Battery recovery sector could grow into $6.9B Australian industry by 2050

12 March 2026 Australia’s battery materials recovery industry contributes $2.1 billion to the national economy and supports 19,450 jobs, with the potential to grow to $6.9 billion and more than 34,600 jobs by 2050, according to a new national Industry Profile launched today at Parliament House in Canberra.

Commissioned by the Association for the Battery Recycling Industry (ABRI) to highlight the strategic importance of the sector and prepared by Positive Economics Advisory, the report provides the first comprehensive snapshot of Australia’s rapidly growing battery circular economy.

The profile highlights Australia’s strong foundations to become a global leader in recovering critical minerals from end-of-life batteries, often referred to as “urban mining” building on an already strong capacity to recycle lead.

It shows that with the right policy settings, Australia could expand domestic processing capacity, strengthen sovereign capability in critical minerals recovery and create thousands of skilled jobs across collection, logistics, processing and advanced materials recovery.

ABRI CEO Katharine Hole said the findings show Australia already has the building blocks of a thriving battery materials recovery industry.

“Participating in this project has been rewarding, as it quantifies the benefits of Australia's innovative battery materials recovery industry. The aim is to increase awareness of the advantages that result from properly and safely disposing of batteries once they are no longer usable”

“Australia’s battery recycling sector is already delivering significant economic value, and the opportunity ahead is even greater. It’s great to have this report to build awareness about the work that’s underway including drawing on the Australian research sector to develop exportable technology,” Ms Hole said.

“As battery use grows across manufacturing equipment, electric vehicles and energy storage, we have a chance to build a strong domestic industry that keeps valuable materials in circulation, supports regional jobs and further strengthens Australia’s position in the global critical minerals supply chain.”

The report highlights the importance of nationally consistent mandatory battery producer responsibility, safe and scalable collection systems, and policy settings that support domestic processing capability.

“The upcoming Environment Ministers meeting provides a perfect platform to prioritise action on these initiatives,” Ms Hole said.

“With coordinated national policy and strong industry partnerships, Australia can build a safe, efficient and world-class battery recovery system that underpins the clean energy transition.”

The report was launched today at ABRI’s Industry Showcase at Parliament House in Canberra, attended by parliamentarians, policy advisers and representatives from across the battery supply chain.

David Williams-Chen, Managing Director of Positive Economics Advisory, said the modelling shows strong long-term growth potential for the sector.

“This was a fascinating project to be part of as a sector leading circular economy practices. Our analysis shows that battery materials recovery is already an important and growing part of Australia’s circular economy,” Mr Williams-Chen said.

“As battery volumes increase over coming decades, the sector has the potential to expand significantly, supporting new investment, skilled jobs and domestic capability in recovering critical minerals.

We are looking at a 36-fold surge in used lithium batteries that is actually a massive economic gift. In an era of low economic growth and sluggish productivity, battery recycling offers Australia a new economic lever to pull on.”

Mr Chen said by integrating 'secondary mining' into the industrial base, Australia can transform battery materials into a higher-yield, circular-growth engine that complements traditional resource strengths.

ABRI says the report provides an evidence base to support collaboration between industry and government as Australia develops nationally consistent battery circular economy systems.

The insights from the report will be further explored at the industry’s annual Summit on September 17 in Melbourne.