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Manufacturer strikes agreement to address major issue with electric vehicles: 'A new benchmark'

"A meaningful step."

"A meaningful step."

Photo Credit: iStock

Vietnamese electric vehicle manufacturer VinFast Auto has signed an agreement to handle its battery recycling in India, according to Express Drives

Under the agreement, BatX Energies will manage high-voltage battery recycling, material recovery, and repurposing services. 

Electric vehicles are the future of mobility for a number of reasons. For one, they're cheaper to operate than gas vehicles. They also don't emit fumes that pose health risks to occupants. Plus, light-duty vehicle use makes a significant contribution to atmospheric pollution via burning gas. That pollution exacerbates destructive weather events such as floods and droughts, which jeopardize agriculture and home insurance. Switching to an EV helps to tamp down all these negative effects. 

Materials sourcing is one of the bigger challenges the EV industry faces. Even though EVs are better for emissions in the long run, extracting materials for batteries leaves a large manufacturing footprint that doesn't exist for traditional cars. Relying on recovered materials instead is a way of keeping EVs as eco-friendly as possible. Recycling technology is advanced enough to boast recovery rates of over 95%, so the only thing to do is roll out facilities like BatX is doing here with VinFast Auto.

EV battery recycling infrastructure has been growing worldwide to meet ballooning demand for materials. Germany recently opened a facility that can handle 40,000 EV batteries annually. Another service provider in Australia is taking in BYD vehicles. BMW and Mercedes-Benz are building out their battery recycling plants, too. 

VinFast is hoping to tap into the wide range of benefits of a circular industry. 

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"This partnership with BatX Energies is a meaningful step toward building a sustainable, circular battery ecosystem in India," VinFast Asia CEO Pham Sanh Chau said, per Express Drives. "At VinFast, sustainability goes beyond vehicles — it's about environmental responsibility across the entire lifecycle. By working with BatX, we aim to reduce resource dependency, support national priorities, and set a new benchmark for responsible innovation in electric mobility."

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