...finally someone sees it: for mass consumption of EVs, they need to be produced cheaply, not a margin game but a capacity game. And to produce cheaply, the EV battery and minerals like lithium going into it must continue to be even cheaper with time. The market leader with vertical integration can sacrifice its own lithium supply chain to dominate the global EV market.
...so, you want EVs to grow into mass consumption, lithium price needs to stay low.
...so, do not associate EV growth with higher lithium price.
BYD’s latest price cuts have triggered another round of discounts in China’s EV price war But this is not a temporary thing. BYD is using its highly efficient vertical integration to drive down prices for good. The closest analogy is what happened with the smartphone industry: https://x.com/kyleichan/status/1927548872156385440
