How is BMW Creating Batteries Through Closed-Loop Recyling?

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The BMW Group introduces high-voltage battery creation to its closed-loop recycling system
BMW has is now creating new batteries via its closed-loop recycling system, enhancing the sustainability of its manufacturing, procurement and supply chain

As the automotive industry embraces electrification, there's a growing movement towards sustainability.

Companies are not only innovating in vehicle production but also in the efficient and circular usage of resources.

One standout example of innovation is BMW's comprehensive approach to the closed-loop recycling of high-voltage battery materials.

BMW's recycling initiative

BMW, a name synonymous with automotive excellence, is now carving a niche in sustainability through a closed-loop recycling system.

Initially forged in 2022, the system came into play under the BMW Brilliance Automotive Joint Venture (BBA) in China.

By 2024, this initiative has evolved to not only focus on disposal but also the creation of batteries, marking a significant step towards a more sustainable lifecycle for battery components.

In a strategic move on 1 November 2024, BMW launched a wide-reaching partnership across Europe with SK tes, a firm at the forefront of technology lifecycle solutions. This collaboration focuses on a bespoke recycling process that efficiently recovers cobalt, nickel, and lithium from expended batteries, critical materials that are then transported sustainably and reintegrated into the value chain for the manufacturing of new batteries.

BMW's vision extends this initiative's reach to North America by 2026, underpinning a broader commitment to global sustainable practices.

The BMW Group continues to pursue greater economic circularity

The unique approach employed by BMW, in partnership with SK Innovation (operating under SK tes, is intricately designed to contribute directly to practical recycling advancements. This partnership has earned SK TES various accolades for its sustainable and innovative processes, such as the Sustainability Service of the Year from the Business Intelligence Group and the Apex Award from the UN Global Compact.

European markets contribute to this initiative by sending high-voltage batteries, that are no longer in use, for recycling at SK tes facilities.

Here, these batteries undergo a comprehensive recycling process. They are first mechanically shredded to produce a substance known as black mass which contains concentrated metals. These metals are then extracted through an efficient chemical technique called hydrometallurgy, recovering valuable elements like nickel, lithium, and cobalt for reuse in producing the new GEN 6 drive train batteries.

Workers at SK tes ( Image Credit: SK tes)

"Partnerships like this increase our efficiency in terms of the circular economy," adds Jörg Lederbauer, Vice President Circular Economy, Spare Parts Supply High Voltage Battery and Electric Powertrain at BMW AG.

"In the closed-loop process, all partners mutually benefit from their experiences."

Adhering to circular economy principles

The BMW Group firmly commits to the circular economy principles of Re:Think, Re:Duce, Re:Use, and Re:Cycle, which champion resource conservation from vehicle design through to recycling.

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A prime representation of this philosophy is BMW's Recycling and Dismantling Centre, which has been active for over three decades, developing methods to improve recycling of parts and materials, thereby setting high sustainability standards.

By designing vehicles with their end-of-life in mind, BMW ensures that essential components like batteries and electronic systems are easily recyclable. This forethought facilitates the efficient recovery and reuse of materials, playing a crucial role in reducing waste and lessening environmental impact.

Nadine Philipp, Vice President Sustainability Supplier Network at BMW AG

"The promotion of circular economy is an important strategic topic for the BMW Group," says Nadine Philipp, Vice President Sustainability Supplier Network at BMW AG.

"The development of recyclable products, the increase of secondary materials in our components, and the closing of loops play an equally important role.

"And by the means of circular economy we are also increasing our resilience in the supply chains."


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