Lithium battery material prices rise

How much will lithium-ion batteries cost in 2022?

After more than a decade of declines, volume-weighted average prices for lithium-ion battery packs across all sectors have increased to $151/kWh in 2022, a 7% rise from last year in real terms. The upward cost pressure on batteries outpaced the higher adoption of lower cost chemistries like lithium iron phosphate (LFP).

How much will lithium cost in 2025?

With mining cost ranging from $3,000/ton to $9,000/ton (Figure 1), lithium price could fall to the $10,000/ton level by around 2025, where the exact timing will depend on the actual EV market growth trajectory. Unlike short-term prices, long-term material prices are primarily determined by available reserve and ore grades.

How much does lithium cost per ton?

In January, for example, it jumped 45.5% to $2,400 per ton, up from $1,650 in December. Similarly, the price of lithium carbonate has increased fivefold over 2020 and similar price increases have been recorded for lithium hydroxide (lithium refined to various stages of purity) over the past year.

How much does lithium carbonate cost in 2021?

While mining companies scramble to increase production from existing facilities and develop new sources of supply, benchmark prices of lithium carbonate ended 2021 at record levels. In China, the biggest battery-producing country, the price was Rmb261,500 ($41,027) a tonne, more than five times higher than last January.

Will Lithium prices increase in the next 6 months?

Similarly, the price of lithium carbonate has increased fivefold over 2020 and similar price increases have been recorded for lithium hydroxide (lithium refined to various stages of purity) over the past year. BMI is forecasting that lithium prices will continue to increase for at least the next six months.

Why is lithium so expensive?

Another reason for the high price of lithium is that, although lithium is a relatively abundant metal on Earth, it is not easily extracted. Currently, it is extracted from deposits of a mineral called pegmatite and from brines by solar evaporation – an expensive and inefficient process that can take more than a year.