Lime, the world's largest bike- and scooter-sharing company, has announced a partnership with Redwood Materials, a recycling and materials firm founded by former Tesla CTO JB Straubel, to recycle its lithium-ion batteries. This collaboration marks a significant step towards a more sustainable and circular approach in the micromobility industry.

Lime's e-bike and e-scooter batteries typically last around 500 charge cycles, or between five to seven years, before reaching their end of life. Under this partnership, Lime will ship these spent batteries to Redwood's North Nevada recycling facility, where they will undergo a chemical recycling process to extract valuable materials like nickel, cobalt, and copper. These refined materials can then be reintegrated into the battery-making process, reducing the need for virgin materials and minimizing waste.

Redwood Materials boasts an impressive recovery rate of 95-98% of the materials from recycled batteries, which was a key factor in Lime's decision to partner with the company. Lime's head of sustainability, Andrew Savage, emphasized the importance of circularity in the micromobility industry, stating that the company aims to ensure that batteries are reused or recycled to their highest and best use, even after they are no longer suitable for powering Lime's vehicles.

This partnership is not Redwood Materials' first foray into the electric vehicle (EV) battery recycling space. The company already works with major automakers like Ford, Toyota, Nissan, BMW, and GM, as well as other e-bike manufacturers, to recycle their EV and e-bike batteries. Redwood's VP for government relations, Alexis Georgeson, highlighted the significance of recycling medium-format batteries like those used in e-bikes and scooters, noting that collecting around 130 of these batteries provides enough recyclable material to produce one battery-electric vehicle.

In 2024, Redwood Materials recycled 20 gigawatt-hours worth of material, which is enough to produce approximately 250,000 EVs. The company is now focusing on scaling up its cathode production, which accounts for 60% of the cost of a battery. Redwood has already produced anode copper foil and delivered it to partners like Panasonic, and is investing heavily in cathode production.

This partnership between Lime and Redwood Materials serves as a model for the micromobility industry, demonstrating the importance of sustainable practices and closed-loop systems in reducing waste and promoting a circular economy. As the demand for e-bikes and scooters continues to grow, it is crucial for companies like Lime to prioritize environmentally responsible practices throughout their entire product lifecycle.

The collaboration between Lime and Redwood Materials is a significant step towards a more sustainable future for the micromobility industry, and sets a precedent for other companies to follow. As the world continues to transition towards more environmentally friendly modes of transportation, partnerships like this one will play a critical role in reducing waste and promoting a circular economy.