Toyota's $4.5M Federal Grant: A Circular Future for EV Batteries

Toyota Motor Corporation has been selected to receive a $4.5 million federal grant from the U.S. Department of Energy's Advanced Research Projects Agency-Energy (ARPA-E) program. The funding will support the development of technology to create a circular domestic supply chain for electric vehicle (EV) batteries, focusing on the critical minerals required for their production. This project, part of the Catalyzing Innovative Research for Circular Use of Long-lived Advanced Rechargeables (CIRCULAR) program, aims to address the primary bottlenecks in current battery supply chain circularity: automation of battery pack disassembly, data-driven battery classification, and cell degradation management.

Toyota Engineering & Manufacturing North America (TEMA), including Toyota Motor North America (TMNA) R&D, will lead the project, collaborating with Oak Ridge National Laboratory (ORNL), National Renewable Energy Laboratory (NREL), and Baker Hughes' inspection technology product line, Waygate Technologies. The project's goal is to develop an industry-relevant template for a 3R (Reduce, Reuse, Recycle) facility of the future, helping to resolve primary bottlenecks in current battery supply chain circularity.

The project will focus on developing tools and procedures, including an automated pack disassembly process, advanced diagnostic tools and protocols for module and cell 3R classifications, and a refabrication method for 3R cells into new energy systems. These innovations envision a scenario where end-of-life lithium-ion batteries are systematically evaluated, classified, and reused prior to being considered for recycling. This approach will extend battery life, facilitate reuse, and reduce waste while unveiling appropriate pathways to achieve such priorities.

As end-of-life and battery scrap volumes increase in the coming years, a new approach is needed to extend the useful life of many standard battery pack components and conserve initial techno-economic investments. The ARPA-E funding will accelerate Toyota's development of an autonomous robotic disassembly process for EV batteries, enabling efficient recycling and reuse of valuable components. This project, led by Toyota Research Institute of North America (TRINA), aims to address current bottlenecks in battery supply chain circularity, including automation of battery pack disassembly, data-driven battery classification, and addressing cell degradation.

The collaboration between Toyota, ORNL, NREL, and Baker Hughes will significantly enhance Toyota's battery recycling and reuse capabilities. ORNL will contribute expertise in advanced electrochemical analysis and rapid assessment of end-of-life battery components, enabling Toyota to extend the life of valuable cells and modules. NREL will provide advanced diagnostic tools and protocols for module and cell classification, ensuring efficient reuse. Baker Hughes, with its state-of-the-art computed tomography and ultrasonic systems, will facilitate non-destructive testing, further optimizing the recycling process. Together, these innovations will help Toyota create a more sustainable, circular battery supply chain, reducing waste and emissions.

Toyota's selection for a $4.5 million federal grant underscores its commitment to sustainability and mobility in the EV market. The project aims to extend battery life, facilitate reuse, and reduce waste, aligning with Toyota's goal of carbon neutrality by 2050. By collaborating with Oak Ridge National Laboratory, National Renewable Energy Laboratory, and Baker Hughes, Toyota will develop automated disassembly processes, advanced diagnostics, and refabrication methods for 3R cells, enhancing its EV battery lifecycle management, reducing emissions, and strengthening its position in the sustainable mobility market.