BMW Group to implement ‘direct recycling’ of batteries

The Munich-based BMW Group is building a Cell Recycling Competence Centre (CRCC) for battery cells in Kirchroth, in the Straubing-Bogen district of Lower Bavaria, where it will implement a process referred to as “direct recycling.”

The company says this procedure enables residual materials from battery cell production, as well as whole battery cells, to be mechanically dismantled into their valuable components. The recovered raw materials then are directly reused in the pilot production of battery cells at the company’s own Battery Cell Competence Centres (BCCCs).

“The new Cell Recycling Competence Centre brings another element to our in-house expertise,” says Markus Fallböhmer, senior vice president of battery production at BMW AG. “From development and pilot production to recycling, we are creating a closed loop for battery cells, taking advantage of the short distances between our Competence Centres in Bavaria.”

The BMW Group is investing approximately 10 million euros ($10.5 million) in the construction of the new CRCC. Installation work at the building is scheduled to begin in the second half of 2025. Once completed, validation of the recycling method in near-series processes will get underway.

The company says battery cell raw materials–primarily lithium and cobalt, but also graphite, manganese, nickel and copper–are among the main cost factors in cell production and responsible use of these resources is essential environmentally and economically.

“The direct recycling will help reduce the costs for our battery cell pilot line," Fallböhmer says.

Unlike conventional methods, the company says the main characteristic of direct recycling is that raw materials from battery cells are not reverted to their original state but are instead fed back “directly” into the cell production cycle. This method dispenses with the previously common energy-intensive chemical or thermal processing.

The recycling method was developed by BMW Group experts at the Competence Centres in Munich and Parsdorf. At the new CRCC, it will be implemented on a larger scale and, once the processes are finalized, battery cell material in the mid-double-digit ton range can be recycled per year.

The BMW Group is consolidating its battery cell expertise at its Competence Centres in Munich and Parsdorf, noting that the BCCC in northern Munich offers state-of-the-art labs and research facilities for developing the battery cells for next-generation high-voltage batteries and producing them in small quantities.

The most promising battery cell from the BCCC will be scaled up for series processes on a pilot line at the Cell Manufacturing Competence Centre (CMCC) in Parsdorf, the company says. Once completed, recycling of surplus material from pilot production in Parsdorf will take place at the new Competence Centre in Kirchroth. The recovered raw materials will then be reused in cell production in Parsdorf, ensuring short distances between all facilities and preventing valuable raw materials from being lost.

Following on from the BCCC and CMCC, the company says its planned CRCC represents the next step in the BMW Group’s battery cell strategy on the road to the circular economy.

The CRCC will be integrated into the expansion of an existing building in the Kirchroth-Nord industrial park, near Straubing, according to the company. Electrical energy from the discharged cells will be captured in energy storage systems within the building and used to operate the recycling systems. The energy concept will be rounded out by photovoltaic systems installed on the roof of the building.

While the intellectual property for the recycling method is fully owned by the BMW Group, the CRCC will be built and operated by Encory GmbH. As a 50-50 joint venture of the BMW Group and Interzero Group, Encory develops and implements logistics and consulting solutions in areas such as collection, recycling and remanufacturing of vehicle components. About 20 people will be employed in the new facility.

The BMW Group says it views the circular economy as one of the key issues in designing more resource-efficient vehicles. The premise is to optimize the circularity of materials, meaning resources are not lost, but rather retain their value for long-term use.

The BMW Group adds that it applies the principles of rethink, reduce, reuse and recycle. From vehicle design and production to recycling and reuse, the company says everything is geared towards ensuring cars can serve as a source of raw materials for new vehicles at the end of their useful life. Recycling focuses, in particular, on the use of innovative methods to recover high-voltage batteries from electrified vehicles.