Search for lithium reignites dispute between Latin American producing countries

By Franco Alencastro and Thauan Santos |

Although demand for lithium declined by 6% in the first quarter of 2020, demand will continue to grow in the coming years and could reach 1 million tonnes annually by 2025, says a study by the Bloomberg company. The increasing importance of renewable sources in the energy matrix should increase the demand for the mineral – an essential component of batteries that store the energy generated by photovoltaic panels. It is estimated that, by 2025, 70% of demand will serve this purpose. This situation is of great interest to Latin America, since a considerable part of the reserves is located in an area located between Bolivia, Chile and Argentina, known as the “Triângulo do Lítio”.

Impacts on Security and Defense: The reduction in reserves will lead to higher prices, which may stimulate greater competition between these States. The territory that Bolivia lost to Chile in the Pacific War corresponds to almost all Chilean deposits. Recently, Bolivia sought to rekindle this territorial dispute.

Fonte: LU, S; FRITH, J. Will the real Lithium demand please stand up? Challenging the 1Mt- by-2025 Orthodoxy. Disponível em: https://about.bnef.com /blog/will-the-real-lithium-

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