Redwood Materials has signed a joint venture with Volkswagen Group of America, to recycle all-end-of like batteries from VW and Audi electric vehicles. Redwood will work with VW’s network of dealers in the US to recover, package, transport, and recycle end-of-life EV battery packs.
Batteries from more than 1,000 dealers across the US will be making their way to Redwood’s facility in North Nevada, where the company will recover more than 95% of the remaining metals such as nickel, cobalt, lithium and copper in the battery.
These metals will then be used to remanufacture anode and cathode components for US batter cell manufacturers. The materials will not leave the US and will therefore serve as a closed loop supply chain.
“For Volkswagen, going all-in on electrification means driving sustainable solutions at every turn,” said Scott Keogh, President and CEO, Volkswagen Group of America, Inc.
“Redwood Materials is a great partner to help us accelerate EV adoption in America. This collaboration allows us to move closer toward our goal of closing the loop for a circular EV economy, giving American consumers yet another reason to go electric.”
Currently, Redwood already recycles more than 6 GWh of lithium-ion batteries, the equivalent of 60,000 EV batteries, in Nevada. The company had already signed an agreement with Toyota earlier this year, making Audi and VW another to add to their growing system.
“The transition to electric transportation and clean energy is coming and the batteries powering these technologies present an incredible opportunity. As more and more batteries reach end-of-life each year, an increasing and infinitely recyclable resource becomes available”, said JB Straubel, Redwood Materials Founder and CEO.
“Redwood and Volkswagen Group of America share a vision to create a domestic, circular supply chain for batteries that will help improve the environmental footprint of lithium-ion batteries, decrease cost and, in turn, increase access and adoption of electric vehicles.”
VW is currently aiming to make 55% of its US sales to be fully electric by 2025 and is heavily invested in manufacturing and engineering across the US.