Directorate General of Foreign Trade bans export of lithium-ion battery black mass to boost domestic recycling

The Directorate General of Foreign Trade (DGFT) issued an order prohibiting the export of lithium-ion battery black mass. This trade restriction was implemented with the stated objective of strengthening domestic recycling infrastructure and facilitating critical mineral recovery within the country. Black mass is a powdery substance derived from crushed and shredded spent lithium-ion batteries that contains valuable metals such as lithium, cobalt, nickel, and manganese. Governments often restrict the outbound shipment of such strategic mineral-bearing materials to ensure that local processing plants have adequate raw inputs for domestic green technology manufacturing and circular economy initiatives.

Export prohibitions alter the operational pathways for waste aggregators who previously shipped these materials to overseas processing facilities. Battery recyclers, scrap exporters, and manufacturing enterprises must immediately review their supply chains and inventory handling procedures to ensure compliance with the new export ban. Compliance officers and trade legal advisors should examine upcoming official Directorate General of Foreign Trade notifications for any specific licensing exemptions, transitional arrangements, or domestic reporting mandates.

Bottom line: Halt any planned shipments of lithium-ion battery black mass immediately and redirect processed materials to approved domestic recycling facilities.