Livium subsidiary awarded preferred recycler status under new three-year BYD Australia agreement
Livium (ASX: LIT) subsidiary Envirostream Australia has locked in a new and expanded battery recycling agreement with BYD Australia to incorporate alternative fuel and commercial vehicle batteries, as well as battery energy storage systems (BESS).
The initial three-year deal appoints Livium as BYD’s preferred supplier for its recycling needs in Australia and aims to better address the growing requirements of the broader BYD business in the local market.
The new agreement replaces the original signed in September that saw Livium provide battery recycling services for end-of-life batteries in BYD Australia’s new energy vehicles.
Recycling capabilities
Livium managing director Simon Linge said the new agreement reflected BYD’s faith in Envirostream’s recycling capabilities.
“In the short time we have been working with BYD, volumes have exceeded our expectations and we are excited to now expand our partnership through this expanded agreement,” he said.
“We thank BYD Australia for its confidence in our capabilities and look forward to maintaining our high quality of service.”
Long-term contracts
The agreement aligns with Livium’s focus to secure long-term battery recycling contracts and diversify its end-of-life battery sources.
It also ensures a stable and scalable source of batteries from the electric vehicle and BESS sectors.
“Looking forward, Livium and BYD will work to extend our lithium-ion battery recycling reach to New Zealand, the Pacific Islands and the greater Oceania region,” Mr Linge said.
“While still in development, we believe this initiative represents an exciting opportunity to enhance our service accessibility and strengthen regional environmental outcomes.”
New energy vehicle leader
BYD Australia is the local subsidiary of Chinese automotive manufacturer BYD, which has grown to be a global leader in new energy vehicles, delivering 4.27 million units worldwide in 2024.
The company made its first Australian sales in 2022 and currently holds a 14% share of the local EV market.
BYD’s vehicles are equipped with the revolutionary blade battery, which uses lithium iron-phosphate as the cathode material to deliver advanced safety, durability, longevity and performance.