Cylib, a startup backed by Porsche and Bosch, is building a massive 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 seeks to reduce waste from end-of-life EV batteries.
Cylib, which is backed by a luxury sports car company Porsche and home appliance maker Bosch on Monday broke ground on the new site in the town of Dormagen in the German state of North Rhine-Westphalia.
More than 180 million euros ($200 million) is being poured into the facility, which is expected to span 236,000 square feet and will produce recycled batteries for Europe’s electric vehicle industry.
Cylib says its facility will be the largest end-to-end lithium-ion battery recycling facility in Europe.
It plans to recycle about 30,000 metric tons of end-of-life batteries at the facility each year, making it larger in scale than the current largest plant, Hydrovolt, a joint venture between Swedish EV battery company Northvolt and Norway-based aluminum and renewables. the energy company Hydro.
Hydrovolt has the capacity to recycle 12,000 metric tons of end-of-life batteries annually, 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 as the information is not yet public, added that the plans are still in the early stages and have not yet been made official.
Asked about Porsche’s involvement in the project, a Cylib spokesperson said investments from partners like Porsche are “strategic,” adding that it works closely with its investors on process industrialization and commercial partnerships.
Critical to the transition to EVs
Battery recycling is a key priority for the European Union, which seeks to ensure the sustainable development of batteries needed to power 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 in funding from investors including venture capital firm World Fund, Porsche Ventures, Bosch and DeepTech & Climate Fonds.
Cylib said the new plant will mainly serve automotive, battery and chemical customers. The startup wants to be the first of many, with further facilities planned elsewhere in Germany and Europe in the coming years.
The new facility is being built in a cafe area located in Chempark, an industrial site mainly used by the chemical industry. Cylib said the location was strategic, with pre-existing supply chains already established on site.
Work on the plant is 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 in building a strong European battery infrastructure,” Schwich said in a press statement.
“Battery recycling is leading the way in the circular economy, proving that economic success is compatible with reduced environmental impact,” he added.
