Shared micromobility company Lime is taking a significant step toward environmental sustainability by forming a new partnership with Redwood Materials. This collaboration aims to recycle batteries from Lime’s e-scooters and e-bikes, focusing on recovering essential minerals such as lithium, cobalt, nickel, and copper.

Exclusive Partnership Scope

Announced recently, this deal designates Redwood Materials as the exclusive recycling partner for Lime’s batteries in select regions across the United States, Germany, and The Netherlands. However, it does not extend to all cities where Lime operates, which also includes locations in Asia, Australia, and other parts of Europe.

Prior Recycling Ventures

While Lime has previously engaged in recycling initiatives, including partnerships with Sprout, this agreement marks the first direct connection with a North American battery recycler. Through this arrangement, Redwood Materials will process used batteries, contributing to material recovery efforts within the supply chain.

Redwood Materials: A Leader in Recycling

Founded by former Tesla CFO JB Straubel and located in Carson City, Nevada, Redwood Materials specializes in recycling battery materials. The company’s business model emphasizes a closed-loop manufacturing system, allowing recovered materials to be reintegrated into battery production, which helps decrease the need for new mineral extraction.

Aligned Sustainability Goals

Lime’s partnership with Redwood Materials aligns with its long-term sustainability objectives, including a commitment to decarbonizing its operations by 2030. The company has already achieved a notable 59.5% reduction in Scope 1, 2, and 3 emissions since 2019, and it plans to release its 2024 carbon emissions results in May.

“This collaboration marks significant progress towards establishing a more circular supply chain, helping ensure our batteries are not only responsibly recycled once they reach their end of life, but that their materials are returned into the battery supply chain,” said Andrew Savage, VP for Sustainability at Lime.

Broader Battery Recycling Efforts

In addition to its partnership with Redwood, Lime is also collaborating with companies like Gomi in the UK and VoltR in France to repurpose viable battery cells for secondary applications. These “second life” uses include powering consumer electronics such as portable speakers and battery packs.

Redwood’s Expanding Influence

Redwood Materials has developed similar partnerships with other micromobility firms, including Lyft, Rad Power Bikes, and Specialized, focusing on recycling their respective e-bike and scooter batteries. Recently, the company announced the launch of a new research and development center in San Francisco, bolstering its capabilities in battery recycling and sustainability.