Lithium Headed for Another Supply Crunch

September 15, 2020, By smallcapfirm,

Lithium could easily run into a massive supply crunch – again.  All thanks to electric vehicle (EV) sales that are growing much faster than anyone expected. In fact, according to a new study from the Boston Consulting Group, by 2025, EVs could account for a third of all auto sales.  By 2030, EVs could surpass internal combustion engine vehicles with a market share of 51%.   That could lead to a sizable spike in demand with lithium used in EV batteries.

Plus, experts now predict that by 2040, electric cars will make up 58% of the light vehicle market.   And, according Resource World, “A recent report by Global Market Insights, Inc. concluded that the global lithium ion battery market is set to surpass US $60 billion by 2024 with a global market of 534,000 tonnes of lithium carbonate by 2025.” That, plus Tesla’s big appetite could see lithium prices explode again soon.

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