Eramet suspends battery recycling project in France
French mining company Eramet said on Thursday it has suspended plans to build a battery recycling plant, the second such project in France to fail in a month as the electric vehicle sector struggles.
Electric car batteries are packed with precious essential minerals and recycling them to reduce costs and make them more sustainable is a key challenge.
Eramet wanted to build a facility that could separate the minerals from the black powder into which used batteries are initially turned.
Although sales of new internal combustion engine cars in Europe should end in just over a decade, the shift to electric cars has suffered a setback recently as consumer demand declines.
Battery manufacturers have since put their expansion plans on hold, and companies looking to recycle used batteries are now following suit.
“Due to the lack of ramp-up in Europe of battery factories and their components… there are currently major uncertainties regarding the supply of raw materials to the factory and the recycling options for the metal salts,” Eramet said in a statement. .
“The required conditions for carrying out a hydrometallurgical battery recycling plant project in France are therefore not met, and the Group has decided to suspend the project,” it added.
Company officials said if the project went ahead, it would likely have to export the minerals to Asia, which would not make economic sense.
Eramet’s partner Suez said it would continue to build a factory outside Paris to break down used car batteries.
Last month, carmaker Stellantis and mining group Orano similarly suspended their plans to develop a battery recycling facility in France.
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