India Bans Export Of Lithium-Ion Battery Black Mass With Immediate Effect

The Government of India has banned the export of lithium-ion battery black mass and specified categories of battery waste with immediate effect, in a move aimed at strengthening domestic recycling and securing critical minerals for the country's electric vehicle and battery manufacturing industries.

The Directorate General of Foreign Trade (DGFT), through a notification issued on November 10, amended the export policy under ITC (HS) Code 85491400, shifting the specified materials from the 'Free' to the 'Prohibited' category until further orders. The restriction covers unsorted spent primary cells, batteries and electric accumulators that do not contain lead, cadmium or mercury. Transitional arrangements under the Foreign Trade Policy 2023 will apply.

Black mass is a powder-like material produced by shredding used lithium-ion batteries and battery manufacturing waste. It contains recoverable critical minerals, including lithium, cobalt, nickel and manganese, which are essential for electric vehicle batteries, energy storage systems and electronics.

The government aims to prevent valuable materials from being diverted overseas while domestic recyclers face shortages of raw materials. Retaining black mass within India is expected to improve the utilisation of recycling facilities, encourage investment and reduce dependence on imported minerals.

According to government data, 57 lithium-ion battery recyclers are registered on the Central Pollution Control Board's Battery Waste Extended Producer Responsibility portal, with a combined annual processing capacity of 5.17 lakh metric tonnes. However, their estimated annual input capacity specifically for lithium-ion battery black mass stands at around 75,500 tonnes.

The decision also complements the government's Rs 1,500-crore incentive scheme for critical mineral recycling, approved in September 2025. Separately, the Union Cabinet approved a Rs 2,814-crore scheme to support domestic critical mineral processing, including lithium and nickel.

The move is part of India's broader push towards mineral security, a circular economy and reduced import dependence as electric vehicle adoption and domestic battery manufacturing expand. Strengthening technical expertise and mineral recovery capabilities will be crucial to maximising the benefits of the restriction.