Quote for Funafuti lithium energy storage power supply field

Why is the lithium market oversupplied?

The lithium market has been oversupplied for several years, in part due to expectations of huge increases in demand for lithium driven by the energy transition.

Will Liontown defer expansion of Kathleen Valley lithium project?

Days later, Australian producer Liontown Resources announced it could defer the expansion and ramp-up up of its Kathleen Valley lithium project as part of a cost-cutting review.

Will the lithium market be tighter this year?

Fastmarkets’ research team forecasted that the lithium market recorded a surplus of around 175,000 tonnes in 2023, and almost 154,000 tonnes in 2024 based on current available data. But there is a growing sense among market participants and industry analysts that the market balance could be much tighter this year.

Will the lithium market reshape in 2025?

These factors are poised to reshape the market landscape, impacting supply chains and pricing strategies. After years of significant oversupply, the global lithium market will tighten in 2025, according to Fastmarkets projections.

How much lithium is produced in 2024?

According to Fastmarkets’ research team, production of lithium globally jumped from just over 737,000 tonnes in 2022 to almost 1.2 million tonnes in 2024 on a lithium carbonate equivalent (LCE) basis. This increase in production largely mirrored increases in demand.

Are spodumene and lithium salt in a cost curve?

At current spot lithium salt and spodumene prices, the industry is reportedly deep into the cost curve, and both hardrock producers and brine and hardrock producers alike have, for the most part, made capital expenditure adjustments for 2025, which has, in turn, cut Fastmarkets’ supply forecast.