Report Overview

India Lithium-Ion Battery Recycling Market – Industry Trends & Forecast Report, 2031

India Lithium-Ion Battery Recycling Market size was estimated at USD 1.15 billion in 2024. During the forecast period between 2025 and 2031, India Lithium-Ion Battery Recycling Market size is projected to grow at a CAGR of 14.56% reaching a value of USD 2.97 billion by 2031. Prominent drivers of the market include growing environmental awareness and the rising need for sustainable battery disposal solutions. Government initiatives, such as the National Battery Waste Management Guidelines, are promoting responsible recycling practices and streamlining battery disposal processes. The increasing adoption of electric vehicles is pushing battery manufacturers to invest in efficient recycling systems to recover valuable raw materials and minimize environmental impact. Technological advancements in recycling methods, including the development of advanced material recovery techniques, are drawing investment and encouraging the growth of domestic recycling infrastructure. Additionally, collaborations between automotive companies and recycling firms are supporting the creation of a closed-loop system for battery usage and reuse. As the market matures, there is a clear shift toward circular economy models, supported by evolving regulations aimed at strengthening India’s battery recycling framework and ensuring long-term sustainability.

Lithium-Ion Battery Recycling – Overview

Lithium-ion battery recycling is the process of recovering valuable materials such as lithium, cobalt, nickel, and graphite from used or end-of-life lithium-ion batteries. This recycling helps reduce environmental pollution, conserve natural resources, and support the circular economy by enabling the reuse of extracted materials in new batteries. It involves methods like hydrometallurgical, pyrometallurgical, and mechanical processes to safely dismantle and extract components. Recycling is increasingly important due to the rising use of lithium-ion batteries in electric vehicles, electronics, and energy storage systems.

India Lithium-Ion Battery Recycling Market

Growth Drivers

Government’s Supportive Regulations and Initiatives

The Indian government’s supportive policies and initiatives are playing a pivotal role in accelerating the growth of India Lithium-ion Battery Recycling Market. The Union Budget 2025 introduced key measures aimed at promoting domestic battery manufacturing and strengthening recycling infrastructure. Customs duty exemptions on critical raw materials such as lithium-ion battery scrap, cobalt, and zinc are expected to reduce production costs and enhance the economic viability of recycling operations. These steps, coupled with incentives for electric vehicle adoption under the Electric Mobility Promotion Scheme (EMPS) 2024, are driving demand for sustainable battery solutions. The government’s support through schemes like FAME and the Production-Linked Incentive (PLI) for Advanced Chemistry Cell (ACC) battery storage is further fostering a conducive environment for battery recycling. Relaxed FDI norms allowing up to 100% foreign direct investment in battery manufacturing and the establishment of Khanij Bidesh India Ltd (KABIL) to secure critical minerals underscore India’s strategic push toward self-reliance in the battery value chain. These regulatory frameworks and financial incentives are not only encouraging investment in advanced recycling technologies but also paving the way for a circular economy. With increasing public-private collaboration and heightened focus on sustainable practices, government-driven efforts are expected to remain a core pillar in shaping the future of lithium-ion battery recycling in India.

Challenges

High Initial Costs

High initial investment required for setting up a lithium-ion battery recycling plant is a significant barrier for the growth of India Lithium-ion Battery Recycling Market. Setting up advanced recycling facilities requires substantial capital for technology, infrastructure, and skilled labor. Many small and medium-sized enterprises (SMEs) face financial constraints, limiting their ability to enter the market. Additionally, the cost of acquiring modern equipment and complying with evolving environmental regulations further adds to the financial burden. The long gestation period before returns are realized also discourages investors. As a result, despite growing demand and supportive policies, the high upfront cost remains a major challenge in scaling battery recycling operations across India.

Impact of Escalating Geopolitical Tensions on India Lithium-Ion Battery Recycling Market

Escalating geopolitical tensions could significantly impact the growth of India Lithium-Ion Battery Recycling Market by disrupting the global supply chain of critical raw materials such as lithium, cobalt, and nickel, which are primarily imported. Trade restrictions, increased tariffs, or diplomatic conflicts with resource-rich nations can lead to material shortages and increased costs, hindering recycling operations. Furthermore, geopolitical instability can delay foreign investments and technology transfers crucial for advancing recycling infrastructure. Such tensions may also compel India to accelerate domestic sourcing and recycling capabilities, fostering innovation but increasing initial investment burdens. Overall, global uncertainties pose both challenges and opportunities for India's battery recycling ecosystem.

India Lithium-Ion Battery Recycling Market

Segmental Coverage

India Lithium-Ion Battery Recycling Market – By Battery Chemistry

Based on battery chemistry, India Lithium-Ion Battery Recycling Market is divided into Lithium Iron Phosphate (LiFePO4), Lithium Nickel Manganese Cobalt Oxide (LiNiMnCoO2), Lithium Cobalt Oxide (LiCoO2), Lithium Manganese Oxide (LMO), Lithium Nickel Cobalt Aluminum Oxide (Li-NCA), and others segments. The lithium nickel manganese cobalt oxide (LiNiMnCoO2) segment holds the largest share of India Lithium-Ion Battery Recycling Market by battery chemistry. Lithium Nickel Manganese Cobalt Oxide is widely favored for its optimal balance of energy density, thermal stability, and longevity, making it a key component in electric vehicles and portable electronic devices. As demand for these technologies continues to rise, the recycling of LiNiMnCoO2 batteries has become increasingly vital. Efficient recycling not only enables the recovery of valuable materials like nickel, manganese, and cobalt but also supports environmental sustainability and resource conservation. It makes LiNiMnCoO2 battery recycling essential for fostering a circular economy and ensuring the long-term viability of India’s energy and electric mobility sectors. Meanwhile, the lithium iron phosphate segment is expected to record the fastest growth rate during the forecast period. The surge is driven by its increasing adoption in energy storage systems and electric vehicles due to its cost-efficiency, thermal stability, compact design, and low self-discharge rate. As global environmental concerns grow, manufacturers and governments are shifting focus toward cleaner technologies, with many countries introducing policies to accelerate EV adoption. Although the segment faces competition from alternatives like lead-acid, lithium-air, and flywheel batteries, the non-toxic nature and affordability of lithium iron phosphate batteries position them as a key contributor to the rising demand for sustainable energy solutions.

India Lithium-Ion Battery Recycling Market – By Source

India Lithium-Ion Battery Recycling Market by source is divided into Electric Vehicles (EVs), Consumer Electronics, Energy Storage Systems, and Industrial Equipment segments. The EVs segment is expected to hold the highest share in India Lithium-Ion Battery Recycling Market by source during the forecast period. The rapid adoption of EVs in India is a major factor propelling the growth of the country’s lithium-ion battery recycling market. Government initiatives such as the National Electric Mobility Mission Plan have set ambitious targets for EV deployment, leading to a significant increase in the use of lithium-ion batteries. As these vehicles reach end-of-life, the volume of spent batteries is expected to rise sharply, driving demand for efficient recycling solutions. Established manufacturers like Tata Motors and Mahindra Electric are scaling up EV production, further emphasizing the need for a robust recycling ecosystem. With battery waste projected to reach several hundred thousand tons annually by 2030, the recycling industry is poised for expansion to ensure sustainable resource recovery and environmental management.

India Lithium-Ion Battery Recycling Market – By Recycling Process

On the basis of recycling process, India Lithium-Ion Battery Recycling Market is segmented into Hydrometallurgical Process, Pyrometallurgical Process, Mechanical/Physical Process, and Direct Recycling segments.

India Lithium-Ion Battery Recycling Market – By Region

The in-depth research report on India Lithium-Ion Battery Recycling Market covers the market in the country’s major regions: North India, South India, East India, and West India regions. South India holds the largest share of India Lithium-Ion Battery Recycling Market and is expected to maintain its dominance during the forecast period. Karnataka, especially Bengaluru, leads the market. The Southern state has emerged as a key center for technology and automotive industries, due to its strong industrial infrastructure and supportive business climate. The state’s proactive policies and incentives have attracted significant investments from both domestic and international companies, fueling growth in lithium-ion battery manufacturing and innovation. A notable example is Epsilon Advanced Materials’ USD 1.1 billion investment in a large-scale lithium-ion battery facility in Bellari, highlighting the region’s appeal for advanced manufacturing. The presence of numerous automotive and EV companies further strengthens demand and fosters a collaborative ecosystem. Additionally, Karnataka’s strategic location and connectivity to other industrial regions across India enhance its prominence in the lithium-ion battery sector. Other southern states like Tamil Nadu and Andhra Pradesh also contribute to the region’s strong position by leveraging similar industrial and policy advantages.

Competitive Landscape

Major players operating in India Lithium-Ion Battery Recycling Market include Prysmian Group, Kinsbursky Brothers, Duesenfeld, LiCycle, Accurec Recycling, Mahindra Intertrade, SungEel MCC, Aqua Metals, CAER, RecycLiCo, GreenTek Remanufacturing, Umicore, Tetronics, Exide Industries, and Satarem. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Development

• In December 2024 - LICO Materials launched a zero-liquid-discharge lithium-ion battery recycling plant in Bengaluru with a 4 GWh annual capacity, aiming to expand to 10 GWh within 3-4 years. This facility will help recover critical minerals essential for India’s growing EV and energy storage markets, expected to reach 42 GW by 2032. With a planned investment of INR 250 crore in a downstream hydrometallurgy plant, LICO targets recycling batteries equivalent to 200,000 metric tons of electric cars by 2027.

Scope of the Report

By Battery Chemistry

• Lithium Iron Phosphate

• Lithium Nickel Manganese Cobalt Oxide

• Lithium Cobalt Oxide

• Lithium Manganese Oxide

• Lithium Nickel Cobalt Aluminum Oxide

• Others

By Source

• Electric Vehicles (EVs)

• Consumer Electronics

• Energy Storage Systems

• Industrial Equipment

By Recycling Process

• Hydrometallurgical Process

• Pyrometallurgical Process

• Mechanical/Physical Process

• Direct Recycling

By Region

• North India

• South India

• East India

• West India

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. India Lithium-Ion Battery Recycling Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Growing E-waste & EV Adoption
         2. Government Regulations & Initiatives
         3. Resource Recovery
      2. Restraints
         1. Lack of Infrastructure
         2. High Initial Invest
      3. Opportunities
         1. Circular Economy Integration
         2. Technological Advancements
      4. Challenges
         1. Unorganized Recycling Sector
         2. Collection & Segregation Issues
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. India Lithium-Ion Battery Recycling Market: Marketing Strategies
5. India Lithium-Ion Battery Recycling Market: Pricing Analysis
6. India Lithium-Ion Battery Recycling Market Overview
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Battery Chemistry
         1. Lithium Iron Phosphate
         2. Lithium Nickel Manganese Cobalt Oxide
         3. Lithium Cobalt Oxide
         4. Lithium Manganese Oxide
         5. Lithium Nickel Cobalt Aluminum Oxide
         6. Others
      2. By Source
         1. Electric Vehicles
         2. Consumer Electronics
         3. Energy Storage Systems
         4. Industrial Equipment
      3. By Recycling Process
         1. Hydrometallurgical Process
         2. Pyrometallurgical Process
         3. Mechanical/Physical Process
         4. Direct Recycling
      4. By Region
         1. North India
         2. South India
         3. East India
         4. West India
7. North India Lithium-Ion Battery Recycling Market
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Battery Chemistry
      2. By Source
      3. By Recycling Process
8. South India Lithium-Ion Battery Recycling Market
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Battery Chemistry
      2. By Source
      3. By Recycling Process
9. East India Lithium-Ion Battery Recycling Market
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Battery Chemistry
      2. By Source
      3. By Recycling Process
10. West India Lithium-Ion Battery Recycling Market
    1. Market Size & Forecast, 2019–2031
       1. By Value (USD Billion)
    2. Market Share & Forecast
       1. By Battery Chemistry
       2. By Source
       3. By Recycling Process
11. Competitive Landscape
    1. List of Key Players and Their Offerings
    2. India Lithium-Ion Battery Recycling Company Market Share Analysis, 2024
    3. Competitive Benchmarking, By Operation Channel Parameters
    4. Key Strategic Development (Mergers, Acquisitions, Partnerships, etc.)
12. Impact of Geopolitical Tensions in India Lithium-Ion Battery Recycling Market
13. Company Profiles (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, and SWOT Analysis)
    1. Prysmian Group
    2. Kinsbursky Brothers
    3. Duesenfeld
    4. LiCycle
    5. Accurec Recycling
    6. Mahindra Intertrade
    7. SungEel MCC
    8. Aqua Metals
    9. CAER
    10. RecycLiCo
    11. GreenTek Remanufacturing
    12. Umicore
    13. Tetronics
    14. Exide Industries
    15. Satarem
    16. Other Prominent Players
14. Key Strategic Recommendations
15. Research Methodology
    1. Qualitative Research
       1. Primary & Secondary Research
    2. Quantitative Research
    3. Market Breakdown & Data Triangulation
       1. Secondary Research
       2. Primary Research
    4. Breakdown of Primary Research Respondents, By Region
    5. Assumption & Limitation

*Financial information of non-listed companies will be provided as per availability

**The segmentation and the companies are subjected to modifications based on in-depth secondary for the final deliverable

List of Figures

Figure 1       India Lithium-Ion Battery Recycling Market Segmentation

Figure 2       India Lithium-Ion Battery Recycling Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2024

Figure 4       India Lithium-Ion Battery Recycling Market Size, By Value (USD Billion), 2019–2031

Figure 5       India Lithium-Ion Battery Recycling Market Share, By Battery Chemistry, By Value (USD Billion) 2019–2031

Figure 6       India Lithium-Ion Battery Recycling Market Share, By Source, By Value (USD Billion) 2019–2031

Figure 7       India Lithium-Ion Battery Recycling Market Share, By Recycling Process, By Value (USD Billion) 2019–2031

Figure 8       India Lithium-Ion Battery Recycling Market Share, By Region, By Value (USD Billion) 2019–2031

Figure 9       North India Lithium-Ion Battery Recycling Market Size, By Value (USD Billion), 2019–2031

Figure 10     North India Lithium-Ion Battery Recycling Market Share, By Battery Chemistry, By Value (USD Billion) 2019–2031

Figure 11     North India Lithium-Ion Battery Recycling Market Share, By Source, By Value (USD Billion) 2019–2031

Figure 12     North India Lithium-Ion Battery Recycling Market Share, By Recycling Process, By Value (USD Billion) 2019–2031

Figure 13     South India Lithium-Ion Battery Recycling Market Size, By Value (USD Billion), 2019–2031

Figure 14     South India Lithium-Ion Battery Recycling Market Share, By Battery Chemistry, By Value (USD Billion) 2019–2031

Figure 15     South India Lithium-Ion Battery Recycling Market Share, By Source, By Value (USD Billion) 2019–2031

Figure 16     South India Lithium-Ion Battery Recycling Market Share, By Recycling Process, By Value (USD Billion) 2019–2031

Figure 17     East India Lithium-Ion Battery Recycling Market Size, By Value (USD Billion), 2019–2031

Figure 18     East India Lithium-Ion Battery Recycling Market Share, By Battery Chemistry, By Value (USD Billion) 2019–2031

Figure 19     East India Lithium-Ion Battery Recycling Market Share, By Source, By Value (USD Billion) 2019–2031

Figure 20     East India Lithium-Ion Battery Recycling Market Share, By Recycling Process, By Value (USD Billion) 2019–2031

Figure 21     West India Lithium-Ion Battery Recycling Market Size, By Value (USD Billion), 2019–2031

Figure 22     West India Lithium-Ion Battery Recycling Market Share, By Battery Chemistry, By Value (USD Billion) 2019–2031

Figure 23     West India Lithium-Ion Battery Recycling Market Share, By Source, By Value (USD Billion) 2019–2031

Figure 24     West India Lithium-Ion Battery Recycling Market Share, By Recycling Process, By Value (USD Billion) 2019–2031

List of Tables     

Table 1        India Lithium-Ion Battery Recycling Market Size, By Value (USD Billion), 2019–2031

Table 2        India Lithium-Ion Battery Recycling Market Share, By Battery Chemistry, By Value (USD Billion) 2019–2031

Table 3        India Lithium-Ion Battery Recycling Market Share, By Source, By Value (USD Billion) 2019–2031

Table 4        India Lithium-Ion Battery Recycling Market Share, By Recycling Process, By Value (USD Billion) 2019–2031

Table 5        India Lithium-Ion Battery Recycling Market Share, By Region, By Value (USD Billion) 2019–2031

Table 6        North India Lithium-Ion Battery Recycling Market Size, By Value (USD Billion), 2019–2031

Table 7        North India Lithium-Ion Battery Recycling Market Share, By Battery Chemistry, By Value (USD Billion) 2019–2031

Table 8        North India Lithium-Ion Battery Recycling Market Share, By Source, By Value (USD Billion) 2019–2031

Table 9        North India Lithium-Ion Battery Recycling Market Share, By Recycling Process, By Value (USD Billion) 2019–2031

Table 10      South India Lithium-Ion Battery Recycling Market Size, By Value (USD Billion), 2019–2031

Table 11      South India Lithium-Ion Battery Recycling Market Share, By Battery Chemistry, By Value (USD Billion) 2019–2031

Table 12      South India Lithium-Ion Battery Recycling Market Share, By Source, By Value (USD Billion) 2019–2031

Table 13      South India Lithium-Ion Battery Recycling Market Share, By Recycling Process, By Value (USD Billion) 2019–2031

Table 14      East India Lithium-Ion Battery Recycling Market Size, By Value (USD Billion), 2019–2031

Table 15      East India Lithium-Ion Battery Recycling Market Share, By Battery Chemistry, By Value (USD Billion) 2019–2031

Table 16      East India Lithium-Ion Battery Recycling Market Share, By Source, By Value (USD Billion) 2019–2031

Table 17      East India Lithium-Ion Battery Recycling Market Share, By Recycling Process, By Value (USD Billion) 2019–2031

Table 18      West India Lithium-Ion Battery Recycling Market Size, By Value (USD Billion), 2019–2031

Table 19      West India Lithium-Ion Battery Recycling Market Share, By Battery Chemistry, By Value (USD Billion) 2019–2031

Table 20      West India Lithium-Ion Battery Recycling Market Share, By Source, By Value (USD Billion) 2019–2031

Table 21      West India Lithium-Ion Battery Recycling Market Share, By Recycling Process, By Value (USD Billion) 2019–2031

Table 22      Prysmian Group Company Overview

Table 23      Prysmian Group Financial Overview

Table 24      Kinsbursky Brothers Company Overview

Table 25      Kinsbursky Brothers Financial Overview

Table 26      Duesenfeld Company Overview

Table 27      Duesenfeld Financial Overview

Table 28      LiCycle Company Overview

Table 29      LiCycle Financial Overview

Table 30      Accurec Recycling Company Overview

Table 31      Accurec Recycling Financial Overview

Table 32      Mahindra Intertrade Company Overview

Table 33      Mahindra Intertrade Financial Overview

Table 34      SungEel MCC Company Overview

Table 35      SungEel MCC Financial Overview

Table 36      Aqua Metals Company Overview

Table 37      Aqua Metals Financial Overview

Table 38      CAER Company Overview

Table 39      CAER Financial Overview

Table 40      RecycLiCo Company Overview

Table 41      RecycLiCo Financial Overview

Table 42      GreenTek Remanufacturing Company Overview

Table 43      GreenTek Remanufacturing Financial Overview

Table 44      Umicore Company Overview

Table 45      Umicore Financial Overview

Table 46      Tetronics Company Overview

Table 47      Tetronics Financial Overview

Table 48      Exide Industries Company Overview

Table 49      Exide Industries Financial Overview

Table 50      Satarem Company Overview

Table 51      Satarem Financial Overview