● Knowledge · 12 Circularity

Battery recycling: the EU makes the loop mandatory.

EU Battery Regulation 2023/1542 turns battery recycling from a voluntary effort into a core obligation: binding collection targets, recycling efficiencies, recycled content from 2031 and full producer responsibility. This guide follows the battery through the circular economy - from black mass and second-life batteries to why no loop works without the digital battery passport.

Reading time approx. 9 min · Updated: · Not legal advice
65%
Recycling efficiency
For lithium batteries since end of 2025
80%
Lithium recovery
Mandatory from end of 2031
16%
Recycled cobalt
Minimum share from 18 Aug 2031
73%
Collection target
Portable batteries from end of 2030
TL;DR
  • EU Battery Regulation 2023/1542 governs the complete battery loop - from collection targets and recycling efficiencies to mandatory recycled content in new batteries.
  • From 18 August 2031, minimum recycled content is mandatory: 16% cobalt, 85% lead, 6% lithium, 6% nickel - documented, and significantly higher again from 2036.
  • Second-life batteries are legally new products: whoever repurposes an EV battery into home storage counts as a manufacturer and needs a separate, linked battery passport.
  • The digital battery passport is the tool of the loop: it gives recyclers dismantling data, documents recycled content and tracks the battery's status across its entire life cycle.
01 · Responsibility

Circular economy by law: extended producer responsibility

At the heart of the regulation sits extended producer responsibility: whoever places batteries on the EU market stays responsible until their end of life - organisationally and financially. That includes registration in each member state, free take-back of waste batteries and meeting the statutory collection targets:

Battery categoryStatus todayStep 1Step 2
Portable batteries45% (since 2023)63% by end of 202773% by end of 2030
LMT batteries (e-bike, e-scooter)Newly regulated51% by end of 202861% by end of 2031
Industrial, EV & SLI batteriesTake-back dutyFree take-back, unlimitedFull capture via certified recyclers

Who the regulation affects overall and which other deadlines are running is covered in the overview of the EU Battery Regulation 2023/1542 - and what happens on violations in Non-compliance risks.

02 · Process

How battery recycling works: from waste battery to black mass

Lithium batteries are not waste - they are a raw material depot: a tonne of waste batteries contains more lithium and cobalt than the corresponding ore volume in mining. The industrial recycling process runs in five steps - and at two of them, data quality decides whether the process is economically viable:

1
Collection & diagnosis

Waste batteries are collected, discharged and assessed: if the state of health is high enough, the battery goes into second-life repurposing instead of recycling - with the battery passport providing the data basis.

2
Dismantling

Open the pack, remove modules and cells, separate electronics and cabling. Dismantling instructions and safety information become mandatory battery passport content in 2027 - precisely for this step.

3
Mechanical processing

Cells are shredded and sorted: casings and aluminium and copper foils are separated. What remains is black mass - the fine electrode powder containing lithium, cobalt, nickel and manganese.

4
Metal recovery

Hydrometallurgy (chemical leaching) or pyrometallurgy (smelting) recover battery-grade metals from the black mass - from the end of 2031, 95% of cobalt and 80% of lithium must be recovered.

5
Back into the cell

The secondary raw materials flow into new cathode materials as recyclate. From 2031 this loop is mandatory: new batteries must contain documented minimum shares of recycled content.

Black mass becomes a strategic raw material

The EU classifies lithium, cobalt and nickel as critical raw materials - black mass from battery recycling is the only significant EU-domestic source of them. That is why the regulation couples recycling targets directly to recycled-content duties: what is recovered must flow back into new cells.

How the recycling process runs safely and with high yield - from discharging through dangerous-goods transport to hydro- and pyrometallurgy - is explored in the guide Safe & Efficient Battery Recycling.

03 · Targets

Recycling targets in detail: efficiency and material recovery

Annex XII of the regulation sets two kinds of recycling targets: recycling efficiency measures the recovered mass share of the whole waste battery, while material recovery targets govern the recovery of individual metals. Both layers are binding for recyclers - and define how much secondary material will be available to the market:

TargetStep 1Step 2
Recycling efficiency, lithium-based batteries65% since end of 202570% from end of 2030
Recycling efficiency, lead-acid batteries75% since end of 202580% from end of 2030
Recovery of lithium50% by end of 202780% from end of 2031
Recovery of cobalt, copper, nickel, lead90% by end of 202795% from end of 2031

Which cell chemistries contain which metals - and thus determine what recycling can recover - is covered in Battery chemistries.

04 · Recyclate

Recycled content from 2031: recycling becomes a sourcing duty

The regulation's real lever sits in Article 8: from 18 August 2031, new industrial, EV and SLI batteries must contain binding minimum shares of recycled material - the recycled content. Even earlier, from 2028, documenting the recycled content per model and plant becomes mandatory. Recycling thereby turns from a disposal topic into a sourcing strategy:

MaterialMinimum recycled content from 18 Aug 2031From 18 Aug 2036
Cobalt16%26%
Lead85%85%
Lithium6%12%
Nickel6%15%

Recycled content lives in the battery passport

The documented recycled content is a mandatory entry in the digital battery passport - together with the carbon footprint and material origin. Without clean per-model values, no compliant passport can ship from 2027. All mandatory fields are listed in Battery passport data.

05 · Second life

Second-life batteries: the second life before recycling

Not every waste battery belongs straight in the shredder. An EV battery counts as too weak for the vehicle at roughly 70–80% remaining capacity - yet as a stationary second-life storage unit it often works for another decade. The regulation classifies this repurposing clearly:

A
Repurposing makes you a manufacturer

Whoever repurposes a battery for a new use legally places a new battery on the market - with all duties attached: conformity, labelling and a battery passport of its own.

B
The passport travels along

The new passport of the second-life battery links to the original one; status ("repurposed") and health data are carried forward - the history stays complete.

C
State of health decides

Whether a battery enters a second life or goes to recycling is decided by SoH and usage data from the passport - without that data, every second-life assessment is guesswork.

Which battery types need the passport and how storage systems are classified is shown in Battery models - the storage perspective is covered on Storage & BESS.

06 · Tooling

No loop without the battery passport: data as infrastructure

Collection targets, recycling efficiency, recycled content, second life - every one of these duties rests on the same foundation: reliable data per battery. That is exactly why the regulation introduces the digital battery passport from 18 February 2027. For the circular economy it takes on three jobs:

1
Recycler access

Dismantling instructions, cell chemistry, safety information and material composition - available through the "legitimate interest" access level, straight from the QR code on the battery.

2
Recyclate evidence

The passport documents the recycled content per material - the basis on which market surveillance checks the Article 8 minimum shares from 2031.

3
Life-cycle status

From placing on the market through repurposing to recycling: the passport records the battery's status and stays available even after its end of life.

What a finished passport looks like is shown in the battery passport example; how to set one up in practice in Create a battery passport and the guide to choosing battery passport software.

07 · FAQ

Frequently asked questions on battery recycling & recycled content

What is recycled content in batteries?
Recycled content is the share of recovered material in a new battery - cobalt, lithium, nickel or lead reclaimed from battery or production waste instead of mined ore. The EU Battery Regulation 2023/1542 makes minimum recycled content mandatory from 18 August 2031: 16% cobalt, 85% lead, 6% lithium and 6% nickel. The documented recycled content share is also a mandatory data point in the digital battery passport.
Which recycling targets apply to batteries in the EU?
The regulation sets two layers of targets. Recycling efficiency measures how much of an end-of-life battery's total mass is recovered - at least 65% for lithium-based batteries since the end of 2025 (70% from the end of 2030) and 75% for lead-acid batteries. On top of that, material recovery targets apply per metal: by the end of 2027, 90% of cobalt, copper, lead and nickel and 50% of lithium must be recovered, rising to 95% and 80% from the end of 2031.
What is black mass?
Black mass is the intermediate product of battery recycling: after discharge, dismantling and mechanical shredding, a fine black powder of electrode material remains, containing the valuable metals lithium, cobalt, nickel and manganese. These raw materials are then recovered from the black mass through hydrometallurgy (chemical leaching) or pyrometallurgy (smelting) and fed back into cell production as secondary raw materials.
What are second-life batteries?
Second-life batteries are used batteries - typically from electric vehicles - that are repurposed after their first life, most commonly as stationary energy storage. An EV battery is considered too weak for the vehicle at roughly 70–80% remaining capacity (state of health), but can still work for many years as a home or grid storage unit. Legally important: under EU 2023/1542, whoever repurposes a battery counts as a new manufacturer - the repurposed battery needs its own battery passport linked to the original one.
What does extended producer responsibility mean for batteries?
Extended producer responsibility (EPR) obliges manufacturers and importers to stay responsible for the whole life cycle of their batteries - including free take-back, collection and recycling of waste batteries. This covers registration in each member state, financing the collection schemes and meeting the collection targets: 63% for portable batteries by the end of 2027 and 51% for LMT batteries by the end of 2028.
Why does battery recycling need the digital battery passport?
Today, recyclers often don't know what is inside a battery - chemistry, construction and safety information are missing at the product. The battery passport solves exactly that: from 18 February 2027 it provides dismantling instructions, safety information, cell chemistry and material composition via the QR code - accessible to recyclers and second-life operators through the 'legitimate interest' access level. The passport also documents the battery's recycled content and is updated in status when it is repurposed or recycled.
Where do industrial and EV waste batteries go?
Industrial, EV and LMT waste batteries never belong in household waste or municipal collection boxes. Under extended producer responsibility, manufacturers and importers must take them back free of charge - in practice via certified waste management companies and specialised battery recyclers. For end customers: portable batteries go into retail collection boxes, automotive and industrial batteries back to the dealer, manufacturer or recycling centre.
08 · Sources

Sources & further reading

Circularity data under control

Recycled content, dismantling data, life-cycle status - all in one compliant battery passport.

Batteriepasswerk captures the circular-economy fields of the EU Battery Regulation in a structured way per model - recycled content, material composition and dismantling information included - and generates serialised passports with a QR code for every unit. EU-hosted, compliant with EU 2023/1542 and DIN DKE SPEC 99100.