Lithium is regaining its strategic importance in global commodity markets. Although a sharp increase in production following the price records of 2022 temporarily created a surplus in the market, the situation has now fundamentally changed.
According to Milli.Az, reforms in China's energy sector show that lithium is now vital not only for electric vehicles but also for larger sectors:
Energy Storage Systems (ESS): Demand for building-type energy storage systems has surpassed that of the electric vehicle sector for the first time.
Artificial Intelligence and Data Centers: The continuous energy demand of artificial intelligence infrastructure and cloud technologies has increased the demand for enormous battery systems, and consequently, for lithium.
In June 2025, lithium prices, which had reached their lowest point, showed an increase of more than 130% on the Guangzhou Exchange. Global demand is projected to increase by 17-30% in 2026, but production is unlikely to reach this pace. This could lead to a serious lithium shortage in the market.
The European Union (EU) Commission has included lithium in the "priority critical raw materials" list for the period 2026-2030. European countries, led by Germany and France, have accelerated investments in lithium recycling and processing plants. The goal is to reduce foreign dependency on this strategic metal and to have a leading role in the economy of the future.
