Chile continues to consolidate itself as a global leader in the production of lithium, a key mineral for the development of rechargeable batteries used in electric vehicles (EVs) and other electronic devices. The country, with its vast salt flats in the north, especially in the Salar de Atacama, is home to some of the largest lithium reserves in the world. As the demand for electric vehicles continues to grow, lithium mining in Chile becomes a fundamental pillar to meet the needs of global economies that are transitioning towards more sustainable transport models.
One of the most emblematic projects in Chile is SQM’s Lithium Project in the Salar de Atacama, which has been key to the production of lithium for batteries for electric vehicles. SQM (Sociedad QuÃmica y Minera de Chile), one of the country’s leading companies, has worked together with large multinationals and is adopting innovative technologies to improve lithium extraction efficiency and reduce environmental impact in the Atacama Desert region, one of the driest areas in the world.
The lithium extraction process in Chile’s salt flats, which includes the use of solar evaporation in swimming pools, has been praised for its efficiency in terms of water consumption compared to other methods, such as spodumene mining, which is more resource-intensive. However, the environmental impact remains a sensitive issue. Non-governmental organizations and local communities have expressed concerns about the effects of water use in a desert where water is scarce. In response to these challenges, the Chilean government has implemented new regulations to ensure that lithium mining is more sustainable. This includes the implementation of cleaner technologies and the commitment of mining companies to social and environmental responsibility.
The government of Chile has taken steps to attract more investment in the lithium sector, especially with the growing demand for batteries for electromobility. The transition to electric vehicles is one of the key drivers of this demand. According to the Association of Automobile Manufacturers of Chile (A.G.), sales of electric vehicles in the country have seen significant growth in recent years, and this trend continues to rise. This expansion is largely due to government incentives to promote the adoption of electric vehicles and public policy that favors the energy transition towards a cleaner matrix.
From an economic point of view, lithium mining in Chile is being seen as an engine of growth, with the potential to generate thousands of jobs and strengthen the national economy. According to the Central Bank of Chile, lithium mining has been a key sector that has helped maintain the country’s competitiveness in the global minerals market. In addition, lithium projects contribute significantly to the Gross Domestic Product (GDP) and are a source of income through exports, particularly to markets such as the United States, Europe, and China.
With the growing demand for electric vehicles, and Chile’s strategic position in the global lithium supply chain, the prospects for investors are extremely attractive. The International Monetary Fund (IMF) projects that the lithium mining industry in Chile will continue to be a key player in the development of electromobility worldwide.
Fuentes:
- SQM, Albemarle.
- Ministerio de MinerÃa de Chile.
- Banco Central de Chile.
- Fondo Monetario Internacional (FMI).
- Asociación de Fabricantes de Automóviles de Chile (A.G.).
The lithium project in Chile is not only attracting national investments, but also international ones. Companies such as Albemarle, which owns a significant stake in the Salar de Atacama through its partnership with SQM, are investing heavily in the expansion of lithium production. The global electric vehicle battery industry, driven by electromobility, is highly valuing Chile as a strategic partner due to its ability to supply this essential mineral.
