Integrating Circular Economy Principles into Electric Vehicle Battery Economics: A Comprehensive Literature Review

This comprehensive literature review investigates how circular economy principles are applied to the economics of electric vehicle batteries (EVBs), focusing on strategies to extend battery life, optimize resource utilization, and reduce environmental impact. Using a PRISMA-based review methodology, the study synthesizes findings from academic literature across key areas, including second-life applications, recycling innovations, and sustainable business models. The analysis is guided by the Antecedents-Decisions-Outcomes (ADO) and Theory-Contexts-Methods (TCM) frameworks to ensure methodological rigor and conceptual depth. The review highlights the potential of circular practices to enhance cost efficiency, create economic value, and decrease reliance on critical raw materials. It also identifies pressing challenges such as policy limitations, technological constraints, and issues related to scalability. By offering an integrated perspective on the intersection of circular economy and EVB economics, this review serves as a foundational reference for researchers, industry practitioners, and policymakers aiming to drive sustainable transformation across the EVB value chain.