Boom in Energy Storage Boosts Demand Outlook for Lithium in 2026
Producers of lithium have grappled with limited demand for the mineral years after the boom of 2020-2021 that saw EV battery makers gobbling up any available lithium and driving up prices. Sluggish EV demand has since led to a collapse of lithium carbonate prices and many producers significantly cut their output in the wake of slumping prices. However, an upsurge in the battery energy storage segment has brightened the outlook for lithium this year and a revival of the material is underway. This resurgence has been triggered by reforms that China has instituted in its power sector resulting in increased…