The global shift to electric vehicles (EVs) is vital for reducing greenhouse gas emissions, but their sustainability hinges on effective battery lifecycle management. This review examines the interplay between Life Cycle Assessment (LCA) and circular economy (CE) principles in EVs, with a focus on both international trends and India-specific challenges. We analyze CE strategies such as extending battery lifespan, second-life applications, and recycling integrated with LCA to evaluate environmental impacts from raw material extraction to disposal. Key areas include battery chemistry, LCA methodologies, policy frameworks, and industrial practices, informed by a synthesis of over 50 peer-reviewed articles, technical papers, and sustainability reports.
Challenges include inconsistent LCA baselines, low material recovery in informal recycling, and regulatory gaps, particularly in India. Despite these, innovations like solid-state batteries and advanced recycling techniques offer promise, potentially reducing emissions by 30–40% through closed-loop systems. Research gaps remain in areas like the durability of recycled materials, economic viability of CE strategies, and socio-ethical considerations. This review provides a holistic overview, actionable insights, and a roadmap for integrating CE into EV design and policy, especially tailored to India’s evolving automotive ecosystem. By addressing these issues, it aims to guide policymakers, industry stakeholders, and researchers toward a more sustainable, circular future for transportation.