Renault, the French automaker, is currently engaged in advanced discussions with potential partners to extract and recycle lithium and other metals from used electric vehicle batteries, revealed a company executive. This initiative reflects Renault’s commitment to reusing strategic raw materials more efficiently, according to Reuters.
While the practice of recycling car parts is becoming increasingly prevalent, Renault aims to distinguish itself as the first European automaker to establish industrial-scale battery recycling.
Jean-Philippe Bahuaud, CEO of Renault’s environmental unit, ‘The Future Is Neutral’ (TFIN), emphasized the scarcity of entities in Europe capable of recycling used batteries in a closed-loop system to produce nickel, cobalt, and lithium for the manufacturing of new batteries.
According to Bahuaud, discussions with specialized companies capable of partnering on battery recycling have progressed to an advanced stage. He shared these insights in an interview ahead of the ChangeNOW conference in Paris this week.
The majority of metals utilized in electric vehicle batteries are currently mined and processed outside of Europe, raising concerns about the region’s dependence on China for these crucial materials.
Moreover, significant cost savings can be achieved by reclaiming these metals, which constitute up to 70% of a battery’s cost, thereby impacting around 40% of the vehicle’s total cost.
Parallel to Renault’s endeavors, miner Eramet, in collaboration with waste company Suez, is planning to establish a battery recycling facility at the northern French port of Dunkirk. Pending a final investment decision, operations are expected to commence next year.
Despite being a pioneer in electric vehicles alongside partner Nissan in the last decade, Renault has faced competition from companies like Tesla and various Chinese brands. Nevertheless, its Renault and Dacia brands continue to maintain prominent positions in Europe’s EV market.
In April, Renault will halt the production of new vehicles at its Flins factory near Paris and transition exclusively to the production of partially recycled car components and reconditioned vehicles.
Bahuaud anticipates that Flins will be capable of repairing 9,000 batteries this year. Renault offers these batteries and other reconditioned parts, such as electric engines and chargers, at a 30% discount compared to new products.
The TFIN business aims to achieve sales of 2.3 billion euros ($2.49 billion) and an operating margin exceeding 10% by 2030.
Source www.reuters.com
