What Albemarle (Kent Masters CEO) actually said on the earnings...

What Albemarle (Kent Masters CEO) actually said on the earnings call is:



There are 2 issues at play:

1. 30D tax credits apply to a CONSUMER buying an EV ... it does not directly benefit Albermarle (they don't get the cash). What the EV manufacturer chooses as its battery is - well up to them.
2. ALB is global and would have plentu fo IRA compliant material to import into the USA if it desired ... they (and SQM) are the producers of Lithium Carbonate from Chile (a FTA country with USA)

As far as spodumene goes would ... why would that be shipped to the USA from Australia by ALB ... they do not have a refinery (yet) in the USA. I believe TSLA is taking LTR spodumene to Corpus Christi, TX ... but surely its more prudent (for TSLA) to do a deal and "swap" cargos and buy SYQ spodumene along with PLL spodumene from NAL and send their LTR spodumene to wherever they need to.

What ALB also announced was a comprehensive of their cost and operating structure. Specifically they said the following

"As one of the first steps in this comprehensive review, we announced yesterday immediate adjustments to our Australian lithium hydroxide footprint. These changes follow our previously announced decision not to proceed with the construction of Kemerton Train 4. Specifically, we will idle production at Kemerton Train 2 and place the unit in care and maintenance.

Additionally, we will stop construction activity on Train 3. Notably, we estimate that stopping construction on Train 3 will save at least $200 million to $300 million of capital spending over the next 18 months. These changes allow us to focus on optimizing and ramping Kemerton Train 1 to preserve optionality and diversity across both product type and geography."

It's a business decision and not one driven by whether downstream processing in WA is IRA compliant for 30D subsidies.

Hope that provides clarity