The Development of Lithium Industry

From a global perspective, the development of the lithium industry has undergone significant changes. In the early 20th century, the United States was the world's largest producer and consumer of lithium salts, mainly produced by extracting lithium from ores. The main downstream of lithium was high-temperature lubricants, commonly used in aircraft engines. In the mid to late 20th century, the production of nuclear fusion weapons such as hydrogen bombs led to a short-term increase in demand for lithium. At the end of the 20th century, the end of the Cold War led to a significant reduction in the demand for lithium in the military sector, and the downstream main consumption areas of lithium returned to traditional industries such as ceramics, glass, alloys, industrial lubricants, and medical care. Lithium carbonate production line, pressure vessel, Jiangxi Zongheng Special Equipment Co., Ltd

After the 21st century, the development of the electronics industry (electronic consumer products such as computers and mobile phones) has driven an increase in demand for lithium batteries, and downstream consumption of lithium has gradually shifted towards a battery based structure. Australia has become a major global source of lithium ore supply due to its abundant lithium reserves and low mining costs. In addition, with the breakthrough of lithium extraction technology from salt lakes, salt lakes represented by Qinghai in China and Chile and Argentina in South America have become the second largest source of lithium carbonate.

Since 2010, with the development of the "carbon neutrality" goal, the new energy industry has continued to advance, and the demand for lithium carbonate, as the core raw material for new energy vehicle power batteries and energy storage batteries, has significantly increased. China has become a major producer and consumer of lithium carbonate in the world, thanks to its complete global lithium battery industry chain and the advantage in the size of the new energy vehicle market. From 2016 to 2020, it was a period of rapid development for lithium carbonate and lithium hydroxide, with over 50 new smelters entering the track in China. At the same time, the development of lithium resources has also entered an accelerated stage. With the development of mines in Africa and Brazil, and the completion and operation of Argentine salt lakes, the future supply of lithium resources is showing a trend of diversified development.