The Lithium Mining Market was valued at USD 3.02 Billion in 2024. The Lithium Mining Market industry is projected to grow from USD 4.19 Billion in 2025 to USD 17.54 Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 8.66% during the forecast period (2025-2035).
The growing demand for electric vehicles (EVS) and expansion of renewable energy storage systems are driving the growth of Lithium Mining Market.
As per the Analyst at MRFR, the growing demand for Electric Vehicles (EVs) has become one of the primary drivers of the Lithium Mining Market. Lithium is a crucial component of the rechargeable batteries that power EVs, and as the transition to clean energy accelerates, the need for lithium is expected to surge. EVs offer a more sustainable alternative to traditional internal combustion engine vehicles by producing zero emissions, which aligns with global efforts to reduce carbon footprints and mitigate climate change. As governments worldwide implement stricter environmental regulations and incentives to promote EV adoption, the demand for lithium-ion batteries—which rely heavily on lithium—has skyrocketed.
FIGURE 1: LITHIUM MINING MARKET VALUE (2019-2035) USD BILLION
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Lithium Mining Market Opportunity
EMERGING MARKETS FOR BATTERY RECYCLING
The Lithium Mining Market is undergoing a significant transformation due to the growing demand for lithium-ion batteries, driven by the rise of electric vehicles (EVs), renewable energy storage, and portable electronics. However, as the demand for lithium continues to surge, concerns regarding the environmental impact of mining, resource depletion, and supply chain challenges have prompted the exploration of battery recycling as a crucial solution. Battery recycling, particularly in emerging markets, represents a significant opportunity to secure a sustainable and circular supply of lithium while reducing dependence on traditional mining.
Lithium is a critical component of rechargeable batteries used in various applications, with electric vehicles and renewable energy storage systems driving the bulk of this demand. The lithium-ion battery market is expected to grow rapidly over the coming years, with the International Energy Agency (IEA) forecasting that by 2030, the number of electric vehicles on the road could exceed 250 million. As a result, the pressure on global lithium supply chains is mounting. Although lithium is abundant in the Earth's crust, the extraction process is resource-intensive, environmentally disruptive, and concentrated in specific regions, particularly in Australia, Chile, and Argentina.
The need for sustainable lithium production is creating a significant opportunity for battery recycling. Recycling allows for the recovery of valuable materials such as lithium, cobalt, nickel, and manganese, which are essential for the production of new batteries. This reduces the environmental impact of mining, lowers the carbon footprint of battery manufacturing, and eases supply chain bottlenecks. Moreover, as more batteries reach the end of their life cycle, a robust recycling infrastructure will be necessary to handle the increasing volumes of used batteries.
Emerging markets, especially in Asia, Latin America, and parts of Africa, present significant opportunities for the expansion of battery recycling infrastructure. For example, China, India, and Southeast Asian countries are investing heavily in electric vehicle production, which is expected to drive a surge in demand for recycling services. China's dominance in the global electric vehicle market and its efforts to establish a circular economy have positioned it as a leader in lithium-ion battery recycling. Companies like GEM Co., based in China, are already working on recycling technologies that can efficiently extract lithium from spent batteries, helping to alleviate the pressure on primary sources.
In Latin America, countries like Brazil and Mexico are also recognizing the potential of battery recycling, given their proximity to key lithium-producing nations such as Chile and Argentina. These nations are exploring partnerships with global players in the EV sector to create sustainable lithium supply chains.
Technological innovations in battery recycling are making it increasingly feasible and cost-effective. Advances in hydrometallurgical processes and direct recycling techniques are improving the efficiency of lithium recovery from used batteries. These innovations are not only reducing the environmental impact of mining but also increasing the economic viability of recycling operations. In addition, emerging markets are beginning to adopt policies that support battery recycling, such as extended producer responsibility (EPR) laws, which require manufacturers to take responsibility for the disposal and recycling of their products.
As the Lithium Mining Market faces increasing pressure from the rapid rise in electric vehicle adoption and the shift toward renewable energy storage, battery recycling in emerging markets represents a significant opportunity. These markets, particularly in Asia, Latin America, and parts of Africa, can benefit from investments in recycling infrastructure and technological advancements that enable the recovery of valuable materials from used batteries. With the right policies, such as extended producer responsibility laws, and continued innovation in recycling processes, emerging markets can play a key role in establishing a sustainable, circular economy for lithium and other critical materials.
By tapping into the potential of battery recycling, emerging markets not only secure a more sustainable supply of lithium but also reduce the environmental impact of mining, create new economic opportunities, and support the global transition to clean energy technologies.
Lithium Mining Market Segment Insights
Lithium Mining System by Source Insights
Based on Source, this segment includes Brine and Hard Rocks. The Brine segment dominated the global market in 2024, while it is projected to be the fastest–growing segment during the forecast period. Brine sources, primarily found in salt flats and underground aquifers, have been a traditional and dominant source of lithium production, particularly in regions like the Lithium Triangle in South America, encompassing Chile, Argentina, and Bolivia.
The extraction process involves pumping lithium-rich brine to the surface, where it is evaporated to concentrate the lithium before being chemically processed to produce lithium carbonate or lithium hydroxide. Brine extraction offers a lower cost and energy-efficient method compared to hard rock mining, especially for large-scale operations. However, brine mining faces environmental challenges such as significant water usage and potential disruption of local ecosystems, which can lead to regulatory scrutiny.
FIGURE 2: LITHIUM MINING MARKET SHARE BY SOURCE 2024 AND 2035 (USD BILLION)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Lithium Mining System by Type Insights
Based on Type, this segment includes Hydroxide, Carbonate, Chloride, Concentrate. The Hydroxide segment dominated the global market in 2024, while it is projected to be the fastest–growing segment during the forecast period. Lithium hydroxide is a critical component in the production of high-energy-density batteries, especially for electric vehicles (EVs) and energy storage systems. It is used to produce high-nickel-content lithium-ion batteries, which offer better performance in terms of energy density and longevity. As the demand for EVs continues to rise, the need for lithium hydroxide is growing rapidly.
The production of lithium hydroxide requires a more complex process than lithium carbonate, involving the conversion of lithium carbonate or other lithium compounds into lithium hydroxide. This process can be more energy-intensive, making it relatively more expensive. Despite these challenges, lithium hydroxide is becoming increasingly important due to its use in next-generation battery chemistries that are expected to dominate the EV market.
Lithium Mining System by Application Insights
Based on Application, this segment includes Battery, Ceramics and Glass, Lubricants and Greases, Polymer, Flux Powder, Refrigeration, Others. The Battery segment dominated the global market in 2024, while it is projected to be the fastest–growing segment during the forecast period. The battery segment is the largest and fastest-growing application for lithium, driven primarily by the booming electric vehicle (EV) market and the increasing demand for energy storage systems.
Lithium-ion batteries, which are used in EVs, consumer electronics, and renewable energy applications, require lithium compounds like lithium carbonate and lithium hydroxide. The shift toward electric vehicles as a cleaner, more sustainable mode of transport has created a massive surge in demand for lithium-based batteries, making the battery sector the key driver of growth in the lithium mining market. This trend is expected to continue as governments around the world enforce stricter emission regulations and as the adoption of renewable energy storage systems increases.
Lithium Mining System Regional Insights
Based on the Region, the global Lithium Mining is segmented into North America, Europe, Asia-Pacific, South America and Middle East & Africa. The Asia-Pacific dominated the global market in 2024, while it is projected to be the fastest–growing segment during the forecast period. Major demand factors driving the Asia-Pacific market are the growing demand for electric vehicles (EVS) and expansion of renewable energy storage systems. Asia Pacific is the largest and most dominant region in the Lithium Mining Market, with China being the key player in both lithium production and consumption.
China controls a significant portion of global lithium supply and has extensive investments in lithium extraction and processing, particularly from hard rock mining in countries like Australia. The region's booming electric vehicle industry, combined with a strong emphasis on renewable energy and technological innovation, drives the demand for lithium-ion batteries. Countries like Japan and South Korea are also significant consumers of lithium for their robust electronics industries and electric vehicle production. As the largest producer and consumer of lithium-ion batteries, Asia Pacific is expected to maintain its leadership in the market, with further investments in mining and battery recycling technologies aimed at securing a steady supply of lithium to meet growing demand.
FIGURE 3: LITHIUM MINING MARKET VALUE BY REGION 2024 AND 2035 (USD BILLION)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Further, the countries considered in the scope of the Application Tracking System Market are the US, Canada, Mexico, Germany, the UK, France, Spain, Italy, Czech Republic, China, Japan, India, South Korea, Australia, Malaysia, Thailand, Indonesia, Brazil, Argentina, GCC Countries, South Africa and others.
Global Lithium Mining Key Market Players & Competitive Insights
Many global, regional, and local vendors characterize the Lithium Mining Market. The market is highly competitive, with all the players competing to gain market share. Intense competition, rapid advances in technology, frequent changes in government policies, and environmental regulations are key factors that confront market growth. The vendors compete based on cost, product quality, reliability, and government regulations. Vendors must provide cost-efficient, high-quality products to survive and succeed in an intensely competitive market.
The major competitors in the market are Albemarle Corporation, Mineral Resources, Arcadium Lithium, Savannah Resources, American Lithium Corp., Lithium Americas, Pilbara Minerals, Sociedad Quimica Y Minera, Tianqi Lithium, Bacanora Lithium are among others. The Lithium Mining Market is a consolidated market due to increasing competition, acquisitions, mergers and other strategic market developments and decisions to improve operational effectiveness.
Key Companies in the Lithium Mining Market include
Global Medical Device Service Market Industry Developments
7-January-2025: Lithium Americas raised its estimated mineral resource and reserves for the Thacker Pass lithium project, supporting an expansion that could boost its battery grade lithium carbonate capacity up to 160,000 metric tonnes (t)/yr. The updated proven and probable mineral reserve estimate for the Thacker Pass project now stands at 14.3mn t of lithium carbonate equivalent (LCE), marking a 286pc increase since the November 2022 feasibility study. The increase enables a phased expansion with an 85-year life of mine (LOM), targeting 160,000 t LCE/year, split into four phases of 40,000 t LCE/yr each. Construction of each of Phases 1 through 4 is expected to be spaced four years apart.
12-March-2024: Pilbara Minerals has business agreement with Chinese company Sichuan Yahua Industrial Group for spodumene concentrate, essential for making lithium batteries. Under the agreement, Pilbara will deliver 20,000 tonnes of the mineral from its Pilgangoora operation in Western Australia this year and 100,000 tonnes annually in 2025 and 2026, with an option to supply an extra 60,000 tonnes each year. Yahua, known for its stature in the lithium market, serves major clients like Tesla and LG Chem, establishing itself as one of the leading lithium hydroxide producers.
31-May-2024: Chile’s state-run copper miner Codelco and lithium producer SQM have reached an agreement to jointly exploit the vast lithium deposits in the Salar de Atacama salt flat. The new deal gives Codelco a majority stake to increase government-controlled lithium production, an essential ingredient in the making of batteries that power electric vehicles (EVs).
11-May-2021: American Lithium Corp. completed its acquisition of all the issued and outstanding common shares of Plateau Energy Metals Inc. by way of a statutory plan of arrangement under the provisions of the Business Corporations Act (Ontario), resulting in Plateau becoming a wholly owned subsidiary of American Lithium. The merger combines two of the largest lithium development projects globally and creates a leading, Americas focused developer of energy metals.
Lithium Mining Market Segmentation
Lithium Mining by Source Outlook
Lithium Mining by Type Outlook
Lithium Mining by Application Outlook
Lithium Mining Regional Outlook
| Report Attribute/Metric | Details |
| Market Size 2024 | USD 3.02 Billion |
| Market Size 2025 | USD 4.19 Billion |
| Market Size 2035 | USD 17.54 Billion |
| Compound Annual Growth Rate (CAGR) | 18.6% (2025-2035) |
| Base Year | 2024 |
| Forecast Period | 2025-2035 |
| Historical Data | 2019-2023 |
| Forecast Units | Volume, Value (Kilo Tons, USD Billion) |
| Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | By Source, By Type, By Application |
| Geographies Covered | North America, Europe, Asia Pacific, South America, Middle East & Africa |
| Countries Covered | The US, Canada, Mexico, Germany, the UK, France, Spain, Italy, Czech Republic, China, Japan, India, South Korea, Australia, Malaysia, Thailand, Indonesia, Brazil, Argentina, GCC Countries, South Africa |
| Key Companies Profiled | Albemarle Corporation, Mineral Resources, Arcadium Lithium, Savannah Resources, American Lithium Corp., Lithium Americas, Pilbara Minerals, Sociedad Quimica Y Minera, Tianqi Lithium, Bacanora Lithium |
| Key Market Opportunities | · Emerging markets for battery recycling · Technological advancements in battery production |
| Key Market Dynamics | · Growing demand for electric vehicles (EVS) · Expansion of renewable energy storage systems |
Lithium Mining Market Highlights:
Frequently Asked Questions (FAQ) :
USD 3.02 Billion is the Lithium Mining Market in 2024
The Brine segment by Source holds the largest market share and grows at a CAGR of 19.1 % during the forecast period.
Asia-Pacific holds the largest market share in the Lithium Mining Market.
Albemarle Corporation, Mineral Resources, Arcadium Lithium, Savannah Resources, American Lithium Corp., Lithium Americas, Pilbara Minerals, Sociedad Quimica Y Minera, Tianqi Lithium, Bacanora Lithium are prominent players in the Lithium Mining Market.
The Battery segment dominated the market in 2024.
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Research Analyst Level I In her 3 years of experience in the market research field, she has handled critical cross-domain projects. she has an in-depth knowledge of market estimation & analysis, problem-solving, primary as well as secondary research, and team management.she holds an engineering degree and is an mba professional from a well-known university, capable of evaluating the market and competitive conditions. an exceptional strategist with excellent communication skills and a passion for delivering cutting-edge & practical insights for the market. proficient in multi-tasking, and can successfully deal with competing demands, while maintaining complete confidentiality. generated business through active client and project development, networking, and high-quality responses. her knowledge and skills have helped in making solid business decisions, securing funding from investors, and avoiding business failures.
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