In contrast to the linear economic model that has existed since industrialization, the concept of circular economy aims to reduce negative environmental impacts. There is a growing debate about the compatibility of increasing consumption with the Earth’s finite resources, calling for a system that minimizes losses. This concept is also of great interest for lithium-ion batteries (LIBs) because the key role of LIBs in the transformation of the mobility sector is expected to increase their production exponentially over the next few years. So far, there is no established business model that defines the further procedure with LIBs that have reached the end of their useful life. The aim of this study is to investigate the potentials and challenges of the circular economy and how they can be addressed using the case study of LIBs. The method of Systematic Literature Review is used to identify the relevant literature on this topic in a reproducible way while avoiding content-related distortions. The results are presented in a structured way and divided into the three topics of “reuse”, “repurposing” and “recycling” according to the circular economy approach. These are further divided into the subcategories of technical, economic, social, logistical, and ecological challenges, which are explained in detail and possible solutions are suggested.
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