Lithium producers have not been fully prepared for an increase in demand from new battery-powered industries, the Financial Times reported Tuesday, citing Tianqi Lithium (HKG:9696, SHE:002466) Chief Executive Officer Frank Ha.
While most lithium producers have anticipated the growing demand for the material over the next decade, many had not prepared for the surge in demand from battery-powered trucks, mining equipment, and ships, the FT said, citing Ha.
"This is going to be a huge increase," the FT quoted Ha as saying.
Existing supply projects could not likely meet demand beyond the mid-2030s, and annual lithium demand could top 13 million tonnes by 2050, the FT said, citing Wood Mackenzie.
According to International Energy Agency (IEA) data, global lithium demand has jumped by an average of 30% annually this decade, a sharp acceleration from the 10% growth rate seen in the 2010s.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
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