Lithium Market Synopsis

Lithium Market Size Was Valued at USD 31.2 Billion in 2023, and is Projected to Reach USD 134.2 Billion by 2032, Growing at a CAGR of 17.6% From 2024-2032.

Lithium is a chemical element that is soft, and of silver-white metallic color and is the lightest metallic element in the world. Batteries, glass and ceramics industries, and as a reducing agent in metallurgy are areas where it is mostly employed. The salts of lithium are also given for the depressive and manic phases of bipolar affective disorder as a mood stabilizer. The term ‘global lithium market’, as used here, refers to the flow of lithium and lithium products or lithium salt production, including both the domestic flow and the flow with external sources.

• The primary application of lithium in the automotive industry include lithium-ion batteries for Battery Electric Vehicles, Energy Storage Systems for Hybrid Electric Vehicles, and Lithium Specialties, which include specialty greases and lubricants and various Lithaloy alloys that can harness the unique features of lithium to deliver improved vehicle performance and efficiency.
• The lithium market is witnessing healthy growth due to increased demand for lithium-ion batteries for EVs, electronics goods, and energy storage and Asia-Pacific is the largest market. This, coupled with the expected enhancement of technology in the lithium market in the following years will cause the market to expand.
• The use of solar and wind power is on the rise and to support the helium generated it requires lithium-ion batteries for power storage. The lithium-ion battery value chain is estimated to rise annually by more than 1300 between 2024-2032 due to the increasing use of green technologies.
• Lithium-ion batteries continue to be considered the go-to solution for today’s numerous consumer devices such as smartphones, laptops, tablets, and power tools. Hence, given the constantly growing global demand for these portable devices, the requirement for lithium to develop the proper LIBs will similarly increase.
• The market sees somewhat high a level of innovation concerning the attempts to improve the process of manufacturing high-purity lithium. Lithium has been used in higher growth segments like electric vehicles; players have pumped in investments in R&D for best practicing the utilization of lithium. Lately, the emphasis has been put on the creation of new products and product differentiation due to the manufacturers’ efforts to optimize the production process.
• The market experienced an average trend of M&A because of strict rules and regulations applicable to acquiring mining rights and stiff competition. This has made players in this industry employ backward integration or forward integration as the line of growth.
• It is also strictly regulated which usually translates into high levels of regulatory compliance. Many country's regulatory agencies also recommend the right safety procedures and the correct methods of waste management. The dominance of end-users is another considerable aspect of the market, and to address the challenges of logistics costs, manufacturers establish points of contact for end-users and work very closely with automotive generating industries.

Lithium Market Trend Analysis

Increasing adoption of renewable energy

• The growing trend towards the use of renewable energy such as solar and wind power is a factor that is expected to drive the demand for lithium in the next couple of years. With the increasing trends of shifting toward cleaner energy to address the global issue of emissions of greenhouse gases and climate change, the need for energy storage such as lithium-ion batteries will increase. Renewable sources of energy need backup storage to ensure they are incorporated into the power grid; lithium-ion batteries suffice this demand as they store the power produced by renewable sources of energy.
• As the global demand for lithium-ion solar energy storage soars, lithium needed for these batteries is also likely to be in high demand to cater to the needs of this emerging and very active space of renewable energy storage systems thereby boosting the overall lithium market.

Continued growth in portable electronics and consumer devices

• Another factor considered to be working in favor of the lithium market in the forthcoming years is the increase in portable electronic products and consumer electronics. Lithium-ion batteries are being used as the power source for most consumer electronics products such as cellular phones, laptops, tablets, power tools, and other cordless appliances. As more people around the world consume portable electronic devices through the back of increased income per capita, enhanced technology, and changing consumer preferences more lithium-ion batteries will be required to sustain the electronic devices. The increasing prominence of consumer electronics as a sector, and more importantly, the lion’s share that lithium-ion batteries will take up as the power source of choice in this regime, will be a driving force in the general lithium market in the years to come as firms seek to satisfy the increased demand for this vital battery component.

Lithium Market Segment Analysis:

• Lithium Market Segmented based on Product, and Application.

By Product, carbonate segment is expected to dominate the market during the forecast period

• In 2023, the carbonate product segment was seen to be the largest section of the market concerning the volume. Lithium carbonate (Li2CO3) If the most stable inorganic compound from which other compounds can be created including Lithium hydroxide (LiOH) and pure metal lithium. Carbonate products are also used in the management of bipolar disorder as well as Sickle cell anemia.
• This compound is also employed in batteries and there are multiple uses in the construction industry; sealing of slurry and adhesive types. LiOH is a white hygroscopic crystalline solid and essentially an inorganic chemical with widespread application of which battery makers are the key consumers, it is available as both anhydrous and monohydrate.
• It is widely used in transport builds like the manufacture of submarines and space crafts among others. Also, the escalating development in battery technologies is increasing the consumption of LiOH for different applications, which is expanding in the market. Solely due to this factor, most automotive players are willing to use LiOH in battery production, and this aspect should positively impact the market’s growth.
• For example, BMW Group has engaged in a cooperation contract with Ganfeng Lithium, a lithium extracting firm in China to secure LiOH for battery cells due to the growth of modern EVs. Concerns toward environmental consciousness for vehicles are fostering the EV market; thus, as per BMW's strategy, it is to launch 25 electrified models of Li-ion batteries.

By Application, consumer electronics segment held the largest share in 2023

• Due to global technological development, the consumer electronics application segment has projected the highest revenue growth rate from 2024 to 2030. This segment is expected to grow due to the rising sale of portable electronic devices in which Li-ion batteries are being used for power back up including mobile phones, laptops, cameras, portable radios, speakers, and MP3 players.
• Emerging attributes like lightweight, high energy density, and small size, are pushing the use of batteries and consequently are stimulating their growth. The non-rechargeable Li-ion batteries are employed in applications such as remote controllers, handheld games, cameras, and smoke detectors.
• Small and large rechargeable lithium-polymer cells are found in cell phones, laptop computers, toys, cameras, small and large appliances, tablets, e-readers, and power tools. These are batteries that contain what we can consider as critical materials like cobalt, graphite, and lithium and hence they have to be dealt with safely and appropriately. Several developed countries spare their funds for the application of energy storage systems based on Li-ion batteries to boost market growth.

Lithium Market Regional Insights:

Asia Pacific is Expected to Dominate the Market Over the Forecast Period

• Asia-Pacific was identified to be the largest market for the consumption of lithium due to the rising demand for lithium from countries like China, South Korea, and Japan.
• There are switching trends prevailing in the automobile industry of the country as the consumer preference toward electric vehicles is higher. Scooters, passenger vehicles, and LEVs such as buses and light LCVs are obtaining more acceptance across the country. Reports by the China Passenger Car Association (CPCA) reveal that; China sold more than 3. 3 million units in year 2021 relatively, just around 169% higher than in 2020.
• The government of China targeting electric vehicle penetration of 20% in vehicle production within the next five years. Thus, this is expected to boost the manufacture and use of batteries for cars as stated ahead. CATL a Chinese battery maker has a market dominance of more than 30% of global EV battery consumption. The cobalt specialist supplier, namely, Darton Commodities, believed that Chinese refineries accounted for 85 percent of the global battery-ready cobalt as the component, which helps in enhancing the stability of lithium-ion batteries.
• Specifically, the National Blueprint for Lithium Batteries pointed out China for the expected 1,811 GWh for lithium cell production by 2025. China is currently the largest market for EVs and owns the major supply chain networks including the refining and processing of minerals and raw materials used in the production of lithium-ion batteries.
• Major industries in South Korea are electronics, automobiles, telecommunications, ship-building, chemical, steel and so on. It is also among the biggest producers of electronic products as well as semiconductors; best-selling brands include Samsung Electronics Co. Ltd and Hynix Semiconductor.

Active Key Players in the Lithium Market

• Albemarle Corp.
• Ganfeng Lithium Co., Ltd.
• SQM S.A.
• Tianqi Lithium Corporation
• Livent Corp.
• Lithium Americas Corp.
• Pilbara Minerals
• Orocobre Limited Pty. Ltd.
• Mineral Resources Group Co., Ltd, Other Active Players

Key Industry Developments in the Lithium Market:

• In November 2023, ExxonMobil revealed that preparations for drilling its initial lithium well in Arkansas had begun, given the region is endowed with extensive lithium reserves. It also wants to deliver its first lithium volumes in 2027. By 2030 it expects to deliver lithium quantities to support the production of batteries for more than a million electric vehicles per year.
• In September 2023, a Chinese battery manufacturer Gotion High-tech Co Ltd. declared its intention to construct a lithium battery production facility in Manteno, Illinois, U. S. with an investment value of USD 2 billion.
• In September 2023, the Office of the Assistant Secretary for Industrial Base Policy made a memorandum of understanding with Albemarle concerning the company’s lithium mining and production intentions. The deal was inked under the MCEIP office which is worth USD 90 million for the expansion of its manufacturing capability. Albemarle intends to develop the Kings Mountain N. C mine in the period between 2025 and 2030 which would again boost the domestic supply of lithium.

Chapter 1: Introduction
 1.1 Scope and Coverage

Chapter 2:Executive Summary

Chapter 3: Market Landscape
 3.1 Market Dynamics
  3.1.1 Drivers
  3.1.2 Restraints
  3.1.3 Opportunities
  3.1.4 Challenges
 3.2 Market Trend Analysis
 3.3 PESTLE Analysis
 3.4 Porter's Five Forces Analysis
 3.5 Industry Value Chain Analysis
 3.6 Ecosystem
 3.7 Regulatory Landscape
 3.8 Price Trend Analysis
 3.9 Patent Analysis
 3.10 Technology Evolution
 3.11 Investment Pockets
 3.12 Import-Export Analysis

Chapter 4: Lithium Market by Product
 4.1 Lithium Market Snapshot and Growth Engine
 4.2 Lithium Market Overview
 4.3 Carbonate
  4.3.1 Introduction and Market Overview
  4.3.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  4.3.3 Key Market Trends, Growth Factors and Opportunities
  4.3.4 Carbonate: Geographic Segmentation Analysis
 4.4 Hydroxide
  4.4.1 Introduction and Market Overview
  4.4.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  4.4.3 Key Market Trends, Growth Factors and Opportunities
  4.4.4 Hydroxide: Geographic Segmentation Analysis
 4.5 Others
  4.5.1 Introduction and Market Overview
  4.5.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  4.5.3 Key Market Trends, Growth Factors and Opportunities
  4.5.4 Others: Geographic Segmentation Analysis

Chapter 5: Lithium Market by Application
 5.1 Lithium Market Snapshot and Growth Engine
 5.2 Lithium Market Overview
 5.3 Automotive
  5.3.1 Introduction and Market Overview
  5.3.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  5.3.3 Key Market Trends, Growth Factors and Opportunities
  5.3.4 Automotive: Geographic Segmentation Analysis
 5.4 Consumer Goods
  5.4.1 Introduction and Market Overview
  5.4.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  5.4.3 Key Market Trends, Growth Factors and Opportunities
  5.4.4 Consumer Goods: Geographic Segmentation Analysis
 5.5 Grid Storage
  5.5.1 Introduction and Market Overview
  5.5.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  5.5.3 Key Market Trends, Growth Factors and Opportunities
  5.5.4 Grid Storage: Geographic Segmentation Analysis
 5.6 Others
  5.6.1 Introduction and Market Overview
  5.6.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  5.6.3 Key Market Trends, Growth Factors and Opportunities
  5.6.4 Others: Geographic Segmentation Analysis

Chapter 6: Company Profiles and Competitive Analysis
 6.1 Competitive Landscape
  6.1.1 Competitive Benchmarking
  6.1.2 Lithium Market Share by Manufacturer (2023)
  6.1.3 Industry BCG Matrix
  6.1.4 Heat Map Analysis
  6.1.5 Mergers and Acquisitions
  
 6.2 ALBEMARLE CORP
  6.2.1 Company Overview
  6.2.2 Key Executives
  6.2.3 Company Snapshot
  6.2.4 Role of the Company in the Market
  6.2.5 Sustainability and Social Responsibility
  6.2.6 Operating Business Segments
  6.2.7 Product Portfolio
  6.2.8 Business Performance
  6.2.9 Key Strategic Moves and Recent Developments
  6.2.10 SWOT Analysis
 6.3 GANFENG LITHIUM CO
 6.4 LTD
 6.5 SQM SA
 6.6 TIANQI LITHIUM CORPORATION
 6.7 LIVENT CORP
 6.8 LITHIUM AMERICAS CORP
 6.9 PILBARA MINERALS
 6.10 OROCOBRE LIMITED PTY
 6.11 LTD
 6.12 MINERAL RESOURCES GROUP CO
 6.13 LTD
 6.14 OTHER ACTIVE PLAYERS

Chapter 7: Global Lithium Market By Region
 7.1 Overview
 7.2. North America Lithium Market
  7.2.1 Key Market Trends, Growth Factors and Opportunities
  7.2.2 Top Key Companies
  7.2.3 Historic and Forecasted Market Size by Segments
  7.2.4 Historic and Forecasted Market Size By Product
   7.2.4.1 Carbonate
   7.2.4.2 Hydroxide
   7.2.4.3 Others
  7.2.5 Historic and Forecasted Market Size By Application
   7.2.5.1 Automotive
   7.2.5.2 Consumer Goods
   7.2.5.3 Grid Storage
   7.2.5.4 Others
  7.2.6 Historic and Forecast Market Size by Country
   7.2.6.1 US
   7.2.6.2 Canada
   7.2.6.3 Mexico
 7.3. Eastern Europe Lithium Market
  7.3.1 Key Market Trends, Growth Factors and Opportunities
  7.3.2 Top Key Companies
  7.3.3 Historic and Forecasted Market Size by Segments
  7.3.4 Historic and Forecasted Market Size By Product
   7.3.4.1 Carbonate
   7.3.4.2 Hydroxide
   7.3.4.3 Others
  7.3.5 Historic and Forecasted Market Size By Application
   7.3.5.1 Automotive
   7.3.5.2 Consumer Goods
   7.3.5.3 Grid Storage
   7.3.5.4 Others
  7.3.6 Historic and Forecast Market Size by Country
   7.3.6.1 Bulgaria
   7.3.6.2 The Czech Republic
   7.3.6.3 Hungary
   7.3.6.4 Poland
   7.3.6.5 Romania
   7.3.6.6 Rest of Eastern Europe
 7.4. Western Europe Lithium Market
  7.4.1 Key Market Trends, Growth Factors and Opportunities
  7.4.2 Top Key Companies
  7.4.3 Historic and Forecasted Market Size by Segments
  7.4.4 Historic and Forecasted Market Size By Product
   7.4.4.1 Carbonate
   7.4.4.2 Hydroxide
   7.4.4.3 Others
  7.4.5 Historic and Forecasted Market Size By Application
   7.4.5.1 Automotive
   7.4.5.2 Consumer Goods
   7.4.5.3 Grid Storage
   7.4.5.4 Others
  7.4.6 Historic and Forecast Market Size by Country
   7.4.6.1 Germany
   7.4.6.2 UK
   7.4.6.3 France
   7.4.6.4 Netherlands
   7.4.6.5 Italy
   7.4.6.6 Russia
   7.4.6.7 Spain
   7.4.6.8 Rest of Western Europe
 7.5. Asia Pacific Lithium Market
  7.5.1 Key Market Trends, Growth Factors and Opportunities
  7.5.2 Top Key Companies
  7.5.3 Historic and Forecasted Market Size by Segments
  7.5.4 Historic and Forecasted Market Size By Product
   7.5.4.1 Carbonate
   7.5.4.2 Hydroxide
   7.5.4.3 Others
  7.5.5 Historic and Forecasted Market Size By Application
   7.5.5.1 Automotive
   7.5.5.2 Consumer Goods
   7.5.5.3 Grid Storage
   7.5.5.4 Others
  7.5.6 Historic and Forecast Market Size by Country
   7.5.6.1 China
   7.5.6.2 India
   7.5.6.3 Japan
   7.5.6.4 South Korea
   7.5.6.5 Malaysia
   7.5.6.6 Thailand
   7.5.6.7 Vietnam
   7.5.6.8 The Philippines
   7.5.6.9 Australia
   7.5.6.10 New Zealand
   7.5.6.11 Rest of APAC
 7.6. Middle East & Africa Lithium Market
  7.6.1 Key Market Trends, Growth Factors and Opportunities
  7.6.2 Top Key Companies
  7.6.3 Historic and Forecasted Market Size by Segments
  7.6.4 Historic and Forecasted Market Size By Product
   7.6.4.1 Carbonate
   7.6.4.2 Hydroxide
   7.6.4.3 Others
  7.6.5 Historic and Forecasted Market Size By Application
   7.6.5.1 Automotive
   7.6.5.2 Consumer Goods
   7.6.5.3 Grid Storage
   7.6.5.4 Others
  7.6.6 Historic and Forecast Market Size by Country
   7.6.6.1 Turkey
   7.6.6.2 Bahrain
   7.6.6.3 Kuwait
   7.6.6.4 Saudi Arabia
   7.6.6.5 Qatar
   7.6.6.6 UAE
   7.6.6.7 Israel
   7.6.6.8 South Africa
 7.7. South America Lithium Market
  7.7.1 Key Market Trends, Growth Factors and Opportunities
  7.7.2 Top Key Companies
  7.7.3 Historic and Forecasted Market Size by Segments
  7.7.4 Historic and Forecasted Market Size By Product
   7.7.4.1 Carbonate
   7.7.4.2 Hydroxide
   7.7.4.3 Others
  7.7.5 Historic and Forecasted Market Size By Application
   7.7.5.1 Automotive
   7.7.5.2 Consumer Goods
   7.7.5.3 Grid Storage
   7.7.5.4 Others
  7.7.6 Historic and Forecast Market Size by Country
   7.7.6.1 Brazil
   7.7.6.2 Argentina
   7.7.6.3 Rest of SA

Chapter 8 Analyst Viewpoint and Conclusion
8.1 Recommendations and Concluding Analysis
8.2 Potential Market Strategies

Chapter 9 Research Methodology
9.1 Research Process
9.2 Primary Research
9.3 Secondary Research