In this video interview with Corinne Blanchard, an equity research analyst at Deutsche Bank, we asked her about the suppy-demand dynamics in the lithium market, as well as the key trends that market participants should be aware of.
Watch the full video interview with Corinne or read the key takeaways below.
Supply-demand dynamics in the lithium market
On supply and demand, we see a very tight market condition right now where we see a very strong, fast-paced environment for demand. This is driven by electric vehicle (EV) demand in China, while on the other side you have supply that is growing.
The supply-side is also facing challenges and not growing at the same pace versus demand, which definitely has created some imbalance in the market that will continue over the year.
Three key topics driving the lithium industry
- Pricing: Spot versus contract pricing
- Localization of supply: Supply in North and South America, as well as the development of lithium in Africa or in China
- Geopolitics in the lithium market: The potential risk for nationalization of some of the assets in South America as well as the increase in environmental, social and governance (ESG) scrutiny and the potential impact on royalty rates
Understand more about the risks and opportunities to the market
Corinne was one of many experts to take the stage at the recent Fastmarkets Lithium Supply & Battery Raw Materials conference held in Phoenix in June, 2022.
You can read more about the topics covered and what we learned from this event when you click here. This includes seeing some of the highlights from the event on video.
Take a deep dive into some of the other factors at play in the lithium and battery raw materials market with three of our most recent reports. Simply click the link to each one below to read more:
- The risky road ahead for electric vehicles
- Why unconventional lithium resources shouldn’t divert focus of the market to address supply shortages
- The EV battery chemistry debate just got more complicated
Visit our dedicated battery raw materials page to discover more insights on the factors at play in the industry in 2022 and beyond.
