China EV battery digital ID system coming in 15th Five-Year Plan

April 7, 2025 – China’s Ministry of Industry and Information Technology (MIIT) has confirmed plans to roll out a mandatory digital identification system for electric vehicle power batteries during the upcoming 15th Five-Year Plan period (2026–2030). The move comes as the country braces for a sharp increase in retired batteries, with volumes expected to exceed 1 million tons by 2030.

In a State Council press briefing on the implementation of the 15th Five-Year Plan, Vice Minister Xin Guobin outlined the government’s push to accelerate “new industrialization” and tighten oversight of the battery recycling sector. He explicitly stated that a digital ID system for power batteries will be implemented, ensuring every battery unit can be traced from its production source to its final disposal or reuse.

The digital ID relies on a unique battery code that links data across the entire lifecycle—including manufacturing, sales, battery swapping, maintenance, vehicle scrapping, and recycling. Under this system, regulators will have end-to-end visibility, making it far harder for batteries to leak into informal recycling channels.

Xin also set a concrete recycling target: by 2030, the comprehensive utilization of retired power batteries is expected to surpass 1 million tons. This target aligns with projections from the China Automotive Strategy and Policy Research Center, which estimates that the volume of retired EV batteries will exceed 400,000 tons in 2026 and reach 1 million tons by 2030. Notably, 2025 alone saw 820,000 tons of batteries retired, with more than 400,000 tons processed for reuse—underscoring the urgency of building a formal recycling infrastructure.

The digital ID system is not entirely new in concept. In February 2025, the MIIT and five other ministries jointly issued the “Interim Measures for the Management of Recycling and Comprehensive Utilization of Used New Energy Vehicle Power Batteries,” which established a national traceability platform and laid the groundwork for the digital ID. Xin’s latest remarks signal that the institutional and legal framework will accelerate significantly during the 15th Five-Year Plan, with enforcement actions and regulations expected to follow.

Industry analysts note that China’s push for a unified digital traceability system could set a global precedent. As the world’s largest EV market, China’s regulatory moves often influence international standards. “If China successfully implements a cradle-to-grave digital ID for every EV battery, it could pressure other major markets like the EU and the US to adopt similar measures,” said a senior analyst at a Beijing-based clean energy consultancy. The EU already requires a “battery passport” under its new Battery Regulation, but China’s approach is more centralized and government-mandated.

The policy also has economic implications. Battery recycling is expected to become a multi-billion-dollar industry in China, with companies like CATL, GEM Co., and Brunp Recycling already expanding capacity. A mandatory digital ID system would help formalize the sector, crack down on illegal dismantling, and ensure that valuable materials like lithium, cobalt, and nickel are recovered efficiently.

However, challenges remain. Implementing the system across hundreds of battery models, varying chemistries, and thousands of recycling points will require significant investment in data infrastructure and coordination among automakers, battery producers, and recyclers. The MIIT has not yet released a detailed timeline for the rollout, but Xin’s pledge suggests that pilot programs may begin before the 15th Five-Year Plan formally starts in 2026.

For US readers, the development highlights a growing divergence in regulatory approaches. While the US relies on state-level policies and voluntary industry initiatives for battery recycling, China’s top-down mandate could accelerate its lead in the battery supply chain and recycling technology. As the US ramps up its own EV adoption, policymakers may look to China’s digital ID system as a model—or a competitive threat.

In summary, China’s digital ID system for EV batteries is no longer a proposal but a committed policy path. With the 15th Five-Year Plan set to begin in 2026, the next few years will see rapid regulatory development, infrastructure building, and enforcement actions aimed at ensuring every retired battery is accounted for.