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Mineral prices and rules boost profits in battery recycling

A sharp rise in lithium prices has helped restore the economics of used battery recycling, lifting margins for processes that extract metals from black mass. The supply structure is also shifting as first-generation electric vehicles begin reaching end-of-life, increasing the share of metals recovered from batteries after use. Regulations in the European Union and incentives under the U.S. Inflation Reduction Act are supporting demand by requiring or encouraging recycled content and qualifying recycled minerals for subsidies.