How Samsung is Streamlining Battery Manufacturing

Samsung Electronics is redesigning its battery production by establishing a circular manufacturing chain that recycles cobalt from waste created during the production process.

The move is set to improve supply chain transparency, support circularity and reduce the company’s reliance on newly mined cobalt.

This shift reflects growing pressure from both consumers and stakeholders for more sustainable and ethical sourcing of critical minerals.

Cobalt, used in lithium-ion batteries, is central to smartphones, electric vehicles and large-scale energy storage.

However, its extraction brings environmental damage and serious ethical concerns. Most cobalt comes from the Democratic Republic of the Congo, a country associated with mining-linked land degradation, water pollution and poor working conditions.

Samsung’s new system addresses this by capturing cobalt waste generated during production at its Vietnamese factories.

The recovered material is then reintegrated into its latest smartphone batteries, starting with the Galaxy S24 and continuing with the Galaxy S25.

The initiative aims to shift the battery supply chain from a linear model that currently ends in disposal, to a circular process that reuses valuable materials.

Turning waste into resources in Vietnam

Samsung’s manufacturing operations in Vietnam produce around 200 tonnes of battery waste each year. This includes defective batteries from production lines and those removed from Galaxy phones returned from the United States for repair.

Instead of discarding this scrap, Samsung has developed a recycling method to recover cobalt, which is a key battery component.

Youngmin Kim from the Circular Economy Lab in Samsung’s Global Environment, Health and Safety Office says: “Samsung’s Vietnam facilities are among those that generate the highest volume of waste batteries, including defective units from the manufacturing process and batteries recovered from a factory that repairs Galaxy phones traded in from the United States."

He continues: “Our goal was to create a system that would allow us to recycle these resources and reintegrate them into our products.”

Once batteries are dismantled and discharged, the leftover material is processed into a fine powder known as 'black mass'. This is used to extract cobalt, which is then reused in manufacturing new batteries.

By doing this close to the source, Samsung cuts emissions and transportation costs, while also shortening the supply chain.

Sangcheul Lee from Samsung’s Mobile eXperience Business explains: “Cobalt does not degrade with battery use, meaning it can theoretically be recycled indefinitely. Recycled cobalt and newly mined cobalt are virtually identical – so much so that the difference is indistinguishable in the manufacturing process.”

The company reports that more than 90% of cobalt in the discarded batteries can now be recovered thanks to advances in recycling technology. This level of recovery helps limit the environmental cost of manufacturing and ensures fewer materials need to be mined.

How circularity enhances supply chain resilience

By embedding closed-loop systems into its manufacturing, Samsung is working towards wider supply chain sustainability.

The shift forms part of its broader target to use recycled plastics in 50% of plastic parts in DX (Device Experience) products by 2030, with a long-term aim of reaching 100% by 2050.

In 2023, Samsung collected 599,153 tonnes of electronic waste and used 157,939 tonnes of recycled plastic, representing a 25% utilisation rate.

These figures illustrate a push not just to recover resources, but to do so efficiently at scale across global manufacturing operations.

The circular battery chain also helps Samsung meet ESG expectations. By reducing its demand for virgin resources, the company improves ethical sourcing and decreases the environmental and social consequences tied to traditional mining.

Samsung’s system for battery recycling integrates directly into its production line.

After cobalt is extracted from black mass, it’s used to create cathode materials – the components responsible for storing energy in lithium-ion batteries. These then go straight into new Galaxy S25 devices.

The process also extends beyond batteries. "With the Galaxy S25, we’ve also reached another significant milestone in resource circularity – wafer trays discarded after semiconductor manufacturing have been repurposed into a plastic used in the side and volume keys," says Youngmin.

He adds: "We are working on various projects to expand resource circularity across other product lines as well, and we hope our users will continue to join us on our journey."

Technology supporting ethical manufacturing

Samsung’s investment in technology has made the circular battery chain possible.

It allows the company to track, recover and reuse materials that were previously lost in the manufacturing process. This not only supports resource efficiency but also helps meet growing sustainability standards across global technology supply chains.

By showing that recycled cobalt performs on par with mined material, Samsung is setting a new standard in battery production.

The approach balances the need for high-quality performance with ethical and environmental responsibility.

In doing so, the company demonstrates how manufacturing can be both innovative and accountable.

Samsung’s model could influence how other manufacturers approach sustainability in their supply chains, particularly those involved in electronics, energy storage or electric vehicle production – industries where battery technology is central and pressure for circularity continues to rise.

As Youngmin puts it: “With the Galaxy S25, we’ve also reached another significant milestone in resource circularity — wafer trays discarded after semiconductor manufacturing have been repurposed into a plastic used in the side and volume keys.”

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