4 new charts on lithium - the hottest commodity in the world now

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Last week, we charted copper, a commodity that will help us achieve net zero targets, and it’s an old commodity that has been in use for more than 10,000 years.

This week we look at lithium, a newer commodity that sees its popularity rise rapidly in the last several decades, largely driven by batteries in electric vehicles.

Lithium is a commodity, so it will run out eventually one day. Where are the biggest lithium assets in the world? Australia dominates in lithium supplies.

What are the biggest lithium-related companies? China scores 4 in top 10 despite having little lithium reserves itself. It sees the importance of lithium and has been buying assets globally. It’s also the biggest producer of lithium ion batteries that power electric vehicles.

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Let’s now look at the top 2 lithium-related companies: SQM and Albemarle.

When you own the mines, you own the money. It’s definitely true to SQM, a Chilean miner who owns some of the best quality lithium assets in the world. And it’s been a good few years at SQM with good profitability and growth.

Albemarle is more downstream focused than SQM who owns upstream assets. This explains why the margins at Albemarle is lower. It’s also more into industrial chemicals rather than metals.

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That’s all for today. See you Friday with some new charts on a brand new topic!

Truman 🙌

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