Honda has announced a deal with battery recycler Ascend Elements for the supply of recycled lithium-ion battery material.
Under the agreement, Ascend Elements will provide the automaker with recycled nickel, cobalt, and lithium for its electric vehicles produced in North America.
The deal builds on the two companies existing partnership – Ascend Elements has recycled used lithium-ion batteries for Honda since 2021.
With critical minerals such as graphite and lithium becoming increasingly sparse and expensive, Honda is among the automakers turning to recyclers to fill the supply gap. Battery material recyclers and manufacturers, meanwhile, are working to ramp up their operations to meet the demand.
Ascend Elements is currently in the process of building a $1 billion battery materials recycling facility in Hopkinsville, Kentucky, which will produce enough EV battery material annually to power more than 250,000 electric vehicles.
Honda is striving to reach carbon neutrality throughout the product life cycle by 2050, as part of a broader sustainability plan, which includes 100% use of sustainable materials and 100% utilization of carbon-free electricity. The company is also in the midst of building an EV battery plant in Ohio, as it targets having EVs represent 100% of its vehicle sales in North America by 2040.