Theglobal lithiummarket size is projected to reach USD 8.24 billion by the end of 2027.The increasing investments in lithium extraction methods have opened up aflexible application scope. According to a report published by Fortune BusinessInsights, titled “Lithium Market Size, Share &COVID-19 Impact Analysis, By Product (Carbonate, Hydroxide, Others), ByApplication (Batteries, Glass & Ceramics, Lubricant, Medical, Polymers,Metallurgy, Others), and Geography Forecast, 2020-2027,” the market wasworth USD 4.09 billion in 2019 and will exhibit a CAGR of 9.2% during theforecast period, 2020-2027.
Lithiumis a chemical element that is present in natural substances such as rocks. Thematerial is approved for use in several industry verticals, including chemical,electrical, healthcare, and automotive. Accounting to the exceptionalproperties of lithium, it has been excessively used in applications thatrequire high efficiency as well as durability. The properties such as resistanceto external factors and low cost of the product cater to flexible applications.The increasing applications and subsequently rising demand for the productacross the world will bode well for the growth of the overall lithium market inthe coming years. Moreover, the presence of several large scale companies inseveral countries across the world will emerge in favor of the growth of theglobal market.
Covid-19 Pandemic Proving Damaging for Lithium ManufacturingSectors
Therecent coronavirus outbreak has had a damaging impact on several businessesacross the world, with SMEs amongst the categories the worst-hit sectors. Asseveral businesses have come to a complete halt, it is evident that themeasures taken to minimize the spread of the disease have ultimately affectedseveral industries across the world.
Theshortage of manual labor and workforce has been daunting to manufacturers inthe lithium market in the past few months. Due to the lack of availablelaborers, production units have been put on hold. This has resulted in severeeconomic losses across the world. Having said that the resumptions in businessoperations, although within constrained boundaries, will provide hope to thecompanies that have hugely suffered at the hands of the pandemic.
Accounting too Massive Potential for Growth, Companies turn toStrategic Collaborations
Thereport encompasses several factors that have contributed to the growth of themarket in recent years. The rising demand for lithium and lithium derivativeshave resulted in strong competition on the global stage. This makes it evenmore difficult for the companies that are essentially under the SME bracket. Asa result, several mid-scale companies are looking to collaborate with other businessesin the mid-range as well as large scale sectors.
InAugust 2020, Cornish Lithium announced that it will be collaborating withGeothermal Engineering (GEL) for new lithium manufacturing plant. The companieswill develop a geothermal Li recovery plant in Cornwall. This unit will dealwith the extraction of Li for use in power storage batteries for electricvehicles. An increasing number of such initiatives will have a massive impacton the growth of the overall market in the coming years.
Industry Developments:
May 2020: Manikaran Power Limited announced thatit has collaborated with Neo Metals towards developing the first lithiumrefinery in India. The refinery will have a capacity of 20,000 tons per annumLCE.
Browse Detailed Summary of Research Report with TOC:
https://www.fortunebusinessinsights.com/lithium-market-104052
