The price of lithium, probably the most important component in the current batteries of electric vehicles (EVs), continues to plummet. Indeed, the price of lithium carbonate, currently around US$27,000 per tonne, is down about 70% since peaking in November 2022.
The general thinking in the investment community is that Asian lithium makers overproduced in late 2022, and after the excess production is worked off, prices will begin to trough and then normalize at higher levels. While this price path indeed may be what occurs, another factor — the development of sodium-ion batteries which contain either no lithium or lesser amounts of the silvery-white metal than current technologies — could have an even longer lasting negative effect on lithium prices and could similarly bring down the overall cost of producing EV.
DG Innovate plc (LON:DGI) is an advanced research and development company pioneering sustainable and environmentally considerate improvements to electric mobility and storage, using abundant materials and the best engineering and scientific practices. Deregallera is a subsidiary of DG Innovate.
