Can India build batteries without China? LOHUM thinks the answer lies in e-waste

LOHUM, a domestic battery recycling and material technology company, is betting on urban mining and circular economy models to reduce India’s dependence on volatile global markets.

New Delhi: As global tensions rise and China continues to tighten control over the refining of critical minerals like lithium and cobalt, India’s battery ambitions are facing a fundamental test: can it build energy independence without owning the supply chains that power it?

In a country that imports over 90 per cent of its lithium, cobalt, and nickel requirements, the answer may lie not just underground — but in battery waste. LOHUM, a domestic battery recycling and material technology company, is betting on urban mining and circular economy models to reduce India’s dependence on volatile global markets.

“Since our feedstock consists of waste streams as well as primary materials, sourcing both has become more challenging as countries tighten export controls on critical materials and mineral-containing wastes,” said Vinayak Singal, Assistant Vice President, LOHUM.Amid rising geopolitical tensions, particularly with China’s strategic dominance in refining and processing, the control over battery-grade materials is increasingly seen not just as a supply issue — but a national security concern. “We actively mitigate the risks of China’s market dominance and geopolitical instability by building a resilient and circular supply and data-backed market-linked pricing models,” Singal added.India’s heavy mineral dependenceIndia’s clean energy and EV ambitions are underpinned by a group of metals — lithium, cobalt, and nickel — that power batteries, defense systems, and high-performance electronics. But India’s mineral map is thin.1. Cobalt and lithium are largely imported from China, which controls most global refining2. Nickel is primarily sourced from Indonesia and the Democratic Republic of Congo3. Australia and Chile dominate lithium mining, but India remains a buyer, not a producerThis has created a structural vulnerability in the country’s supply chain, especially as China tightens technology transfers and restricts export of finished materials.The race for domestic recycling capacityLOHUM’s strategy is to close the loop by recovering battery-grade materials like lithium, cobalt, nickel, aluminium, copper, and zinc from end-of-life batteries and electronic waste. This enables domestic reuse, lowers dependence on raw mineral imports, and reduces processing emissions.

The company currently operates 5 GWh of battery recycling capacity, and is refining:

1. 1,000 MT of lithium (LCE)2. 1,200 MT of cobalt3. 1,000 MT of nickelIn addition, it produces 150 MWh of cathode active material, while long-term plans include refining 6,400 MT of rare earth elements (REE) and 120 MT of platinum group metals (PGM) by 2029.According to LOHUM, its processing costs are one-third to one-fifth of comparable facilities in the US and EU, and are competitive with China’s leading refiners. The company also claims to maintain a seven-year head start in recycling and material processing technologies.

The strategic gap in India's battery ecosystem

While recycling offers a promising alternative, India’s battery manufacturing and mineral refining ecosystem is still in early stages. Most raw or partially processed materials are exported for refining due to a lack of high-grade processing facilities.

Sector-wide, India must develop:

1. Domestic mining and extraction2. Refining capabilities for Li, Co, Ni, REE, magnesium, and base metals3. Full-stack manufacturing for battery cells and energy storage systemsEven as Extended Producer Responsibility (EPR) norms are being discussed, actual implementation in collection and recycling remains limited.“Extended Producer Responsibility (EPR) norms are being discussed to ensure environmentally responsible recycling of batteries and electronics,” Singal said.

Supply chain risk meets policy urgency

India’s battery growth will likely face more headwinds unless the policy and investment ecosystem rapidly adapts. Experts point to five immediate priorities:1. Scaling domestic recycling and refining infrastructure2. Implementing stringent EPR norms for battery and e-waste3. Building cell manufacturing at scale to avoid re-import of value-added products4. Developing technology standards for quality and safety5. Reducing cost and import risks in a volatile global marketChina’s dominance, meanwhile, is not new — it holds 90 per cent of the global rare earth metal refining capacity, and has signed long-term leases in Africa and Indonesia, giving it unmatched control over global critical mineral flows. As it now moves to restrict exports and block technology transfer, countries like India are being forced to rethink their mineral sourcing models.

From waste to wealth: A circular future?

With energy transition targets tightening and battery demand rising from both grid and mobility sectors, urban mining of lithium and other critical metals is emerging as a viable industrial opportunity. Recycling not only avoids raw mineral extraction but also reduces the carbon footprint of manufacturing.LOHUM is one of a handful of Indian firms attempting to develop an end-to-end battery value chain — from recycling and refining to producing value-added materials for reuse in EVs, consumer electronics, and energy storage systems.As geopolitical uncertainty grows, the ability to produce locally from what was once considered waste may define India’s mineral resilience strategy for the next decade.