Lithium-ion batteries: A growing threat across Europe's scrap and recycling chain

Monday, 31 August 2026 11:05:03 (GMT+3)   |   Brescia

The severe fire that destroyed much of the waste management facility in Chlewnica, northern Poland, on August 15, has once again drawn attention to a growing challenge facing Europe's recycling, scrap-processing and steelmaking sectors: the increasing incidence of fires linked to lithium-ion batteries hidden in waste and scrap streams. The Polish law firm APT&Right, along with and one of the most important scrap dealers of the country have published a lucid analysis about this topic.

For the steel recycling industry, the issue extends well beyond municipal waste management. Batteries embedded in end-of-life products, electronic equipment, vehicles and mixed scrap loads are increasingly entering shredders, scrap yards, transport networks, ports and even steelmaking raw material supply chains. The result is a growing operational, environmental and financial risk that has become one of the most pressing safety concerns facing the circular economy.

The growing presence of lithium batteries in everyday life

The rapid growth of battery-powered devices is transforming waste and recycling streams across Europe. From smartphones and power tools to e-bikes, e-scooters and electric vehicles, lithium-ion batteries are becoming ubiquitous. However, collection systems have struggled to keep pace with their proliferation.

Industry data indicate that battery-related fires are rising sharply. According to figures cited by European recycling and waste-management organizations, the number of lithium-battery-related fires at waste facilities in France doubled between 2019 and 2023, while Austria reports an estimated 180-240 such incidents annually. In Germany, industry estimates suggest as many as 30 fire incidents per day in waste collection vehicles and facilities, with around 80 percent potentially linked to lithium batteries. In the UK, more than 1,200 battery-related fires were recorded in 2023, representing a 71 percent year-on-year increase. 

The challenge is particularly significant for scrap processors, because batteries are often difficult to detect before processing. Hidden inside appliances, tools, toys, mobile phones, electrical equipment or fragmented scrap, they can enter recycling facilities unnoticed. Once subjected to crushing, shredding, compaction or other mechanical treatment, damaged cells can undergo thermal runaway, resulting in fire or explosion.

The economic consequences of this can be severe. Fires frequently destroy processing equipment, storage halls and stockpiles, interrupt operations and trigger major insurance claims. Beyond direct losses, operators face business interruption costs, loss of contracts, supply-chain disruption and reputational damage, and for steelmakers increasingly dependent on recycled raw materials, such incidents can also affect scrap availability and logistics.

Major fire incidents in Europe

The Chlewnica fire in Poland has become one of the most significant recent examples. The blaze engulfed four halls and administrative buildings at the ELWOZ-ECO waste management facility, requiring the intervention of more than 200 firefighters and lasting almost five days. Reports indicate that nearly 90 percent of the facility was destroyed, with losses estimated at approximately PLN 40 million. The plant reportedly handled around 400 tonnes of waste per day, requiring authorities and operators to rapidly find alternative treatment routes following the shutdown. 

Although the cause remains under investigation, reports cited by legal and industry commentators suggest that a damaged rechargeable battery hidden in the waste stream is among the possible explanations being examined.

The UK has seen numerous battery-related incidents involving both recycling facilities and scrap yards. In February 2024, approximately 70 firefighters responded to a scrapyard fire in Silvertown, London, where a lithium-ion battery failure was considered the probable cause. Similar conclusions were reported following a scrapyard fire in Bellingham in July 2024 and another incident involving scrap and electrical waste in Brentford in March 2025. 

Maritime scrap incidents

Battery risks increasingly extend beyond land-based facilities. Scrap cargoes transported by sea can contain undetected batteries and other ignition sources.

Recent examples include the fire aboard the bulk carrier Sion Star in the Port of Gdańsk in July 2026 while carrying a scrap cargo. The operation involved around 100 firefighters, fireboats and specialized equipment to access material deep within the cargo hold. A second scrap-cargo fire occurred less than three weeks later aboard Federal St Laurent, also in Gdańsk.

These incidents demonstrate that battery-related risks can persist throughout the entire scrap logistics chain, from collection and processing to export and maritime transport.

Main risks generated by lithium batteries and mitigation measures

The primary hazard associated with lithium-ion batteries is thermal runaway, a chain reaction in which internal battery temperatures rise uncontrollably, generating heat, flammable gases and potentially intense fires.

In recycling and scrap-processing facilities, thermal runaway can occur when batteries are crushed, punctured, shredded or otherwise mechanically damaged. The danger is compounded by the fact that batteries often arrive concealed within products or mixed scrap loads. 

The risk is present at several stages:

Collection and transportation of waste and scrap;

Sorting and separation operations;

Shredding and fragmenting processes;

Scrap storage yards;

Port handling and loading operations;

Maritime transport.

Industry experts increasingly advocate a multilayered approach to mitigation. Measures include thermal imaging cameras, heat-detection systems, AI-based monitoring, automatic fire suppression technologies, dedicated battery quarantine zones and enhanced inspection procedures.

Employee training is equally important. Workers must be able to identify damaged batteries, respond to overheating events and apply appropriate emergency procedures. In maritime applications, industry organizations increasingly stress the importance of early temperature detection and correct use of onboard suppression systems. 

However, technology alone cannot completely eliminate the risk. As legal experts note, expecting operators to identify every battery hidden within thousands of tonnes of incoming material may not be technically feasible.

International approaches and solutions

Some European and non-European countries are already trying to address this situation. For instance, Germany maintains a deposit system for starter batteries under its battery legislation and has also strengthened requirements for separate battery collection and producer responsibility. 

The UK places significant responsibility on producers to finance battery collection, treatment and recycling. Larger battery producers participate in compliance schemes, while retailers above certain sales thresholds must provide free take-back points for used batteries. 

California has adopted one of the more comprehensive approaches. Recent legislation expanded recycling obligations to include products containing embedded batteries that consumers cannot easily remove. Authorities explicitly identified battery-fire prevention and worker safety among the program's objectives. Consumers also contribute through recycling fees applied at the point of sale. 

At EU level, Regulation (EU) 2023/1542 introduces enhanced battery traceability and collection requirements. From February 2027, digital battery passports will become mandatory for certain battery categories, including electric vehicle batteries, industrial batteries above specified capacities and batteries used in light means of transport. The passport system is intended to improve tracking, repairability, recycling and lifecycle management. 

For the recycling sector, improved traceability could help identify battery types, origins and handling requirements before they enter waste streams.

How Poland is addressing the issue

Poland already operates a deposit mechanism for automotive lead-acid batteries. Under existing regulations, consumers who do not return a used battery when purchasing a replacement are required to pay a PLN 30 deposit charge. 

Following the Chlewnica fire, attention has increasingly focused on whether existing collection systems are sufficient for modern lithium-ion batteries. Public discussion has intensified around potential reforms designed to divert more batteries away from municipal waste streams and improve collection rates. 

The debate also reflects broader concerns about safety, infrastructure resilience and the costs imposed on recyclers when batteries enter the wrong waste channel.

Main claims and proposals from the law firm

The Polish law firm APT&Right has argued that the Chlewnica incident should serve as a catalyst for broader regulatory reform. These views constitute expert legal commentary rather than established findings regarding the cause of the fire. 

Among the proposals advanced are:

Expanded extended producer responsibility covering fire-prevention and safety costs;

Development of nationwide battery return systems supported by deposits, return bonuses or similar financial incentives;

Periodic review of deposit levels to ensure their effectiveness;

Establishment of a national battery-fire registry recording confirmed, probable and undetermined incidents;

Clear allocation of responsibilities among producers, consumers, collection-system operators and recyclers according to their ability to control risks. 

The law firm's analysis argues that responsibility should not automatically fall on recyclers when hazards may originate much earlier in the product lifecycle, including product design, labeling, collection infrastructure and consumer disposal behavior.

From a waste-management issue to a strategic concern for the steel industry

The growing frequency of battery-related fires reflects a structural challenge created by the rapid electrification of modern economies. What was once primarily a waste-management issue has become a strategic concern for the entire recycling value chain.

Europe's steel industry is increasingly reliant on scrap as decarbonization efforts accelerate and electric arc furnace production expands. As scrap flows increase, so too does the likelihood that hidden batteries will enter processing streams. Unless collection systems, product traceability and safety procedures improve, the industry is likely to face rising operational interruptions, higher insurance costs and growing environmental risks.

The Chlewnica fire illustrates the scale of the challenge. Whether or not batteries are ultimately confirmed as the cause, the incident highlights vulnerabilities that exist throughout the recycling chain. Future progress will likely depend on a combination of stronger collection systems, enhanced producer responsibility, digital battery traceability, improved detection technologies and better coordination between regulators and industry. For Europe's scrap and steel sectors, reducing battery fire risks is rapidly becoming not only a safety imperative, but also a prerequisite for a more resilient circular economy.

MichelaMedici
Michela Medici
Editor

After graduating from Cattolica University in Milan with a Master’s Degree in Translation, I began my career as a project manager in a translation agency before joining SteelOrbis in 2023. Since 2024, I have been responsible for reporting market developments, price trends, and dynamics within the European scrap and long steel markets, with a specific focus on Italy, Germany, and Poland.

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