Article Image

IPFS News Link • Mines and Mining

Lithium Production Is Currently Above Demand

• https://insideevs.com, By: Gustavo Henrique Ruffo

What would you say if we told you lithium prices have fallen around 30 percent. Good news, right? Not necessarily so, especially in a long term perspective. That is happening because production is currently above demand. In other words, the promised EV boom, especially from China, is taking longer to happen.

This is what Bloomberg allowed us to know. And there is more: Australia is the biggest producer of this metal in the world and it has seen six new mines emerge since 2017. That's clear preparation for a demand that promised to be huge, but has not met expectations as of yet.

The main problem is with China, which has seen its demand for new cars decrease by 17.5 percent. Even if EVs' mission there is to replace combustion-engined cars, such a plunge also affects their market. And any hiccup in the biggest car market in the world will affect the auto industry worldwide.


thelibertyadvisor.com/declare