Highlights

• China introduces comprehensive regulations for EV battery recycling as waste batteries are expected to exceed 1 million tons annually by 2030.
• Regulations impose extended producer responsibility on manufacturers and require nationwide recycling networks.
• A national digital ID system will track each battery from manufacturing through recycling, enabling real-time oversight.
• Chinese recyclers already achieve 99.6% recovery rates for nickel, cobalt, and manganese.
• New rules prohibit repurposed EV batteries in applications like e-bikes.
• Vehicles are required to be scrapped with batteries intact.
• The regulations strengthen China's control over critical mineral recovery as a strategic 'urban mine.

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China has unveiled sweeping new rules to govern the recycling and reuse of electric vehicle (EV) power batteries, signaling a decisive move to systematize and formalize critical mineral recovery, industrial safety, and supply-chain oversight as battery retirements accelerate. The measures were announced January 16 at a joint press conference held by the Ministry of Industry and Information Technology (opens in a new tab) (MIIT), alongside the Ministry of Ecology and Environment and the State Administration for Market Regulation (opens in a new tab).

Background

The new “Interim Measures for the Management of Recycling and Comprehensive Utilization of Waste Power Batteries from New Energy Vehicles” arrive as China’s EV market reaches industrial scale. Officials disclosed that China produced and sold more than 16.5 million EVs in 2025, representing nearly 48% of all new vehicle sales. As a result, regulators say China is entering a “large-scale battery retirement phase,” with waste power batteries expected to exceed 1 million tons annually by 2030.

The rules significantly strengthen state oversight across the entire battery lifecycle. Most notably, they impose extended producer responsibility on battery makers and automakers, requiring them to build nationwide recycling networks, ensure compliant transfer of retired batteries, and share technical disassembly data. New energy vehicles must generally be scrapped together with their power batteries—closing long-standing loopholes that allowed batteries to leak into informal or unsafe channels—while battery-swapping models are carved out for separate regulatory treatment.

Updates

A major institutional upgrade is the introduction of a national digital ID system for EV batteries. Each battery pack will carry a unique digital identity, enabling full lifecycle tracking—from manufacturing and installation to repair, recycling, and material recovery. Regulators describe this as a core enforcement breakthrough, replacing earlier, weaker traceability rules with real-time, data-driven supervision.

For the West and the United States, the implications are strategic.

China is reinforcing its grip on battery recycling as an “urban mine,” ensuring lithium, nickel, cobalt, and manganese are systematically recovered and reused domestically. Officials reported that leading Chinese recyclers already achieve 99.6% recovery rates for nickel, cobalt, and manganese, and 96.5% for lithium, levels described as internationally advanced. China has also moved to allow imports of recycled lithium-ion black mass, bringing in roughly 28,000 tons worth RMB 1.26 billion by the end of 2025.

The measures also draw a firm line against unsafe downstream uses. The concept of “second-life” or tiered utilization is removed, and repurposed EV batteries are prohibited in applications such as electric bicycles—tightening quality control and shrinking gray-market activity.

Final Thoughts

In short, Beijing is turning EV battery recycling into a regulated, traceable, nationally strategic industry, strengthening China’s long-term advantage in critical minerals and low-carbon manufacturing—while raising the bar for Western competitors still working to build comparable recycling systems.

Disclaimer: This news item originates from media associated with Chinese state-owned or state-affiliated entities. Information should be independently verified by an external source.