As electric vehicles (EVs) surge in popularity across the U.S. and beyond, the demand for lithium-ion batteries is skyrocketing. But what happens when these batteries reach the end of their life? Enter the great battery recycling race, where innovative companies like Redwood Materials, Li-Cycle, and Ascend Elements are vying to solve the growing challenge of battery waste while securing a sustainable supply of critical materials. This blog post dives into the competition between these three industry leaders, comparing their technologies, goals, and impacts—optimized for Google SEO to help you understand the future of EV battery recycling as of April 5, 2025.
Why Battery Recycling Matters in 2025
The EV revolution is in full swing, with millions of vehicles expected to hit the roads by 2030. Each EV relies on a lithium-ion battery packed with valuable materials like lithium, cobalt, and nickel—resources that are scarce, expensive to mine, and environmentally taxing to extract. Recycling these batteries not only reduces waste but also cuts reliance on mining, lowers carbon footprints, and supports a circular economy.
Redwood Materials, Li-Cycle, and Ascend Elements are at the forefront of this race, each with unique approaches to tackle the challenge.
Redwood Materials: The Tesla-Backed Titan
Who They Are
Founded in 2017 by JB Straubel, Tesla’s former CTO, Redwood Materials is headquartered in Carson City, Nevada. Backed by major investments—including over $775 million in 2021 and a $2 billion DOE loan in 2023—Redwood aims to create a closed-loop supply chain for battery materials.
Technology and Approach
Redwood combines pyrometallurgical and hydrometallurgical processes to recover over 95% of key metals—lithium, cobalt, nickel, and copper—from old batteries and manufacturing scrap. Their proprietary low-temperature calcination process uses residual battery energy to extract materials efficiently. Beyond recycling, Redwood remanufactures anode copper foil and cathode materials, targeting 100 GWh of production by 2025—enough for 1 million EVs annually—and 500 GWh by 2030.
Strengths
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Scale: Processes 20 GWh of batteries yearly (over 250,000 EV packs).
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Partnerships: Works with Toyota, Ford, and Volvo, plus a new $3.5 billion South Carolina facility opening in 2024.
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Vision: A fully domestic supply chain, reducing reliance on Asia.
Challenges
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High capital costs for expansion.
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Dependence on manufacturing scrap until more end-of-life batteries become available.
Li-Cycle: The Spoke-and-Hub Innovator
Who They Are
Based in Toronto, Canada, Li-Cycle launched in 2016 and went public in 2021 via a SPAC deal. With a $375 million DOE loan in 2023, it’s scaling up its Rochester, New York hub to become North America’s first commercial hydrometallurgical recycling facility.
Technology and Approach
Li-Cycle’s “Spoke and Hub” model is a game-changer. At its spoke facilities (e.g., in Ontario, New York, and Arizona), batteries are shredded into black mass—a mix of metals—using a submerged process that avoids discharging. The black mass is then refined at the hub into battery-grade lithium, nickel, and cobalt, recovering up to 95% of materials with minimal emissions and no wastewater.
Strengths
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Efficiency: Four operational spokes process over 50,000 tons annually, with plans for 100,000 tons by 2025.
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Sustainability: Low-impact hydrometallurgy aligns with green goals.
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Partnerships: Collaborates with GM and Glencore, securing feedstock and offtake deals.
Challenges
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Delayed Rochester hub construction due to funding and commodity price swings.
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Focus on intermediate products limits full supply chain control.
Ascend Elements: The Cathode Crusader
Who They Are
Founded in 2015 in Westborough, Massachusetts, Ascend Elements evolved from R&D to a commercial powerhouse. With $800 million in funding (2022) and a $316 million DOE grant, it’s building North America’s largest EV battery recycling facility in Georgia and a cathode precursor plant in Kentucky.
Technology and Approach
Ascend’s patented Hydro-to-Cathode™ process is a standout. Unlike traditional methods that extract individual metals, it upcycles black mass directly into high-performance cathode precursor (pCAM) and lithium carbonate, boasting a 98% recovery rate. This cuts steps, costs, and emissions—by 49% now, aiming for 90% by 2030.
Strengths
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Innovation: pCAM outperforms virgin materials, per Argonne National Lab studies.
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Footprint: Covington, Georgia plant processes 30,000 tons yearly (70,000 EV packs).
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Clients: Supplies decarbonized materials to Freudenberg e-Power and others.
Challenges
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Scaling production to meet gigafactory demand.
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Reliant on scrap (80–90% of input) until more batteries retire.
Head-to-Head: How They Compare
| Feature | Redwood Materials | Li-Cycle | Ascend Elements |
|---|---|---|---|
| Founded | 2017 | 2016 | 2015 |
| Key Technology | Pyro + Hydro + Remanufacture | Spoke-and-Hub Hydro | Hydro-to-Cathode |
| Recovery Rate | 95%+ | 95% | 98% |
| Annual Capacity | 20 GWh (250,000 EVs) | 50,000 tons+ | 30,000 tons (70,000 EVs) |
| Goal by 2025 | 100 GWh | 100,000 tons | Expanded pCAM production |
| Funding | $2B DOE + $775M | $375M DOE + $300M | $800M + $316M DOE |
| Focus | Full supply chain | Critical metals | Cathode materials |
The Stakes: Why This Race Matters
Environmental Impact
Recycling slashes emissions by at least 58% compared to mining, per Nature Communications (2025). Ascend leads with a 90% reduction goal, while Redwood and Li-Cycle prioritize scalable, low-emission processes.
Economic Edge
With lithium and cobalt prices volatile, recycled materials offer cost stability. Redwood’s full-loop vision, Li-Cycle’s metal recovery, and Ascend’s cathode focus all aim to outpace virgin sourcing costs.
Industry Demand
By 2030, 15 million tons of batteries will retire. The winner must scale fast—Redwood targets 5 million EVs’ worth of materials, Li-Cycle 200,000, and Ascend ties into the “Battery Belt” gigafactories.
Who’s Winning the Battery Recycling Race?
As of April 5, 2025, it’s too close to call. Redwood Materials leads in scale and ambition, leveraging Tesla ties and a massive network. Li-Cycle excels in operational efficiency and green credentials, poised for growth once its hub is online. Ascend Elements shines in innovation, delivering high-value materials with unmatched sustainability.
The real winner? The planet—and EV drivers—as these pioneers push recycling forward.
See you on the next charge.
- Editor Z
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