Chile’s Codelco expects to reach agreement on lithium with SQM this year

Chile’s state-owned mining company, Codelco, is reportedly expecting to reach an agreement with lithium miner SQM this year, according to Codelco Chairman Maximo Pacheco. This follows Chile’s government’s announcement earlier this year of plans to strengthen state control over the lithium industry, allowing only public-private partnerships to participate in lithium exploitation.

Chile is home to the world’s largest lithium reserves, making the nation a key player in the global lithium market. The government’s efforts to increase state control over lithium are part of its strategy to maximize the value derived from the country’s lithium resources and to have a greater say in the industry’s development.

This development aligns with a broader trend among resource-rich nations to encourage domestic processing and value-added activities for minerals rather than simply exporting raw materials. By increasing state participation and control in lithium mining and processing, Chile aims to capture a larger share of the economic benefits associated with the booming lithium-ion battery industry.

While lithium prices have experienced fluctuations in recent years, demand for lithium-ion batteries continues to grow due to their use in electric vehicles (EVs), energy storage systems, and other applications. As a result, lithium remains a critical resource for the clean energy transition, and nations with significant lithium reserves are seeking to position themselves as key players in the global supply chain.

Chile’s push for greater state control over lithium is seen as a way to ensure the country benefits from the growing demand for lithium-ion batteries and the transition to EVs, which is expected to accelerate in the coming years.

Elevate your business with QU4TRO PRO!

Gain access to comprehensive analysis, in-depth reports and market trends.

Interested in learning more?

Sign up for Top Insights Today

Top Insights Today delivers the latest insights straight to your inbox.

You will get daily industry insights on

Oil & Gas, Rare Earths & Commodities, Mining & Metals, EVs & Battery Technology, ESG & Renewable Energy, AI & Semiconductors, Aerospace & Defense, Sanctions & Regulation, Business & Politics.

By clicking subscribe you agree to our privacy and cookie policy and terms and conditions of use.

Read more insights

Australia approves feasibility studies for six offshore wind projects

Australia has approved six projects to explore the feasibility of constructing wind farms in waters off its southern coast, as part of its efforts to increase renewable energy capacity and achieve its net-zero emissions target by 2050. Energy Minister Chris Bowen announced that six additional projects…

Starmer aims for China access without triggering a transatlantic rupture

Keir Starmer’s arrival in Beijing on Wednesday with a deliberately mixed delegation, consisting of City of London finance, cultural “soft power” figures, and manufacturing leadership, signals a classic UK objective in a less forgiving geopolitical environment: deepen commercial access to China, especially in services, without triggering a rupture either with domestic security hawks or with Donald Trump’s White House.

Starmer framed the visit in explicitly pragmatic terms, encouraging British firms to “seize opportunities” in the world’s second-largest economy, while also emphasizing that engagement must be bounded by national-security guardrails after years in which UK-China ties were battered by disputes over Hong Kong, espionage allegations, and strategic technology concerns.

China shifts focus to consumer spending to meet 2024 growth targets

China’s efforts to boost household spending are expected to help the economy hit the government’s 2024 growth target of roughly 5%, but more may need to be done for consumers from next year or growth may slow. Trade tensions and local government debt risks limit Beijing’s options, making consumer stimulus increasingly…

Stay informed

error: Content is protected !!