https://www.iea.org/news/sharp-declines-in-critical-mineral-price...

https://www.iea.org/news/sharp-declines-in-critical-mineral-prices-mask-risks-of-future-supply-strains-as-energy-transitions-advance

17. May 2024


IEA: Geographical diversification necessaryHowever, the IEA is also in favor of geographical diversification, as the current very high concentration in the supply of individual raw materials is problematic. This applies in particular to graphite, around 80 per cent of which is mined in China and almost 100 per cent of which is processed in China.Over 50 per cent of nickel comes from mines in Indonesia and almost half of it is processed there. Two thirds of cobalt, on the other hand, is mined in the Democratic Republic of Congo, but is not processed there - instead, more than half ends up back in China. And in the production of anodes and cathodes, nothing works without China - and to some extent South Korea.

Great dependence on ChinaThe IEA uses the example of battery production to illustrate the world's dependence on China. China has 85 per cent of the production capacity for battery cells, 90 per cent of the production capacity for cathodes and 98 per cent for anodes worldwide. More than half of the world's lithium and cobalt processing takes place in China. The country dominates the entire graphite anode supply chain.China also produces two thirds of the world's electric vehicles. China has increased its market share in almost all phases of the upstream and downstream supply chain since 2021. This poses geostrategic risks for the rest of the world.

The Chinese have got us by the.......