Lithium Australia has announced a new agreement to recycle end-of-life batteries from BYD’s New Energy Vehicles (NEVs) in Australia. The partnership, which has an initial term of three years and an option to extend for an additional two years, marks a significant milestone for both companies.
Under this agreement, Envirostream Australia, a subsidiary of Lithium Australia, will handle the recycling of BYD’s Blade Batteries, which use lithium iron phosphate (LFP) chemistry. The companies have not disclosed specific recycling targets but noted that BYD’s vehicles comprised approximately 14% of all NEVs sold in Australia in 2023.
Simon Linge, CEO and Managing Director of Lithium Australia, expressed enthusiasm about the deal: “We are excited to announce the signing of an exclusive recycling agreement with BYD. This milestone achievement is expected to significantly increase our future collection volumes of large-format lithium-ion batteries (LIBs), further accelerating the company’s shift in battery collections mix to be primarily focused on the higher margin large-format LIBs.”
Liu Xueliang, General Manager of BYD’s Asia Pacific Automotive Sales Division, highlighted the strategic significance of the partnership: “As a global pioneer in battery manufacturing, BYD’s strategic partnership with Lithium Australia is a testament to BYD’s commitment to reducing carbon emissions for a greener future and strengthening its leadership in technological innovation in the global automobile industry.”
Earlier this year, Lithium Australia also signed a similar agreement with Volvo Buses and updated its contract with South Korean manufacturer LG Energy Solution in March.
