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Review 2024

Great and Diverse Dynamics in Supply Chains

Climate change, energy transition, environmental impact, scarcity of raw materials, geopolitics, and related legislation and regulations are driving changes in the sector, market supply, products, and how they are used.

The recycling chains of cars and car batteries form the primary policy and work area of ARN. This means that we are also continuously orienting ourselves on the developments before and after these chains. We see that more and more different materials are being used in cars. These materials are often more difficult to separate and reuse in the recycling chain. At the same time, the reuse of (original) parts is gaining ground, a development that ARN actively supports: at the beginning of 2025, we introduced, in collaboration with RAI Aftermarket and Stiba, the CO2-calculator.

The market for electric cars is developing rapidly, which may lead to a larger supply of car batteries in the near future. ARN naturally anticipates this future supply, on the one hand by optimally organising the collection structure, and on the other hand by supporting dismantling companies in the optimal and safe dismantling of the growing number of EV batteries.

Car Recycling in 2024

In general, the vehicle fleet in the Netherlands is growing and the average lifespan of a car is extended by one year every five years. Cars are getting better and replacement is being postponed longer. Related to this, the supply of car wrecks decreased considerably in 2023, but in 2024 there was an increase of no less than 16%.

Although the number of new passenger cars on the market increased in 2024, the increase of over 57% in the number of newly sold and imported vans is noteworthy. The cause of this can be found in the disappearance of the BPM exemption for vans as of 1/1/2025.

The decline of 2022 continued in 2023. In 2024, this recovered again. ARN sees as the main cause that people continued to drive their cars longer during and after the corona period. This trend continues in the first quarter of 2025.

The main reason for the declining number of affiliated companies is that business owners have retired without succession. At the same time, the market share of car dismantling companies affiliated with ARN is increasing: from 83.7% in 2023 to 85.7% in 2024.

Recycling Result Consistently High

In 2024, end-of-life vehicles were 98.8% usefully applied; this result consists of over 88% reuse and over 10% energy recovery. These percentages have been at this high level for years and can only be increased with much extra effort. The aim is mainly to reuse materials in an increasingly high-quality manner.

This result meets the requirement of 95% recycling or reuse in both the European End-of-life vehicles directive and the Dutch End-of-life Vehicle Management Decree (Bba).

Car Recycling at a Glance: The Chain and its Performance

Recycling of EV Batteries in 2024

The supply of EV batteries in the Netherlands will increase rapidly in the coming years. In 2024, more than a third more was offered than in the previous year. Up to and including 2024, we mainly see EV batteries coming from dealer companies, as a result of after sales replacement.

EV Battery Recycling at a Glance: The Chain and its Performance

Result

Compared to 2023, the achieved recycling performance has decreased slightly: from 63.6% to 60.4% useful application. This concerns the weighted average of recycling and second use applications. The main reason for the decrease is that the share of second use applications decreased from 26% to 15%. Because it is expected that more and more older batteries will be offered, the share of second use applications will further decrease in the coming years. Additionally, it applies that more modules are offered, and if they are replaced for safety reasons, they are also no longer suitable for subsequent use. A third cause can be found in the fact that processing up to and including black mass is deliberately chosen to be done within Europe, which can also lead to lower reported percentages.

The result of 2024 (60.4%) is well above the legal obligation of 50% of the weight of lithium-ion batteries.

In August 2025, the new European Battery Regulation will come into effect. This has major consequences for the entire battery value chain, from production to the recovery of critical materials. The Battery Regulation ensures stricter rules for sustainability, safety, reuse, and recycling of batteries. Producers are required to take more transparency and responsibility. Important consequences are the introduction of a digital battery passport (from 2027), minimum percentages of recycled material, and stricter requirements for reuse, reporting, and producer responsibility.

To comply with the new Battery Regulation, an importer must submit a notification in advance to Rijkswaterstaat-Leefomgeving (RWS-L) with information on how the regulations are being met. ARN organises this collectively for a large number of vehicle importers who place batteries on the market. ARN has had extensive consultations about this with RWS-L, the Ministry of Infrastructure and Water Management, and ILT to prepare for this. In May 2025, it is expected to become clear how a notification can be submitted.

Revenues and Costs 2024

In 2024, a recycling fee was charged for a total of 489,444 (2023: 425,155) newly registered vehicles and for 335,993 (2023: 209,233) imported vehicles.

The 203 affiliated car dismantling companies were paid compensation for the dismantling and administrative processing of a total of 158,589 end-of-life vehicles (2023: 133,224). In addition, costs were incurred for the collection and processing of ARN materials, the contribution to the operating costs of the PST factory, the incentive scheme for battery and refrigerant dismantling, and other recycling costs.

The annual accounts of ARN Autorecycling Nederland BV, Stichting Auto Recycling, and Stichting Autobatterij Recycling are included as appendices in this report.

Transport Requires Attention

The transport of lithium batteries is strictly regulated due to the risk of fire or explosion. According to ADR legislation (international regulations for the transport of dangerous goods), lithium batteries are classified as dangerous goods. Depending on the condition of the battery (new, used, damaged, or defective), this means specific requirements for transport.

For critical batteries (damaged, defective, or at risk of thermal runaway), the requirements are strict: transport in UN-approved packaging, safety procedures, and documentation. In addition, these batteries are subject to a reporting obligation to the government, and there are restrictions on how much can be transported per means of transport. It is therefore important to correctly classify the battery for transport to minimize risks during transport. The costs for transporting critical batteries are very expensive given the measures.

In 2024, of the total weight of 362,869 kg of reported batteries, 27,598 kg (7.6%) was not transport-secure. In 2023, although it concerned fewer kilograms, the ratio was the same.

Battery Incentive Scheme

From July 2023 to June 2024, three-quarters of the affiliated dismantling companies made use of the incentive scheme for sustainable and safe dismantling of EV batteries. This scheme included compensation for specific training and the registration of drive batteries. In addition, these car dismantling companies could receive reimbursement for the costs of a dismantling starter set and a lift table. The primary goal of this support was to ensure safety in the work.

Participation in Sustainable Programs

ARN is increasingly being approached to participate in programs around circularity. As a knowledge partner of the recycling part of the chain, ARN can thereby use its years of experience and knowledge to help build towards fulfilling future legal obligations and ambitions.

For the Battery Competence Cluster NL (BCC), ARN is the leader of one of the four themes for developing a strong battery sector in the Netherlands. To achieve this, funding from the National Growth Fund has been obtained for a large number of projects. The theme ‘Second use, materials and recycling’ focuses mainly on developing recycling capacity for sustainable material supply, including innovations in recycling for clean and sustainable technology. This is being realized by various parties in the processing chain in collaboration with universities and knowledge institutes. Additionally, within the National Growth Fund, there is also much attention given to training sufficient personnel with the right competencies.

In 2024, ARN was asked to participate in the Growing with Green Steel program, which is financed by the National Growth Fund. National and international companies, universities, universities of applied sciences, vocational education institutions, knowledge institutes, and industry associations participate in the program. The Recovery theme revolves around recovering steel scrap as pure as possible so that more can be used in steel production. This theme encompasses multiple research projects.

ERP-ICT System Successfully Introduced

The quality and availability of good ICT support and good data form the basis for ARN’s work. In 2024, we completed the transition to a new Enterprise Resource Planning (ERP) system that will provide us with much efficiency and more insights in the coming years. The project was realized according to plan and within budget. The implementation and data migration have been verified and approved by the accountant.

Last Paper Accompanying Letter

In 2024, the last car dismantling company for Dutch transports switched from the paper accompanying letter to the electronic version. With the digital accompanying letter, we not only save on a mountain of paper, but also on the number of actions and, as it turns out: on the number of errors to be corrected.

Last Draining Installation Transferred

Over the past decades, ARN has lent dozens of draining installations to affiliated car dismantling companies. The loan ensured that professional and responsible extraction of fluids – from oil to refrigerant – became the standard in the shortest possible time, and was not hindered because car dismantling companies did not want to or could not make the necessary investment. A few years ago, it was decided to transfer the draining installations to the dismantling companies. In January 2024, the last installation changed ownership.

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