Lithium-ion batteries (LIBs) are essential elements of electric vehicles and many energy storage systems. Automobile industry has leaded the way to the growth of the transportation industry. This growth has been greatly hampered due to environmental pollution, fossil fuel crisis, and growing injurious effects on individual wellbeing. The environment, and particularly air quality, is worsening as a result of uncontrolled urban growth and development Its utilization is increasing day-by-day with more number of battery-powered vehicles on road. Vehicle electrification has been studied as a possible solution to the problem of climate change for decades. Electrification of transportation is supported all over the world to reduce atmospheric air pollutant emissions, greenhouse gas emissions, and depletion of fossil fuels. Many predictions in recent years have expected widespread adoption of electric vehicles which would mostly be fuelled by lithium-ion batteries due to their high energy and power density and extended cycle life. In present work is, critical review on recycling techniques of LIBs extraction of precious material content and 5R technique has been discussed along with systematic approach for life cycle management of LIBs.