated the global battery recycling market with more than 45% share in 2017. This trend is projected to continue during the forecast period. Furthermore, the segment is likely to expand at a significant pace in the near future, primarily due to the high profitability of recycled products owing to their usage as raw materials in the manufacturing process of various other products. This lowers their cost of production.
Rise in Consumption of Batteries and Increase in Regulations in Asia Pacific Anticipated to Drive Battery Recycling Market
In terms of region, the battery recycling market can be split into North America, Latin America, Europe, Asia Pacific, and Middle East & Africa. Europe held the leading share (more than 40%) of the global battery recycling market in 2017. This can be ascribed to the implementation of stringent environmental regulations regarding battery recycling across the region. However, the market in Asia Pacific is expected to expand at a significant pace during the forecast period, primarily due to the presence of developing economies such as China and India, wherein the demand for batteries is rising rapidly. This, in turn, is propelling the demand for battery recycling.
Battery Manufacturing Companies Dominate Battery Recycling Market
Key players operating in the battery recycling market are Battery Solutions LLC, Call2Recycle, Inc., Exide Technologies, Retriev Technologies, Inc., East Penn Manufacturing Company, EnerSys, G & P Batteries, Gravita India Ltd., Johnson Controls, Inc., and Umicore N.V. The battery manufacturing companies are entering the recycling market due to the availability of raw materials from recycled batteries, due to which they are gaining share in the market.