Bolivia Seals $1 Billion Lithium Deal with China to Boost Production

Bolivia has signed a $1 billion agreement with China’s CBC to construct two lithium carbonate plants in Uyuni. These plants will significantly increase Bolivia’s lithium output and enhance its role in the international market. President Arce remarked that this deal positions Bolivia to influence global lithium pricing, amid ongoing discussions for further partnerships with other international entities.

In a significant move for its lithium industry, Bolivia has finalized a landmark deal worth $1 billion with China’s CBC, a subsidiary of the leading lithium battery producer CATL. Under this agreement, the two lithium carbonate production plants will be established in Bolivia’s southwest region, specifically on the Uyuni salt flats. One plant will produce 10,000 tons annually, while the other will have a capacity of 25,000 tons, further bolstering Bolivia’s position in the growing global lithium market. President Luis Arce emphasized the potential of this partnership in enabling Bolivia to influence international lithium prices.

Lithium has emerged as a vital resource in the manufacturing of batteries for electric vehicles and consumer electronics, commonly referred to as “white gold” due to its rising demand and value. Bolivia is reported to hold the largest lithium reserves globally, making it a key player in the booming electric vehicle market. This deal with China follows another agreement with Russia’s Uranium One Group for a separate lithium extraction facility, indicating Bolivia’s strategic efforts to become a leader in lithium production.

The signing of this $1 billion contract marks a pivotal step for Bolivia towards becoming a significant contributor to the global lithium supply chain. This endeavor not only aims to propel Bolivia into a competitive position in the lithium industry but also signals its readiness to meet the increasing global demand for sustainable resources, particularly in the electric vehicle sector.

Original Source: jordantimes.com