During the company's "Battery Day" which followed directly after the annual general assembly Tesla announced they are setting up a recycling plant at the Gigafactory in Nevada. The goal is to do recycling in-house.
No details of technology or process were given but accoruding to Circular Energy Storage's soruces the company is setting up a mechanical separation unit which most likely will followed by a hydrometallurgical process.
During the presentation Tesla also revealed how they are aiming for a dry powder-based electrolyte which, if successful, might enable a direct recycling method if batteries are sourced in a closed-loop system.
More about the Battery Day here: