The problem with all Lithium Bulls is they project profits on current market conditions without allowing for all the headwinds they face.
Just like oil that has fluctuated from $10 to $140 a barrel the price of Lithium could fall by 90 percent in a recessionary environment.
Add to that governments realising that producing one EV generates almost double the tonnage of carbon emissions over a combustible engine, are now levying taxes of up to 600 a tonne .
in California some miners are saying extraction is no longer viable.
Add that in the UK moves are on foot to charge EV owners a tax per mile/km regulated by a tracking device.
Research shows with the added purchase price and insurance costs it takes almost 500,000 KMs to justify the purchase of an EV.
What bulls don't realise is with any new technology it follows an adoption curve where early adopters account for the initial spike and bulls project those figures forward but what in actual fact happens is the adoption follows one of several adoption curves which are not straight line adoption.
i would suggest that given that the cost savings are marginal and oil prices are likely to fall by 90 percent the adoption of EV is following the hype curve and will fall away.
Simple supply demand economics will also dictate that Litium prices collapse and with additional taxes extraction may become invisible
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