BMW of North America has announced a strategic partnership with Redwood Materials, a Nevada-based company specializing in battery recycling and the production of critical battery materials. This partnership aims to enhance the circularity of BMW’s electric vehicle (EV) batteries in the United States. As part of this collaboration, the companies will focus on creating a closed-loop system for EV batteries, reducing the need for new raw materials by recovering lithium, cobalt, nickel, and other essential components from used batteries. The materials extracted will be reused to manufacture new battery cells, promoting a more sustainable and resource-efficient approach to EV battery production.
Redwood Materials, founded by former Tesla executive JB Straubel, has emerged as a leader in battery recycling and raw material processing. The company has developed advanced technologies that enable the extraction and repurposing of valuable metals from end-of-life batteries. By collaborating with BMW, Redwood Materials aims to scale its operations and contribute to a more sustainable future for the automotive industry.
The partnership aligns with BMW’s broader sustainability goals, which include reducing its carbon footprint and reliance on primary raw materials. BMW has committed to using 50 percent recycled material in its battery packs by 2030, and this initiative with Redwood Materials is a key component in achieving that target. Additionally, the collaboration is expected to play a significant role in reducing the overall cost of battery production by lowering the dependency on mined materials.
The agreement between BMW and Redwood Materials is part of a growing trend in the automotive industry to focus on battery recycling as a way to address concerns over resource depletion and the environmental impact of EV production. With this partnership, BMW continues its efforts to lead the industry in sustainability while ensuring a stable supply chain for critical battery components.
