By numbers, the USA has a minor role in the lithium supply chain. This year it’s set to make up <1% of global lithium supply and is expected to account for ~10% of demand.
We will see if ' brings a tightening or broadening of the current FEOC definition and implications. As well as if this, and the proposed import tariff increases, lead to a refocus on building domestic, rather than just ‘friendly’, supply chains. Tesla expects their lithium refining project, Corpus Christi, to start production. If so, it will be the only refinery in the US, to take spodumene feed to a lithium chemical. The current focus on building out domestic cell production has led to an over-shoot of forecasted cell supply, with the mid and upstream trailing behind with large, expected deficits. Therefore without a build-out of domestic CAM supply, from China, and South Korea. With possible delays or cancellations to pipeline US gigafactories, if they struggle to secure CAM feed. Upstream for lithium chemicals, while non-FEOC supply, from FTA countries, looks set to be sufficient to meet US demand. It's not guaranteed to be available, as the US is not the only one looking to secure supply…
We will see if ' brings a tightening or broadening of the current FEOC definition and implications. As well as if this, and the proposed import tariff increases, lead to a refocus on building domestic, rather than just ‘friendly’, supply chains.
Tesla expects their lithium refining project, Corpus Christi, to start production. If so, it will be the only refinery in the US, to take spodumene feed to a lithium chemical.
The current focus on building out domestic cell production has led to an over-shoot of forecasted cell supply, with the mid and upstream trailing behind with large, expected deficits.
Therefore without a build-out of domestic CAM supply, from China, and South Korea. With possible delays or cancellations to pipeline US gigafactories, if they struggle to secure CAM feed.
Upstream for lithium chemicals, while non-FEOC supply, from FTA countries, looks set to be sufficient to meet US demand. It's not guaranteed to be available, as the US is not the only one looking to secure supply…