Chilean lithium producer SQM announced that its Q4 net profit increased due to favorable market conditions which raised the average price of lithium and thus boosted performance. The world's second-largest lithium miner stated that its Q4 net profit was $183.8 million up 53% YoY. Revenue for the quarter grew by 23.3% reaching $1.32 billion compared to $1.07 billion in the same period last year. Gross profit for the quarter rose 52.7% to $448.5 million. SQM CEO Ramos said, "Our Q4 2025 results reflect record sales from our two major lithium businesses (Nova Andino Litio and the International Lithium Division)." "In November 2025, we began to see early signs of an improving supply-demand balance primarily driven by stronger-than-expected ESS demand."

According to a report by Mining Weekly, citing Reuters, Zimbabwe's Minister of Mines Winston Chitando announced on Tuesday that, to expand domestic processing, the country will ban the export of lithium concentrates starting from 2027. In 2022, Zimbabwe, Africa's largest lithium producer, ordered a ban on the export of lithium ore and has since been urging miners to process ore domestically. Lithium mining companies in Zimbabwe have been exporting lithium concentrates. Currently, two lithium mines in Zimbabwe are constructing lithium sulfate plants, namely Bikita Minerals and Prospect Lithium. Lithium sulfate is an intermediate product that can be further smelted into high-grade materials, such as lithium hydroxide or lithium carbonate, which are used in battery manufacturing. During a media briefing, Chitando stated, "The country now has the capacity to process, so all exports of lithium concentrates will be banned from January 2027." In 2023, Zimbabwe granted lithium miners a grace period to submit plans for local smelter construction by March 2024, but its stance softened due to the decline in lithium prices.

The relentless lithium price bubble, the star of the electric vehicle (EV) and energy storage revolution, has come hand in hand with price volatility on a record scale. Nicknamed "white gold," lithium prices have recorded breathtaking highs and lows, and industry players everywhere are at their wit's end trying to keep up with uncertainty.

[Nickel and Lithium Prices Slump Continues to Worsen Australian Miners' Financial Reports, Signs of Industry Consolidation Emerge] ① Three Australian lithium miners reported their largest H1 losses in over six years and did not declare dividends; ② Lithium prices have plunged more than 80% since 2022, while nickel prices have halved since early 2023. Miners are entering an era of capital discipline, potentially triggering a wave of industry consolidation through acquisitions. (Cailian Press)

2024 is a highly volatile year for lithium carbonate prices, with prices experiencing a "roller coaster" ride and an average price of 90,000 yuan/mt. Annual domestic lithium carbonate output reached 680,000 mt, up 47% YoY; annual lithium carbonate imports totaled 230,000 mt, up 46% YoY; and annual lithium carbonate demand reached 850,000 mt LCE, up 44% YoY. The domestic surplus pattern persisted. Looking ahead, with both lithium carbonate supply and demand increasing, supply growth is expected to outpace demand, leading to a continued expansion of the surplus. Additionally, under the deepening of low-cost integration and the impact of low-cost lithium carbonate imports from overseas, the cost center of lithium carbonate still has room to decline.

2024 was a highly volatile year for lithium carbonate prices.

2024 is a highly volatile year for lithium carbonate prices, with prices experiencing a "roller coaster" ride and an average price of 90,000 yuan/mt. Annual domestic lithium carbonate output reached 680,000 mt, up 47% YoY; annual lithium carbonate imports totaled 230,000 mt, up 46% YoY; and annual lithium carbonate demand stood at 850,000 mt LCE, up 44% YoY. The domestic surplus pattern persisted. Looking ahead, with both lithium carbonate supply and demand expected to grow, supply growth is likely to outpace demand, leading to an expanding surplus. Additionally, with deeper integration of low-cost production and the impact of overseas low-cost lithium carbonate imports, the cost center of lithium carbonate is expected to decline further.

Looking back at 2024, "oversupply" became a major synonym for the lithium market. Against the backdrop of an overall supply surplus in the industry, lithium carbonate prices occasionally rose at the beginning of 2024 due to temporary supply tightness but fell to a nearly three-year low of 72,250 yuan/mt on September 9, 2024, after supply recovered. This marked a decline of 495,250 yuan/mt from its peak of 567,500 yuan/mt, a drop of 87.27%. As of December 31, 2024, the average spot price of battery-grade lithium carbonate was reported at 75,050 yuan/mt, down 21,850 yuan/mt from 96,900 yuan/mt on December 29, 2023, representing an annual decline of 22.55%.

In the global lithium market, radical changes have taken place in recent years. With surging demand for electric vehicles, renewable energy storage systems, and burgeoning needs for advanced batteries. In light of industries moving towards cleaner and more sustainable forms of energy, lithium became one of the most essential commodities in the global supply chain. Similarly, the IEA estimated that global demand for lithium would increase 40 times house equivalent by 2040, thus further highlighting the need to understand the shifting dynamics of supply and demand for the element. This "lithium boom" brings with it great opportunities and serious challenges for businesses, governments, and investors alike.

On 12 April, Mineral Resources (MinRes) announced the initiation of the preliminary development works for underground mining at the Mt Marion lithium operation in Western Australia.