Abstract Due to the increased application of lithium-ion batteries (LIBs), the number of spent LIBs has increased significantly in recent years, which has resulted in new waste management challenges for the recycling industry. The recycling of spent LIBs has gained enormous interest globally, as this can mitigate resource shortages and reduce the detrimental environmental impact of spent LIB waste. As the demand for LIBs continues to grow, it is important to recycle spent LIBs to establish a sustainable supply chain for the critical materials required for battery production. This comprehensive review addresses different strategies for resource recovery from LIBs and covers state-of-the-art processes for recycling LIBs. Additionally, the challenges and strategies for resource recovery from LIBs are highlighted. Furthermore, the advantages and disadvantages of different recycling processes are addressed.