At the end of 2022, many people opted for an e-car because the purchase premium and the environmental bonus were cut in 2023. After an understandably lower demand for environmentally friendly vehicles in January, there was a slight upturn again in February, and March is already bringing another upswing, as applications for the environmental bonus are on the rise. The environmental bonus, which took effect Jan. 1, now applies to battery- and fuel cell-powered cars. The subsidy for plug-in hybrids has been discontinued.
Lithium-ion batteries are installed to make e-cars work. The soft silvery-white metal is also used in electronic devices ranging from cell phones to laptops. The consensus view is that energy storage, and thus lithium demand, will increase and could make the metal scarce.
Chile has the largest lithium reserves but is not the largest producer. Australia sits on the second largest lithium reserves. The country was the largest lithium producer in 2022. On the third place in lithium reserves is Argentina (the fourth largest lithium producer in the world). The famous lithium triangle is formed by Chile, Argentina and Bolivia. Fourth place goes to the large lithium consuming country China.
There is also lithium in mining-friendly Mongolia, such as ION Energy's - https://www.commodity-tv.com/ondemand/companies/profil/ion-energy-inc/ - two lithium projects. And a diversification away from Chilean projects to other regions could be in order. According to recent statements by President Gabriel Boric, Chile wants to gradually nationalize its lithium production. For Mongolia and thus ION Energy, neighboring China could become a significant customer. Exploration work is in full swing.
In the lithium technology field, Li-Metal - https://www.commodity-tv.com/ondemand/companies/profil/li-metal-corp/ - could excel with its lithium anodes and lithium metal. This is because Li-Metal's innovations will enable it to produce the latest products cost-effectively and in large quantities. This has already been proven in the company's anode pilot plant in New York.
Current company information and press releases from Li-Metal (- https://www.resource-capital.ch/en/companies/li-metal-corp/ -).
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