Mining group Eramet and its partner Suez have suspended plans for a battery recycling plant in northern France, citing an insufficient ramp-up in European battery production as a major constraint. The project, which was set to be located in Dunkirkâs Grand Port Maritime, included a dismantling facility and a hydrometallurgy plant, with a planned annual capacity of 50,000 tonnes of battery modules. Construction had been slated to begin in 2024.
Eramet explained that without a sufficient supply of battery components like cathode materials, the plant’s operations would lack the raw materials needed to sustain battery recycling. âThe required conditions for pursuing a hydrometallurgical battery recycling plant project in France are therefore not met, and the Group has decided to suspend the project,â the company noted in its annual report. The report also referred to the projectâs indefinite pause as the company seeks a more stable economic model for such ventures in Europe.
Geoff Streeton, Eramet’s Executive Vice President & Chief Development Officer, emphasized the importance of a circular economy for critical metals but acknowledged the current challenges in Europeâs EV battery supply chain. According to Streeton, there is not only a limited supply of raw materials but also insufficient demand for recycled metal salts due to the lack of confirmed European cathode precursor projects. âWe will continue to study the market fundamentals required to make such a project competitive,â he added.
The announcement follows a similar decision by Stellantis and Orano, who recently cancelled their joint battery recycling venture in France. The collaboration aimed to extract black mass from used batteries and repurpose it for new cell production. Although Orano is constructing a hydrometallurgical plant in France, Stellantis has yet to confirm alternative recycling partnerships.
The decisions reflect broader concerns in Europe about securing a stable and viable battery recycling infrastructure, particularly amid the slower-than-expected growth of the continentâs electric vehicle sector.
