Germany bets on AI-powered plant to give used EV batteries a new life

Germany is developing an AI-powered pilot plant in Chemnitz to repurpose used electric vehicle (EV) batteries, extending their lifespans and recovering valuable raw materials such as lithium and cobalt. Led by Dr. Rico Schmerler and his team at Fraunhofer IWU in partnership with EDAG Production Solutions, the initiative focuses on carefully dismantling and remanufacturing traction batteries that retain 70-80% of their capacity but are no longer suitable for vehicles. Instead of shredding, which wastes usable cells and materials, the plant uses automated, AI-supported processes to assess the state of health (SoH) of each battery module and cell, enabling the reuse of healthy components in grid storage systems for homes, businesses, or utilities. The Chemnitz facility aims to address the growing volume of used batteries expected in the EU by 2030, offering a scalable, safe, and efficient solution that preserves raw materials and reduces reliance on energy-intensive new production. Beyond hardware, the plant will