About the lithium prices : More and more the selling prices are approaching the spot prices. That there should be a reversal, as it was propagated by GS is not apparent to any analyst from this area. In view of the fact that some chip suppliers are even talking about cancelled lifer contracts, the supply bottleneck in the chip shortage seems to be dissolving, so the production of EV's will soon pick up again, which will increase the demand for lithium again.
In Europe, some automakers are planning and building stand-alone battery plants that are expected to be in full production by 2025 at the most. Given the reported GWh of battery capacity, we should expect the lithium shortage to increase further.
Regarding the approval of EV's : In the minds of many customers, there is still a wrong mindset that revolves mainly around charging options. Personally, I do not know any car driver (combustion engine) who drives immediately after a trip to the gas station to fill the tank immediately again. However, this thought is always the first reason given for EVs why people are not yet thinking about switching. The high cost of gasoline, however, forces a rethink. In terms of charging options for EVs, without the appropriate infrastructure, there are also solutions that could be addressed as a community or for settlements. For this I would like to refer to AFC-Energy ( https://www.afcenergy.com/case-studies/extreme-e ), which have created a charging option that can be used anywhere where water and sun are available.
AKE Price at posting:
$10.46 Sentiment: Buy Disclosure: Held
