With the electric vehicle boom well underway, demand for lithium is expected to increase substantially.
In fact according to analysts at Bank of America, “The demand for lithium products is inflecting, with accelerating demand for electric vehicles as governments in Europe and Asia inject stimulus to boost vehicle penetration and adoption,” as quoted by Benzinga. In addition, according to analysts at Roskill, “The underlying demand growth for lithium compounds remains strong, with demand from rechargeable battery applications forecast to exceed 220kt LCE in 2020, representing roughly 70% of total lithium demand.”
Plus, a Biden Administration could be bullish for lithium, as well. According to Albemarle Corp. CEO Kent Masters, as quoted by Bloomberg. “There’s the incentives, and the emphasis that’s put on electrification and EVs around that. The market side of it would be more favorable with Biden.”