Automotive major Mercedes-Benz has established a battery recycling plant in Kuppenheim, southern Germany to complete the battery recycling loop. 

This facility introduces an integrated mechanical-hydrometallurgical process, which is expected to achieve a recovery rate exceeding 96%.  

The plant's approach allows for the retrieval of materials such as lithium, nickel, and cobalt, which are essential for new batteries in upcoming all-electric Mercedes-Benz models. 

Mercedes-Benz said it has invested tens of millions of euros into the construction of this plant, bolstering value creation within Germany.  

The technology partner for this venture is Primobius, a collaboration between the German SMS group and Australian Neometals.  

The facility's development has also been supported by the German Federal Ministry for Economic Affairs and Climate Action, as part of a research project with three German universities, examining the recycling process chain, logistics, and reintegration strategies. 

The Mercedes-Benz battery recycling plant can recover 2,500 tonnes of materials annually, enabling the production of over 50,000 battery modules for new all-electric vehicles.  

Mercedes-Benz Group chairman of the board of management Ola Källenius said: “Mercedes-Benz has set itself the goal of building the most desirable cars in a sustainable way. As a pioneer in automotive engineering, Europe's first integrated mechanical-hydrometallurgical battery recycling factory marks a key milestone towards enhancing raw-materials sustainability.  

“Together with our partners from industry and science, we are sending a strong signal of innovative strength for sustainable electric mobility and value creation in Germany and Europe.” 

Germany Federal Chancellor Olaf Scholz said: “The future of the automobile is electric, and batteries are an essential component of this. To produce batteries in a resource-conserving and sustainable way, recycling is also key.  

“The circular economy is a growth engine and, at the same time, an essential building block for achieving our climate targets! I congratulate Mercedes-Benz for its courage and foresight shown by this investment in Kuppenheim. Germany remains a cutting-edge market for new and innovative technologies.” 

The news comes as Mercedes-Benz Group reported sales of 594,600 cars and vans during the third quarter of 2024, marking a 3% decrease from the same period in 2023.