Lithium producers bullish on long-term demand despite recent price drop

Reuters | June 27, 2024 | 5:11 pm Battery Metals Markets Top Companies Australia China USA Lithium

Brine pools for lithium mining. Stock image.

The world’s largest lithium producers told a major industry conference this week they remain bullish on long-term demand for the electric vehicle battery metal despite the recent price plunge that has forced layoffs and curtailed expansions.

Once a niche metal used primarily in ceramics and pharmaceuticals, lithium demand has grown rapidly over the past decade. But oversupply from China and a softening of aggressive EV adoption rates has dragged lithium prices down more than 80% in the last year.