Major lithium-producing country to nationalize reserves

Must read

Adidas reveals date for return to Russian market – media

German sportswear and footwear brand Adidas may reopen its stores in Russia on November 1, news outlet Mash reported on Friday on its Telegram...

Dodgers LHP Julio Urias (hamstring) suffers setback

May 18, 2023; St. Louis, Missouri, USA; Los Angeles Dodgers starting pitcher Julio Urias (7) pitches against the St. Louis Cardinals in the first...

Corbin Carroll slams Diamondbacks past Tigers

Jun 7, 2023; Washington, District of Columbia, USA; Arizona Diamondbacks left fielder Corbin Carroll (7) celebrates with third base coach Tony Perezchica (21) after...

Chile has the world’s largest deposits of the mineral, which is essential to the renewable energy industry

Chilean President Gabriel Boric has announced that the nation’s vast lithium industry will be brought under government control in an effort to boost the economy and protect the environment.

Future lithium contracts will only be issued as public-private partnerships with state control, Boric explained last week, noting the government would not terminate current contracts, but that companies should be open to state participation before their contracts expire.

“This is the best chance we have at transitioning to a sustainable and developed economy. We can’t afford to waste it,” the Chilean leader said during a televised address to the nation.

Chile holds the world’s largest lithium reserves and is the second largest producer of the metal globally. Lithium-ion batteries are vital for most consumer electronics and electric vehicles (EVs). Moreover, lithium is deemed to be a “pillar for the fossil-fuel free economy” by the United Nations, seen as the primary way to store energy in the clean power grids of the future.

The Chilean government’s move comes as a new challenge to global EV manufacturers, who have been scrambling to secure battery materials amid countries’ attempts to protect their natural resources.

In neighboring countries of the Lithium Triangle – Chile, Argentina and Bolivia – governments have been also looking for a greater public sector stake in mining of the metal, with plans to develop their own lithium battery sector.

Elsewhere, Mexico nationalized its lithium deposits last year, and Indonesia has banned exports of nickel ore, which is also a key battery material.

For more stories on economy & finance visit RT’s business section

More articles

Latest article

Adidas reveals date for return to Russian market – media

German sportswear and footwear brand Adidas may reopen its stores in Russia on November 1, news outlet Mash reported on Friday on its Telegram...

Dodgers LHP Julio Urias (hamstring) suffers setback

May 18, 2023; St. Louis, Missouri, USA; Los Angeles Dodgers starting pitcher Julio Urias (7) pitches against the St. Louis Cardinals in the first...

Corbin Carroll slams Diamondbacks past Tigers

Jun 7, 2023; Washington, District of Columbia, USA; Arizona Diamondbacks left fielder Corbin Carroll (7) celebrates with third base coach Tony Perezchica (21) after...

Isaac Paredes (2 HRs, 6 RBIs) blasts Rays past Rangers

Jun 9, 2023; St. Petersburg, Florida, USA; Tampa Bay Rays third baseman Isaac Paredes (17) runs the bases after hitting a hits a...