🔋 EV Battery × EU Regulation — Corporate Response Case Studies

Glencore mines, processes and trades copper and cobalt from its two DRC operations, Mutanda Mining (Mumi) and Kamoto Copper Company (KCC). The company describes itself as the only major Western producer of copper and cobalt in the DRC; in 2025 the two operations produced 247.8 kt of copper and 33.5 kt of cobalt. This places Glencore at the very top of the supply chain covered by the EU Battery Regulation's supply chain due diligence obligations, which apply from 18 August 2027. The DRC suspended cobalt exports in February 2025 and replaced the ban with an export quota system in October 2025 (18,125 t for the rest of 2025 and 96,600 t a year for 2026 and 2027). Glencore was the first company to export cobalt under the new system. On the recycling side, Glencore acquired the assets of bankrupt recycler Li-Cycle in August 2025 and now runs the business as Glencore Battery Recycling. In February 2026 it signed a non-binding memorandum of understanding with the Orion Critical Mineral Consortium (Orion CMC), whose members include a US government development finance institution, to sell 40% of its interests in Mumi and KCC (implying an enterprise value of around $9 billion for the two operations, which would remain managed by Glencore). Reconciling past human rights and corruption allegations in the DRC with the transparency the EU now requires remains its biggest challenge.

Rio Tinto completed its acquisition of Arcadium Lithium in March 2025, taking on lithium assets in Argentina, Canada and elsewhere. Lithium now sits in the Aluminium & Lithium business, one of the group's pillars alongside iron ore and copper. In Argentina, Fénix 1B (10 ktpa) and Sal de Vida (15 ktpa) achieved first production ahead of plan in Q2 2026. At Rincon in Salta province, a starter plant began operating in May 2025, and an expansion to a total of 60 ktpa (approved in December 2024) is targeting first production in 2028. Rio Tinto's share of lithium production in H1 2026 was 27.3 kt LCE, up 53% year on year. Meanwhile, the Jadar project in Serbia — a large lithium project close to Europe — was placed on care and maintenance in November 2025, reflecting Chief Executive Simon Trott's focus on prioritising capital since he took office in August 2025. As an upstream supplier, Rio Tinto plays a growing role in providing the carbon footprint and due diligence data that battery makers need under the EU Battery Regulation.

BHP temporarily suspended its Western Australia Nickel business (Nickel West and the West Musgrave project) from October 2024, citing global oversupply and falling nickel prices. It recognised a pre-tax impairment of around $3.5 billion in February 2024, followed by a further pre-tax impairment of around $0.3 billion when it decided to suspend operations. To keep the option of a restart, BHP continues to invest around A$450 million (about US$300 million) a year in the facilities, and intends to review the suspension by February 2027. In August 2025 it was reported to be considering a possible sale. BHP's sulphide nickel is regarded as less carbon-intensive than the coal-power-heavy processing routes that have expanded in Indonesia. If the EU Battery Regulation's carbon footprint rules take full effect, low-carbon nickel could gain value. For now, however, while operations are suspended, BHP has no nickel to supply to downstream battery makers.

Sumitomo Metal Mining (SMM) covers everything from resource development for nickel and copper to smelting and battery materials such as cathodes, and has supplied cathode materials for electrified vehicles for more than 20 years. For nickel and cobalt, which fall under the EU Battery Regulation's due diligence obligations (from 18 August 2027), SMM carries out sourcing due diligence in line with international guidance, and in December 2025 published a due diligence report on its copper, nickel and cobalt raw materials. In December 2024 it decided to invest around ¥28 billion in facilities at its Hyuga Smelter (Miyazaki Prefecture) to produce nickel matte from ferronickel (completion planned in FY2027; certified by Japan's Ministry of Economy, Trade and Industry under its plan to secure critical mineral supply). This will allow part of the raw material it has imported from overseas to be produced in Japan. Meanwhile, as EV demand slowed, it shelved investment to expand battery material capacity in July 2025. In October 2025 it signed a joint development agreement with Toyota for mass production of cathode materials for all-solid-state batteries.

Belgium's Umicore is a European company that makes cathode materials and recycles batteries. It introduced a responsible cobalt sourcing framework early on and, as a founding member of the Global Battery Alliance (GBA), has been involved in standardising the battery passport. In Hoboken, Belgium, it operates battery recycling technology that combines pyrometallurgical and hydrometallurgical processes. The EV slowdown, however, hit Umicore directly: in 2024 it recognised an impairment of around €1.6 billion in its battery materials business, and in November that year it paused construction of its cathode materials plant under construction in Ontario, Canada. Its CORE strategy, announced in March 2025, aims to maximise cash generation from its foundation businesses such as catalysis and precious metals refining, while grouping cathode materials and battery recycling into a single Battery Materials Solutions business group to recover value in cathode materials. Umicore describes 2025 as a turning point, and plans to keep strict capital discipline in cathode materials in 2026.

CATL is the world's largest battery maker, with a 39.2% share of the global EV battery market in 2025. In Europe, following its plant in Thuringia, Germany, it is building one of Europe's largest battery plants in Debrecen, Hungary (100 GWh planned; 34 GWh in the first phase). The site has produced battery modules since autumn 2024; for cells, CATL obtained its occupancy permit in August 2026 and began trial production on the first two lines on 22 September 2026. It had originally aimed to start production in late 2025 or early 2026, so cell production began later than planned. In December 2024 CATL and Stellantis announced a joint venture to invest up to €4.1 billion in an LFP battery plant in Spain. Its subsidiary Brunp processed more than 120,000 tonnes of used batteries and other material in 2024. At the same time, the EU Battery Regulation's due diligence obligations (from 18 August 2027) require third-party-verifiable disclosure across an upstream supply chain that spans China, the DRC and Indonesia.

LG Energy Solution (LGES) is a Korean battery maker that operates one of Europe's largest battery plants, in Wrocław, Poland. As EV demand has slowed, it has broadened its business, for example by converting EV production lines to energy storage systems (ESS). In full-year 2025 its revenue was KRW 23.7 trillion (down 7.6% year on year), while operating profit rose 133.9%. Its Polish plant began volume production of LFP and other batteries in the second half of 2025. In February 2026 LGES acquired Stellantis's 49% stake in their Canadian joint venture NextStar Energy, making it a wholly owned subsidiary, and now uses the plant for ESS production. In Q1 2026 it posted an operating loss of KRW 207.8 billion, reflecting ramp-up costs at its ESS sites, but won more than 100 GWh of new orders for its 46-Series cylindrical cells, lifting its backlog to over 440 GWh (as of end-April 2026). Ahead of the EU Battery Regulation's battery passport (18 February 2027) and due diligence obligations (18 August 2027), its ability to provide data to European automakers will be put to the test.

Panasonic Energy has long mass-produced cylindrical lithium-ion batteries in North America, mainly for Tesla. On 14 July 2025 it began volume production of 2170 cells at its new plant in De Soto, Kansas (planned annual capacity of around 32 GWh). Meanwhile, although it completed preparations for mass production of its next-generation 4680 cell at its Wakayama plant in Japan, it is still waiting for a firm customer order, and the start of mass production — previously targeted for the end of March 2026 — has been postponed again. As EV demand has slowed, it has repurposed some 2170 lines at its Suminoe plant in Japan for data centre energy storage systems, and in June 2026 announced plans to mass-produce battery cells for data centres at the Kansas plant by FY2028 (the year ending March 2029). For recycling, it receives recycled materials from Redwood Materials in the US. Because it has no manufacturing sites in the EU, its response to the EU Battery Regulation is mainly indirect, through automakers such as Tesla that sell in Europe.

Founded in Sweden in 2016, Northvolt built its business around low-carbon, hydro-powered manufacturing, recycling and traceability, aiming to become Europe's battery champion. However, it struggled to ramp up volume production at its main plant in Skellefteå (Northvolt Ett), and in June 2024 BMW was reported to have cancelled an order worth around €2 billion. After filing for Chapter 11 in the US in November 2024, Northvolt filed for bankruptcy in Sweden on 12 March 2025. US battery maker Lyten acquired Northvolt Dwa, a battery energy storage manufacturing site in Poland, in 2025, and on 27 February 2026 completed the acquisition of Northvolt's Swedish assets, including Northvolt Ett. It is restarting production of NMC cells in Skellefteå and plans to supply commercial cells to its Polish site in H2 2026. For the planned factory site in Heide, Germany, it signed an exclusive memorandum of understanding in July 2026 and is working towards a definitive agreement in Q3 2026.

Tesla is an EV maker with a vertically integrated supply chain that it manages itself, from battery sourcing to finished vehicles. It sources batteries from several manufacturers, including Panasonic Energy and CATL, and files a Form SD with the US Securities and Exchange Commission (SEC) on the responsible sourcing of minerals. In Europe, however, it continues to struggle. Its new registrations in Europe (EU, EFTA and UK) fell 26.9% year on year to 238,656 in 2025, and its share of the European BEV market dropped from 18.2% in 2023 to 8.9% in 2025. This decline came while the European EV market as a whole was growing; alongside the rise of competitors including Chinese brands, damage to its brand image is seen as a factor. Under the EU Battery Regulation, Tesla needs to integrate supply chain data across multiple battery makers ahead of the battery passport (18 February 2027) and due diligence obligations (18 August 2027).

Volkswagen Group is bringing battery cell production in-house through its battery subsidiary PowerCo. On 17 December 2025, it began producing its standardised Unified Cell at its plant in Salzgitter, Germany. In the first phase, it is building up annual capacity of up to 20 GWh through 2026, expandable to 40 GWh if needed. The first cell uses NMC chemistry and is said to offer around 10% higher energy density than current cells, and the plant runs on electricity from wind and solar power. PowerCo is expected to cover around half of the group's Unified Cell demand, with the rest supplied by external suppliers. Salzgitter serves as the model for the plants under construction in Valencia, Spain and St. Thomas, Canada. As Europe's largest automotive group, Volkswagen must meet the EU Battery Regulation's battery passport (18 February 2027) and due diligence obligations (18 August 2027) for both its own cells and cells sourced from suppliers.

Toyota Motor is a vehicle maker pursuing a multi-pathway strategy, offering hybrids, plug-in hybrids, BEVs and fuel cell vehicles in parallel. In Europe it plans to expand its line-up of dedicated BEVs to six models by the end of 2026. Under the EU Battery Regulation, it is responsible for meeting the battery passport (18 February 2027) and due diligence obligations (18 August 2027) for the batteries in the EVs it sells in Europe. It aims to commercialise all-solid-state batteries in 2027–2028, and in October 2025 signed a joint development agreement with Sumitomo Metal Mining for mass production of cathode materials for them. Toyota runs its Battery 3R programme (rebuild, reuse and recycle) in several regions, and in March 2025 opened the Toyota Circular Factory at its Burnaston plant in the UK to recover parts and materials from end-of-life vehicles. A key challenge is sharing data across its whole supply chain, including a chain of Japanese companies such as Sumitomo Metal Mining and Prime Planet Energy & Solutions (PPES).