SK ecoplant, in collaboration with EcoPro and TES, is set to establish a battery recycling plant in Hungary. This strategic move will capitalize on Hungary's status as a European Battery Production Hub, where a number of global battery and electric vehicle companies are present, ensuring a steady supply of waste batteries for recycling.
On Nov. 19, industry sources revealed that Park Kyung-il, President of SK ecoplant, signed a memorandum of understanding about “Hungary Battery Recycling Business Cooperation” on Nov. 16 at the company’s headquarters in the Susong neighborhood of Seoul with EcoPro representative Song Ho-jun and TES Chairman Terence Ng. EcoPro is the leading battery cathode material company in Korea, and TES, an electronic waste specialist, is a subsidiary of SK ecoplant.
The three companies plan to complete the construction of the battery recycling plant by 2025. Hungary was chosen due to the concentration of major battery companies, providing easy access to “feedstock,” the primary raw material, which includes defective products from battery manufacturing processes and end-of-life electric vehicle batteries. The success of the battery recycling business largely depends on how much and how steadily feedstock can be secured.
Hungary is the world’s fourth-largest battery producer, following China, Poland, and the United States. All three German premium car manufacturers (Mercedes-Benz, BMW, Audi) operate factories in Hungary. Additionally, three Chinese companies -- CATL, Eve Energy, and Sunwoda -- recently announced plans to enter Hungary. Domestically, battery cell manufacturers Samsung SDI and SK on are also present in Hungary. By 2030, the country’s battery production is expected to grow more than sevenfold compared to last year.
The three companies will combine their technological prowess and networks to secure feedstock. SK ecoplant and TES have already established a global presence in 23 countries with 50 sites, setting up logistics bases for collecting waste batteries. Under the Basel Convention, permits are required to transport waste batteries to recycling facilities in other countries, and TES already holds over 30 “Basel Permits.” EcoPro is constructing a cathode material plant in Debrecen, Hungary, with an annual production capacity of 108,000 tons, aiming to start mass production in the second half of next year.
Furthermore, they plan to establish a “closed-loop system” in the region, reusing recovered rare metals such as lithium, cobalt, and nickel from waste batteries in new battery manufacturing, thus realizing a resource recycling economy. SK ecoplant has developed four core technologies encompassing the entire pre- and post-treatment process of battery recycling, including “enhancement of nickel, cobalt, and lithium recovery rates,” “development of extraction agents for water conservation,” and “rapid discharge for fire prevention.” EcoPro, with its expertise in battery core materials and recycling technology centered around wet processes, is leading the battery recycling industry.