Rivian Expands Partnership With Redwood Materials for Battery Recycling and Energy Storage
The expanded deal includes sending production scrap to Redwood and powering Rivian's Illinois plant with repurposed battery packs.
Rivian has expanded its partnership with battery recycling specialist Redwood Materials to include the recycling of production scrap and the use of end-of-life battery packs for energy storage at its manufacturing facility.
What Happened
Under the expanded agreement, Rivian will send battery production scrap and full battery packs that are no longer suitable for electric vehicles to Redwood Materials. In return, Redwood will provide energy storage for Rivian’s factory in Normal, Illinois, using repurposed end-of-life packs from Rivian’s own vehicles. This move builds upon an existing partnership established in April, which involved Redwood deploying 10 megawatt-hours of battery energy storage from repurposed Rivian packs at the plant where the R1T, R1S, R2, and electric van are produced. Redwood’s energy storage systems are designed to integrate both old and new battery packs from various manufacturers to keep costs low and accelerate deployment.
Why It Matters
The initiative creates a circular economy model for EV batteries, addressing both waste management and energy costs. When EV batteries are retired from vehicles, they often retain healthy cells that are difficult to repair within the pack but valuable for stationary storage. By evaluating each returned pack, Redwood determines if it can be repurposed for energy storage or if it needs to be dismantled for recycling. Repurposed packs can help keep electricity costs down at manufacturing facilities and stabilize the grid by charging during low-demand periods and exporting energy when demand and prices are high. For batteries that cannot be repurposed, Redwood recovers over 95% of critical minerals such as lithium, nickel, cobalt, and copper, allowing these materials to be reused in new battery packs without the need for new mining.
The Bottom Line
Rivian and Redwood Materials are strengthening their collaboration to turn battery scrap and end-of-life EV batteries into domestic grid energy storage and recycled critical minerals, aiming for more cost-efficient and sustainable manufacturing operations.
