Cylib, a startup backed by Porsche and Bosch, is building a large electric vehicle battery recycling facility in Dormagen, a city in Germany’s North Rhine-Westphalia region.
Cylib
A massive battery recycling plant is being built in Germany by Cylib, a startup that wants to reduce waste from EV batteries that have reached the end of their life.
Cylib, which is backed by a luxury sports car company Porsche and Appliance manufacturer Bosch, there began work on a new site in the city of Dormagen, in the German federal state of North Rhine-Westphalia.
More than 180 million euros ($200 million) are being pumped into the facility, which is expected to cover 236,000 square feet and will produce recycled batteries for Europe’s electric vehicle industry.
Cylib says the facility will be the largest end-to-end lithium-ion battery recycling facility in Europe.
It plans to recycle approximately 30,000 metric tons of final batteries in the facility each year, making it larger in scale than the current largest factory, Hydrovolt, a joint venture between Swedish EV battery manufacturer Northvolt and Norway aluminum-based and renewable. energy company Hydro.
Hydrovolt has the capacity to recycle 12,000 metric tons of final batteries per year, according to Hydro’s website.
Recycled batteries produced by Cylib’s new facility are expected to be used by Porsche, which invested in the startup as part of a 55 million euro funding round, a source familiar with the matter told CNBC.
The source, who preferred to remain anonymous because the information is not yet public, added that the plan is still in its early stages and has not been formalized.
Asked about Porsche’s involvement in the project, a Cylib spokeswoman said the investment from partners like Porsche is “strategic,” adding that it cooperates with investors on industrialization processes and commercial partnerships.
It is essential for the EV transition
Battery recycling is a top priority for the European Union, which wants to ensure the sustainable development of batteries needed to fuel the transition to electric vehicles.
Founded in 2022 by German entrepreneur Lilian Schwich, her husband Gideon Schwich, and Paul Sabarny, Cylib uses water-based lithium and graphite recovery techniques to reuse materials from end-of-life batteries.
Earlier this year, the company raised 55 million euros in funding from investors including climate-focused venture capital firm World Fund, Porsche Ventures, Bosch, and DeepTech & Climate Fonds.
Cylib said the new plant will serve automotive, battery and chemical manufacturing clients. The startup wants to be the first of many, with more facilities planned elsewhere in Germany and Europe over the next few years.
The new facility is being built on a brownfield site located in Chempark, an industrial site used mainly by the chemical industry. Cylib says the location is strategic, with an existing supply chain at the site.
Operations at the plant are scheduled to begin in 2026. The move is key to Cylib’s ability to reach mass production, CEO Lilian Schwich said.
“Cylib reaching industrial-scale production will be a key driver for building a strong European battery infrastructure,” Schwich said in a press statement.
“Battery recycling is a pioneer of the circular economy, proving that economic success is compatible with reduced environmental impact,” he added.
