The European Commission published the draft of the "New Battery Regulation" on December 10, 2020. After several rounds of focused discussions, revisions, and deliberations, the European Parliament and Council reached a provisional agreement on the "EU Batteries and Waste Batteries Regulation" (also known as the "EU New Battery Regulation") on December 9, 2022. It was finally adopted by the EU Council on July 10, 2023, and officially published in the EU Official Journal on July 28, coming into force on August 17.

The introduction of the "EU New Battery Regulation," transitioning from directive to legislation, addresses shortcomings in EU environmental law. With continuous innovations in battery technology and the EU's ambitious goals for carbon neutrality, the original "Battery Directive" no longer meets the current management needs of the battery industry regarding the popularization of new energy vehicles, industrial low-carbon development, information disclosure, resource utilization efficiency, and other issues. A significant change in this regulation is the classification of electric vehicle batteries separately from industrial batteries under the previous "Battery Directive." Issues exist in the production, use, and disposal management of batteries under EU environmental law, necessitating additional regulatory interventions.

As one of the core regulations in the EU's Green Deal "Fit for 55" package, the "EU New Battery Regulation" also sets targets for the recycling and reuse of critical raw materials and the collection and management of waste batteries to boost the circular economy in the EU.

The provisions related to the recycling and reuse of critical raw materials and the collection and management of waste batteries aim to harmonize product requirements and service levels for batteries across the EU market, improve the operation of secondary raw material markets, prevent and reduce the environmental impact of battery production and use, and promote the circular battery industry in Europe. However, establishing and operating a battery collection and management system incurs high costs, and recycling technologies are capital-intensive, requiring economies of scale beyond what the EU can provide alone. These limitations further spurred the birth of the "EU New Battery Regulation," embedding concepts like "carbon footprint" and "circular economy" into the entire battery supply chain, extending producer responsibility to the global supply chain and the entire product lifecycle.

Battery Classification

The "EU New Battery Regulation" applies to all types of batteries placed on the EU market, regardless of whether they are produced within the EU or imported into the EU, and whether they are used individually or incorporated into appliances, light means of transport, or other vehicles, or otherwise added to products. The specific coverage is shown in the table below:

Q&A:

Q: If only producing cells, which category should they fall under?

A: If solely manufacturing and selling cells or battery packs without embedding them into end-user scenarios, the battery category should be determined based on the final usage scenario of the product.

Q: If a product involves multiple types of batteries, how should it be classified?

A: If a product involves multiple types of batteries, it will be categorized under the type with the strictest regulatory requirements.

Q: Must all batteries comply with the EU Battery Regulation?

A: The Battery Regulation does not apply to the following scenarios:

1) Equipment related to protecting fundamental security interests of the state, weapons, ammunition, and war materials, but excluding products not specifically designed for military purposes;

2) Equipment designed for space missions;

Q: Must all requirements be met?

A: No, the specific requirements must correspond to the type of battery. For example, those designed specifically for nuclear facility safety are exempt from the following requirements:

1) Labeling, marking, and information requirements;

2) Management of waste batteries;

I. Carbon Footprint Requirements

1. Content of Carbon Footprint Declaration

On April 30, 2024, the European Commission released the Draft Format for Battery Carbon Footprint Declarations for public consultation, which ran from April 30 to May 28.

According to the draft, the format requirements for carbon footprint declarations are as follows:

2. Relevant Timeframes

Note: By December 31, 2030, the scope will be expanded to cover all portable batteries and other industrial batteries (capacity less than 2 kWh).

From the above table, it can be seen that batteries for electric vehicles (EVs) and hybrid electric vehicles (HEVs) are the first to require carbon footprint disclosure. The EU originally planned to release and implement the methodological guidelines and verification criteria for calculating and verifying the carbon footprint of EV batteries by February 18, 2023. However, it wasn't until April 30, 2024, that the Draft Methodology for Calculating the Carbon Footprint of Electric Vehicle Batteries was published for public consultation, which ran from April 30 to May 28. According to the regulation, once the draft methodology is officially adopted, EV battery manufacturers will have to calculate the carbon footprint according to the methodology and publish the carbon footprint declaration in the specified format 12 months later, which is later than the originally scheduled date of February 18, 2025.

II. Requirements for Recycling Active Materials

1. Disclosure Content:

Each battery model must disclose annually and per production site the proportion of cobalt, lithium, or nickel in the active materials, as well as the proportion of cobalt and lead recycled from battery production waste or post-consumer waste, and the proportion of lead recycled from waste.

2. Timelines:

Note: The recycling ratio of active materials will be adjusted according to actual conditions at the time.

Relevant Requirements and Timelines of the EU Battery Regulation

III. Collection of Waste Batteries

1. Collection Rate of Waste Portable Batteries

2. Collection Rate of Waste LMT Batteries

3. Calculation Method for Recycling Rates

IV. Battery Label Information

1. Requirements for Battery Labels

2. Regulations Regarding QR Codes

3. Content Included in Battery Passports

LMT batteries, industrial batteries with a capacity greater than 2 kWh, and EV batteries should provide a battery passport via QR code. The battery passport should include the following information related to the battery model, which should be accessible to the public: