EVs drive lithium’s rally
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Demand for lithium, the metal at the heart of the shift to electric vehicles, has outstripped supply, pushing prices up more than 500% in a year and potentially adding $1,000 to the cost of an EV
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Chinese lithium carbonate price
(battery grade, yuan per tonne)

May 25: ¥457,800 ($67,945) Yuan Demand expected to jump 000s to 641,000 tonnes in 2022 

Jun 2021: ¥82,000 ($12,170)

Oct: ¥178,000 ($26,418)

Dec: ¥267,000 ($39,627) Demand of 504,000 tonnes outstrips supply of 497,000 tonnes in 2021

Jan 2022: Lithium passes $40,000 per tonne

Mar 13: ¥475,000
($70,498)
China Covid cases hit two- year high. Millions in lockdown hits lithium production

Price up 558% since June 2021

500
400
200
100
 0 Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May

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Largest producers of lithium*

2022: Supply forecast at 636,000 tonnes

Australia 53%
Chile 25%
China  14%
Argentina 6%
Portugal 1% 
Zimbabwe 1%
       
 *U.S. volume withheld to avoid disclosing proprietary data
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Sources: Bloomberg, Investing.com, S&P Global Market Intelligence

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