The BMW Group is set to launch a closed-loop battery recycling ecosystem in partnership with SK tes, a leading provider of innovative technology lifecycle solutions. The initiative aims to recover cobalt, nickel, and lithium from used batteries and reintegrate them into the value chain for the production of new batteries. The process is expected to commence in 2026.
Building on the successful establishment of a closed-loop system for reusing raw materials from high-voltage batteries by BMW Brilliance Automotive Joint Venture (BBA) in China in 2022, the BMW Group is now extending this approach across Europe through its partnership with SK tes.
The recycling process involves mechanically shredding used batteries to concentrate the metals into a material known as “black mass.” Nickel, lithium, and cobalt are then extracted from this mass through a hydrometallurgical process. According to BMW, these secondary raw materials will be utilized in the production of the new GEN 6 drivetrain.
“Partnerships like this increase our efficiency in terms of the circular economy. In the closed-loop process, all partners mutually benefit from their experiences,” said Jörg Lederbauer, Vice President of Circular Economy, Spare Parts Supply High Voltage Battery, and Electric Powertrain at BMW AG.
Nadine Philipp, Vice President of the Sustainability Supplier Network at BMW AG, added, “The development of recyclable products, the increase of secondary materials in our components, and the closing of loops play an equally important role. We are also making supply chains more resilient by using the circular economy.
The closed-loop recycling ecosystem is planned to expand to the USA-Mexico-Canada region in 2026. This expansion underscores BMW’s commitment to sustainability and resource efficiency in its global operations.
SK tes currently operates over 40 facilities and employs around 2,600 specialists across more than 40 countries. The company boasts a recovery rate of over 97% for battery materials and has recovered approximately 108,816,085 kilograms of assets since 2021. Founded in 2005, SK tes has received numerous sustainability and innovation awards worldwide for its battery recycling process, including the Business Intelligence Group’s Sustainability Service of the Year and the UN Global Compact’s Apex Award.