China’s Ministry of Industry and Information Technology and the All-China Federation of Supply and Marketing Cooperatives have issued a new policy to standardise lithium-ion battery recycling, extending regulatory structures that are increasingly applied across China’s electric vehicle battery lifecycle, according to IT-Home.

The notice, released April 3, outlines measures to expand collection infrastructure, strengthen leading recyclers, and introduce digital monitoring systems, with structural similarities to recent EV battery policy developments.

Recycling network linked to manufacturers

Authorities are encouraging electric bicycle manufacturers and lithium battery producers to cooperate with recycling enterprises to build collection and temporary storage networks.

This producer-linked model reflects broader trends in China’s EV sector, where automakers and battery suppliers are required to participate in end-of-life battery management, including the establishment of recycling service channels.

Leading recyclers positioned for expansion

The policy highlights the role of major recycling firms, encouraging China Recycling Group to scale lithium battery recycling capacity and deploy flexible, region-specific models.

The focus on large recyclers aligns with the ongoing expansion of centralised battery recycling capacity in China’s EV industry, where material recovery and processing are increasingly concentrated among major players.

Digital tracking framework expands

Authorities are promoting the use of digital platforms to record the source, quantity, and destination of batteries at each recycling stage.

Lifecycle system taking shape

China launched a national power battery traceability platform on April 1, requiring industry participants to upload data across production, use, and recycling stages. The system assigns a unique digital identity to each battery and enables full lifecycle tracking through a centralised data structure.

The platform applies to battery manufacturers, new energy vehicle producers, maintenance companies, and recycling enterprises, forming a closed-loop management framework for battery oversight.

The newly issued recycling policy adds a physical infrastructure layer to this framework by expanding collection networks and standardising recycling channels.

Policy standardisation and coordination

Local authorities are instructed to implement unified technical guidelines and develop scalable recycling models, while central agencies will conduct regular monitoring of system development.

The framework emphasises coordination between regulators and supply-chain participants, reflecting a broader regulatory approach seen in China’s EV sector.

Industry push toward closed-loop management

China has already introduced stricter battery recycling rules for 2026, requiring automakers and battery manufacturers to take responsibility for retired batteries and establish recycling service networks.

The rules also aim to expand formal recycling channels and improve oversight of battery handling processes, particularly as volumes of retired batteries increase.