With global electric vehicle sales expected to surpass those of conventional cars, EV battery remanufacturing could lead to cost savings and a smaller environmental impact.
In 2025, electric vehicle sales are expected to grow by 29.9%, reaching 15.1 million units globally, up from 11.6 million in 2024. This will raise EVs’ market share from 13.2% to 16.7%, according to S&P Global Mobility. The IEA forecasts that by 2030, electric cars will account for 65% of global sales.
As the EV fleet grows, so will the volume of batteries reaching the end of their life. McKinsey predicts that by 2030, the U.S. will have 40 GWh of used batteries available for resale. That is why remanufacturing is crucial both for the environment and EV battery circularity.
When EVs were first introduced, the industry assumed batteries wouldn’t fail. As a result, many faulty batteries with healthy parts are being prematurely recycled. Remanufacturing eliminates the need for replacement batteries.
Currently, when a battery malfunctions or reaches the end of its useful life, most vehicle owners replace the entire battery pack — often at an exorbitant cost that can exceed $10,000.
Entrepreneurs have already spotted a promising opportunity. For example, Tesla cofounder JB Straubel founded Redwood Materials to create a “remanufacturing economy” by extracting and reusing raw materials from used batteries. The startup is on track to hit $200 million in revenue.
The EV Battery Remanufacturing Process
Unlike traditional manufacturing, remanufacturing is focused on giving old components a second life instead of starting from scratch. With battery packs, this means carefully restoring them to like-new condition.
First, each pack undergoes a safety check to ensure it’s safe to open, given the high voltage (400 to 800 volts). Next, a thorough inspection looks for any obvious issues, followed by advanced diagnostics with specialized tools.
After diagnosing the issue, the battery is carefully disassembled, cleaned, and its components thoroughly inspected. In many cases, only certain parts, such as cells or modules, need replacing, while the rest—when feasible—can be reused. This approach significantly reduces the cost compared to purchasing a brand-new battery pack.
Once the damaged parts are replaced with new or refurbished ones, the battery pack is reassembled and undergoes extensive testing to ensure it’s safe and fully prepared for use in a new vehicle.
This process results in remanufactured battery packs that perform like new. It’s also eco-friendly, reducing waste by reusing components instead of discarding entire packs.
The many Benefits of Restoring a Single Battery
By repairing and reusing battery packs, we lessen the environmental impact of battery disposal. This process helps to minimize the need for new raw materials, including rare minerals like lithium, cobalt, and nickel, which are often extracted in environmentally damaging ways.
Remanufacturing also allows us to extend the life of existing batteries. Instead of manufacturing new batteries for every vehicle, we can keep using older packs by replacing only the damaged components, significantly increasing their operational lifespan. This is a win-win for both the environment and consumers, who benefit from lower replacement costs.
When a battery is beyond repair, we can recycle it in a way that minimizes environmental damage. Most U.S. facilities use advanced machinery to safely and efficiently extract valuable materials.
The materials we extract during the recycling process — such as lithium, cobalt, and nickel — can be sent back to battery manufacturers like LG and Panasonic.
By investing in technologies that boost the lifespan of EV batteries, we can pave the way for a future where remanufacturing and recycling are key to a more sustainable transportation system.
The future of transport is electric, and with EV remanufacturing, we can make it greener, more efficient, and more affordable for everyone.
About the author
Aminur Rahman is a leading expert in manufacturing across several industries, including automotive, electric vehicles (EVs), and biotech. He is known for promoting the circular economy and creating sustainable solutions that enhance business performance while benefiting the planet. Through his work, he is helping shape the future of technology toward a more eco-friendly and economically viable model.
