With the vigorous development of the new energy vehicle industry, the disposal of waste power batteries has become an urgent problem to be solved. The Ministry of Industry and Information Technology of the People's Republic of China issued the "Industry Standard Conditions for the Comprehensive Utilization of Waste Power Batteries for New Energy Vehicles (2024 Edition)" (hereinafter referred to as the "New Regulations"), which not only regulates the power battery recycling industry, but also brings new development opportunities to related technologies and industrial chains. In this article, China Exportsemi will analyze the far-reaching impact of the new regulations on the industry, especially its potential role in promoting the semiconductor material supply chain.
Technical details and core requirements
The new regulations clearly state that the research and development and application of recycling technology should be carried out in an all-round way for key components including cathode and anode materials, separators, and electrolytes in waste power batteries. Specific requirements include:
1. Recovery Criteria:
- The recovery rate of nickel, cobalt and manganese shall not be less than 98%.
- Lithium recovery needs to be at least 90%.
- The content of impurities aluminium and copper should be controlled to less than 1.5%.
2. Production Process Optimization:
- Increase the processing capacity of crushing, separation and smelting to reduce waste.
- Introduce automation and intelligent recycling technology to improve process efficiency.
Through these technological upgrades, it not only realizes the efficient recycling of resources, but also provides a guarantee for the supply of upstream key materials. The precision and efficiency of this resource reuse makes scarce materials have greater potential for development in high-end applications such as semiconductor production.
Figure: China's Ministry of Industry and Information Technology's new regulations reshape the new energy vehicle battery recycling industry
Industry impact and new opportunities in semiconductors
The new regulations will bring a series of chain effects to the standardized development of the new energy vehicle battery recycling industry:
1. Promote technological upgrading
The new regulations are forcing companies to upgrade their technology to meet higher recycling requirements. For example, leading domestic companies have developed more efficient solvent extraction technologies and intelligent crushing and separation processes to improve the purity of nickel, cobalt and lithium. These metals are essential in high-performance semiconductor materials.
2. Sustainable supply of scarce resources
Materials such as nickel, cobalt, and lithium recovered from power batteries are important raw materials for the production of high-performance semiconductor chips. According to a report by the International Energy Agency (IEA), demand for lithium and cobalt will more than triple by 2030, and the implementation of new regulations can effectively alleviate the pressure of raw material shortages.
3. Upstream and downstream synergies
The new regulations promote the reuse of resources, reduce the environmental burden of primary ore mining, and promote the reduction of raw material costs in high-end industries such as semiconductors and intelligent manufacturing. This has created conditions for enterprises to lay out the research and development of new materials.
Environmental benefits and resource recycling
Power battery recycling is not only a resource issue, but also an environmental responsibility. According to the data, the retirement of power batteries in China will reach 1.08 million tons in 2025, which may cause pollution to soil and water sources if not properly treated. The high standards of the new regulations have significantly improved the efficiency of resource recovery and reduced environmental pollution.
At the same time, the new regulations promote green development by optimizing resource recycling and reducing the demand for raw ore mining. For example, by the end of 2022, the market price of battery-grade lithium carbonate reached 520,000 yuan/ton, and effective recycling and reuse can reduce the market price of these scarce metals and bring economic benefits to the entire industry chain.
Potential opportunities in the semiconductor industry
1. Stability of resource supply
Metals such as nickel, cobalt, and lithium are indispensable raw materials for high-end chip manufacturing, and their stable supply is particularly important for the semiconductor industry. The implementation of the new regulations will improve the recycling efficiency to the international leading level and enhance the safety of the domestic industrial chain.
2. Promote the research and development of new materials
The semiconductor industry has extremely high requirements for material purity, and the continuous improvement of the smelting process in power battery recycling can help achieve higher metal purification standards to meet the needs of high-end chip manufacturing.
3. Reduce supply chain costs
Through resource recycling, semiconductor companies can reduce their dependence on high-priced imported raw materials and gain greater advantages in terms of price and supply chain stability.
Economic and social benefits
According to the China Academy of Information and Communications Technology, the standardized recycling of used power batteries will bring more than 100 billion yuan of economic output to China in the next five years. This will not only help green development, but also create more employment opportunities and promote the coordinated development of upstream and downstream enterprises in the industrial chain.
In addition, the implementation of the new regulations has enabled China to set a new benchmark for the recycling of used batteries on a global scale, providing practical experience for other countries to refer to.
Future outlook
The introduction of the new regulations not only regulates the recycling of power batteries for new energy vehicles, but also provides new development opportunities for key industries such as semiconductors. In the future, China is expected to make more breakthroughs in the following areas:
1. Greening the entire chain
The combination of power battery recycling and semiconductor manufacturing promotes the deep integration of circular economy and advanced manufacturing.
2. International cooperation and standard output
With the improvement of China's technological capabilities, the successful implementation of the new regulations is expected to serve as a template for the development of global standardization, helping domestic enterprises to occupy a larger share of the international market.
3. Technological innovation drives industrial upgrading
By continuously optimizing the process, China will continue to lead the global technological innovation in the field of resource recycling, and use this as an opportunity to promote the rise of high-end manufacturing industries.
Conclusion
The new regulations of the Ministry of Industry and Information Technology are not only a major policy breakthrough in the field of waste power battery disposal in China, but also provide unprecedented opportunities for the semiconductor industry and other high-end industries. Through efficient recycling and recycling, China is promoting a win-win situation for economic growth and environmental protection. In the future, China will continue to make efforts in the field of global new energy and high-end manufacturing, and contribute more "Chinese wisdom" and "Chinese solutions".
Finally, attach a picture to understand the "Industry Standard Conditions for the Comprehensive Utilization of Waste Power Batteries for New Energy Vehicles 2024":
Figure: One picture to understand the "Industry Standard Conditions for the Comprehensive Utilization of Waste Power Batteries for New Energy Vehicles 2024"
