China figured out how to sell EVs. Now it has to bury their batteries.
As China's early electric vehicles (EVs) age out, a flood of used batteries is hitting the market, prompting challenges in recycling and disposal. With nearly 60% of new cars sold in late 2025 being electric or plug-in hybrids, the country faces pressure to manage the growing volume of retired EV batteries. The strain on China's battery recycling industry has led to the emergence of a gray market that often disregards safety and environmental standards. While efforts are being made to establish formal recycling networks, the pace struggles to keep up with the increasing battery waste. Major EV manufacturers in China, like BYD and CATL, are implementing recycling programs to recover materials from old batteries, emphasizing the need for a comprehensive end-of-life system for EV batteries.