

The
predicted global demand for lithium over the next 10 years comes almost
entirely from the consumer power of purchasing Electric Vehicle (EVs).
Between
2018 and 2020, the lithium market wasn’t looking good due to predicted uptake of
EVs not occurring as expected. At this time, the Chinese Government removed
subsidies it had in place due to an oversupply of lithium and EV demand not
growing as quickly as it did the year before.
Since
then, it has gradually been increasing and the requirement for subsidies are
now almost non-existent. The price of EVs is slowing falling as demand has
started to pick up and major car manufactures invest in their infrastructure – expanding
the diversity of vehicles on offer.
In
Australia, the Federal Government still mandates a luxury car tax on EVs making
them an expensive option for most family households.
Recently
the Western Australian Government launched an Electric Vehicle Action Plan – a
promising sign for the lithium market as demand continues to rise. Read more
here about the Government announcement – https://www.mediastatements.wa.gov.au/Pages/McGowan/2021/08/WA-accelerates-towards-longest-EV-fast-charging-network.aspx
Combustible
engines will soon be a thing of the past with several western governments
already setting future legislation. The
United Kingdom has banned the sale of new combustion-engine vehicles by 2030 (originally,
they said 2040) and Canada has stated its intentions to ban the sale of new
internal combustion engines by 2035.
Despite
the many benefits to switching to EVs, logistically Australia isn’t quite there
yet. With increased consumer demand, mounting pressure to address climate
change and the individual drive to choose green – EVs are yet to make their
mark here. However, when they do, the lithium market will be there waiting to
flick the switch and put rubber on the road.
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the latest in industry news, read here.