Takeaways

• “The revolutions currently underway have seen the emergence of at least four new value chains: electric vehicles, software, mobility (including finance and energy services) and the circular economy.

• “Manufacturers need to acquire expertise in these new disciplines, each of which has its own rules and business potential. The new automotive world demands a horizontal, ecosystemic approach.”

• In this new publication, we look at lithium prices as a key indicator of battery trends but also as one of the factors (among other material prices and factors) that can promote the mass adoption of electric vehicles.

• Major lithium producers such as Arcadium Lithium, Albemarle, and SQM consider current lithium prices insufficient to fund expansion efforts, indicating that prices must rise to accommodate the growing demand for electric vehicles.

• The recent rise in lithium prices in China can be attributed to a surge in buying activity from cathode producers albeit maintaining a cautious approach due to still uncertainty in demand short-term trends.