Electric Vehicle Boom Drives Metal Shortages, Forcing Innovation to Boost Supply

Demand for metals like copper, lithium, and nickel is surging as countries pursue net zero emissions targets and adopt electric vehicles, but supply is not keeping pace.
By 2030, shortages of 10-15% are projected for copper and nickel and 30-45% for other battery metals like cobalt and lithium.
Increasing recycling, restarting idle mines, and opening new mines can help boost supply, but will take time.
Leveraging new extraction technologies and finding material substitutions can help reduce demand for scarce metals.
With flexible automakers and battery producers, thrifting, and some demand destruction, the worst impacts of shortages may be avoided in the next decade.

economist.com

Relevant topic timeline:

8/28/2023

China’s Economic Slump Continues to Batter Old Economy Steel and Coal Sectors

China's commodities sector, including coal mining and metals production, is experiencing declining profits due to the worsening property crisis and economic slowdown, with steel producers being the hardest hit. However, there is potential for growth in metals firms linked to the energy transition, particularly in China's green copper consumption driven by electric vehicles and renewable power.

8/29/2023

Emergence of Green Steel in a Carbon-Free Era: In-Depth Analysis from to 2034 - Report on Global Markets for Green Hydrogen, Ammonia, and Steel

The report analyzes the global markets for green hydrogen, green ammonia, and green steel, highlighting their interconnection and importance in decarbonizing heavy industry and paving the way for a sustainable and decarbonized future.

9/27/2023

Copper Shortages Threaten Clean Energy Goals as Demand Soars and Mining Scrambles to Keep Up

The global demand for copper, a critical mineral in clean energy technologies, is rapidly increasing, but mining companies are struggling to keep up, posing a threat to the growth of the clean energy transition and the goal of net-zero emissions by 2050. Solutions to this problem include improving mining operations, developing new extraction technologies, and increasing recycling efforts. However, the lack of investment in new projects and potential political actions could further exacerbate the copper supply shortage.

9/26/2023

IEA Roadmap Shifts Focus from Carbon Capture to Faster Growth of Cheap Renewables

The International Energy Agency's updated roadmap for achieving zero greenhouse gas emissions by 2050 highlights the limitations of carbon capture technology and carbon credits, emphasizing the progress made by renewables in reducing emissions.

9/27/2023

Fossil Fuel Decline Critical to Meet Climate Goals, says Energy Agency

Global fossil fuel demand needs to decrease by 25% by 2030 and 80% by 2050 to limit global warming and achieve climate change goals, according to the International Energy Agency's Net Zero Roadmap.

10/2/2023

Mining Industry Feels Pressure to Go Green Despite High Costs

Mining operations, which account for 4%-7% of global greenhouse gas emissions, are under pressure to reduce emissions and transition to cleaner energy sources as the demand for critical minerals like nickel and cobalt rises for renewable energy technologies.

10/9/2023

Copper Prices Weak Now But Long-Term Supply Crunch Looms as Green Energy Demand Surges

The lack of copper mines under development and weakening demand due to slowing global manufacturing could hinder the pace of energy transitions, according to industry executives, despite expectations for high long-term copper demand driven by the energy transition push.

Topics

Posted 9/11/2023, 8:39:46 PM

Electric Vehicle Boom Drives Metal Shortages, Forcing Innovation to Boost Supply

Demand for metals like copper, lithium, and nickel is surging as countries pursue net zero emissions targets and adopt electric vehicles, but supply is not keeping pace.
By 2030, shortages of 10-15% are projected for copper and nickel and 30-45% for other battery metals like cobalt and lithium.
Increasing recycling, restarting idle mines, and opening new mines can help boost supply, but will take time.
Leveraging new extraction technologies and finding material substitutions can help reduce demand for scarce metals.
With flexible automakers and battery producers, thrifting, and some demand destruction, the worst impacts of shortages may be avoided in the next decade.

economist.com

Relevant topic timeline:

8/28/2023

China’s Economic Slump Continues to Batter Old Economy Steel and Coal Sectors

8/29/2023

Emergence of Green Steel in a Carbon-Free Era: In-Depth Analysis from to 2034 - Report on Global Markets for Green Hydrogen, Ammonia, and Steel

9/27/2023

Copper Shortages Threaten Clean Energy Goals as Demand Soars and Mining Scrambles to Keep Up

9/26/2023

IEA Roadmap Shifts Focus from Carbon Capture to Faster Growth of Cheap Renewables

9/27/2023

Fossil Fuel Decline Critical to Meet Climate Goals, says Energy Agency

Global fossil fuel demand needs to decrease by 25% by 2030 and 80% by 2050 to limit global warming and achieve climate change goals, according to the International Energy Agency's Net Zero Roadmap.

10/2/2023

Mining Industry Feels Pressure to Go Green Despite High Costs

10/9/2023

Copper Prices Weak Now But Long-Term Supply Crunch Looms as Green Energy Demand Surges