Li-Cycle Holdings and VinES Energy Solutions, a member of Vietnam-based Vingroup, signed a definitive agreement for a long-term recycling relationship. From 2024, Li-Cycle will become VinES’ strategic and preferred recycling partner for VinES’ Vietnamese-sourced battery materials.

Consistent with Li-Cycle’s strategy for growing recycling capacity in conjunction with customer demand, the Aagreement further contemplates the possible construction of a dedicated Spoke located close to VinES’ manufacturing site. Further, the potential Spoke has the opportunity to benefit from the growing local demand for lithium-ion battery recycling solutions, driven by strong economic growth and an increasing manufacturing presence in Vietnam.

An investment decision regarding the dedicated Spoke facility is expected to be made in 2025. In the meantime, Li-Cycle will facilitate the processing of VinES’ material utilizing Li-Cycle’s North American Spoke network.

To build on a partnership first announced in October 2022, VinES and Li-Cycle will also continue to explore global recycling solutions for VinFast (also part of Vingroup), the first global electric vehicle (EV) manufacturer in Vietnam and Southeast Asia.

VinFast has expanded its business to the North American and European markets with the aim to become one of the leading global EV manufacturers. VinES is a company that specializes in the research, development, and manufacturing of advanced batteries for mobility and energy storage applications. The company has recently commissioned a lithium-ion battery cell manufacturing facility in Hai Phong, Vietnam, and expects to further expand its production capacity in the country.

Li-Cycle opened an office in Singapore in December 2022 to support its connectivity to the Asia market and its efforts to continue building and expanding its commercial relationships with Asia-based manufacturers.