“Clean energy is at an inflection point, creating long-term...

“Clean energy is at an inflection point, creating long-term investment opportunities.”
— Charl Malan, VanEck Natural Resources Equity Strategy​

China and Europe should drive global EV demand in the near term, says Malan, while Australia and Chile are “in the front row” regarding lithium supply and reserves.
In China, the EV market is the largest in the world. China maintains “dominant market shares in lithium chemical processing, cathode and anode production, and lithium-ion cell manufacturing—industries which all contribute to demand for raw lithium, says Global X’s Lucas.
For the “next several years, the inelastic nature of lithium supply simply will not be able to keep up with the projected increases in demand for EVs,” he says, though supply dynamics may stabilize around 2025 or 2026, as new capacity has a chance to enter the market.
Lucas believes it is a “good time to invest in the lithium market given that the long-term growth prospects for [EVs] and energy storage remain strong, and both technologies will likely require lithium for the foreseeable future.”