South Korean automaker Kia Corporation [000270:KS] has signed a memorandum of understanding (MOU) with stakeholders, including domestic automakers, battery recycling companies, material suppliers, and local governments to build an electric vehicle (EV) battery recycling ecosystem, as reported by the Korea Economic Daily on October 6. The agreement involves collaboration with Hyundai Glovis [086280:KS] , Ecopro[086520:KS], Eva Cycle, the North GyeongsangProvincial Government, and Gyeongbuk Technopark.The MOU also marks the launch of a pilot battery recycling project. Kia will supply used batteries for the pilot initiative and oversee the overall business.

According to Kia, this pioneering public-private collaboration aims to promote a sustainable EV battery ecosystem. The MOU outlines specific roles for each participant. Eva Cycle will dismantle the discarded batteries provided by Kia to produce mixed metal material powder, from which Ecopro will extract raw materials to create cathode materials. Additionally, Hyundai Glovis will assess the economic feasibility of the overall recycling business, while local governments will handle related regulatory matters. They will also collect detailed data at each stage of the EV battery value chain, including raw material extraction, battery production, installation in electric vehicles, and the recycling of used batteries at the end of their life cycle. The empirical data collected will be used to analyze the residual value of batteries. Based on the results of the pilot project, Kia plans to commercialize battery service platforms, such as battery subscriptions and refurbishment.

Sources:

https://www.kedglobal.com/batteries/newsView/ked202310060010

https://www.kiapressoffice.com/en-gb/releases/1622

https://www.just-auto.com/news/kia-signs-comprehensive-ev-battery-value-chain-deal/?cf-view