In a significant development, China has announced a sharp increase in its lithium reserves, now accounting for 16.5% of global resources, up from just 6% previously.
By Ryan Chigoche
This surge places China as the second-largest holder of lithium reserves worldwide, trailing only Chile. The discovery of new reserves, particularly along the 2,800-kilometer West Kunlun-Songpan-Ganzi lithium belt, has been pivotal to this dramatic growth, further solidifying China’s strategic importance in the global lithium market.
The findings have expanded the variety of lithium ores available in China, bolstering its position as a dominant global player.
Advancements in lithium extraction technologies have also driven this surge in reserves. More efficient extraction from salt lakes and lithium mica has significantly increased determined resources. Newly identified salt lake lithium resources alone exceed 14 million tons.
The extraction of lithium from brine in salt lakes, known for its lower cost and reduced environmental impact, has notably boosted reserves in regions like the Qinghai-Tibet Plateau. This development positions China as the third-largest salt lake lithium resource hub globally, after South America’s Lithium Triangle and the U.S. western region.
Breakthroughs in lithium mica extraction have also been crucial. Previously, high costs and complex processes made this challenging, but improved technologies have added 10 million tons of proven lithium resources to China’s stock.
These advancements have eased China’s historically tight lithium supply and contributed to stabilizing the global lithium market.
Lin Boqiang, Director of the China Center for Energy Economics Research at Xiamen University, emphasized the significance of these developments, highlighting how China’s lithium reserves and technologies reinforce its leadership in the global market. He also noted that China’s comprehensive industrial chain enables the production of high-quality batteries at lower costs, strengthening its dominance in the lithium-ion battery industry.
From January to October 2024, China produced 890 gigawatt-hours of batteries, a 16% year-on-year increase. During this period, over 200 gigawatt-hours of energy storage lithium-ion batteries were produced, and installations for new energy vehicles reached approximately 405 gigawatt-hours.
Opportunities for Zimbabwe
Zimbabwe, one of the world’s largest untapped lithium sources, can strategically leverage its potential amid China’s increasing dominance. While China’s advancements intensify global competition, Zimbabwe has the opportunity to attract investments, enhance mining technology, and develop a competitive edge.
By aligning with global trends, Zimbabwe could position itself as a key player in the global lithium supply chain, benefiting from the surging demand for electric vehicles and renewable energy technologies.
China’s continued leadership in extraction technologies also presents collaboration opportunities for Zimbabwe. By adopting similar innovations, Zimbabwe could significantly boost its lithium production, drive economic growth, and contribute to global market stability.
