Iveco Group (EXM: IVG) announces the selection of BASF (FWB: BAS) as its first partner to provide a recycling solution for the lithium-ion batteries of the Group’s electric vehicles.
BASF, or Badische Anilin und Soda Fabrik, is a German multinational chemical company and the largest chemical producer in the world. BASF specializes in the production and distribution of a wide range of chemicals, including petrochemicals, agricultural chemicals, specialty chemicals, performance chemicals, and functional materials.
EV batteries are becoming difficult to recycle due to the materials used in their production, this collaboration aims to address this issue by exploring recycling methods.
This decision is part of Iveco Group’s circular economy strategy. It follows the 4R Framework – Repair, Refurbish, Repurpose, and Recycling. The goal is to increase the lifetime of the batteries while decreasing their overall environmental impact. Additionally, it ensures compliance with the Extended Producer Responsibility policy, holding producers responsible for the entire life cycle of the products they introduce on the market, from their design until end-of-life.
BASF has recently inaugurated Europe’s first co-located center of battery material production and battery recycling in Schwarzheide, Germany. The company will organize and manage the entire recycling process for the lithium-ion batteries used on Iveco Group electric vans, buses, and trucks. The agreement includes the collection, packaging, transport, and recycling of batteries. This encompasses various European countries, including, among others, France, Germany, and the UK. After collection, BASF will mechanically process the batteries to black mass. From this black mass, critical raw materials – such as nickel, cobalt, lithium – can be extracted and recovered for use in the manufacturing of new batteries. BASF will establish the full battery recycling value chain in Europe. This initiative aims to locally provide recycled metals with a low carbon footprint for the battery industry.
“Life cycle thinking is one of our strategic sustainability priorities”, commented Angela Qu, Chief Supply Chain Officer, Iveco Group. “BASF shares this approach with us, and its broad battery collection network and recycling capabilities in Europe will help us close the loop from end-of-life batteries to new ones. Working together, we will enable a circular economy and reduce our CO2 footprint. Furthermore, this is fully in line with the Group’s commitment to reach net zero carbon by 2040.”
“The partnership with Iveco Group is our first agreement to recycle batteries from electric vans, buses, and trucks. It is an important step for our battery recycling business to expand our activities into the commercial vehicle space”, said Dr. Daniel Schönfelder, President of BASF’s Catalysts division, who is also responsible for the company’s battery materials and battery recycling business. “It will allow us to further strengthen our European collection network and make further progress in this developing market. With our recycling solutions, we aim to support the European market to close the loop. We also strive to meet the ambitious circular economy-focused policy requirements of the EU Battery Regulation.”
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