CHINESE automaker byd and metals group Tsingshan are backing out of multi-million dollar plans to build lithium cathode plants in Chile, according to the country's economic development agency, reports Reuters.
The retreat by the two huge Chinese companies is a blow to Chile's aim to develop more domestic processing of lithium, a key metal for electric vehicle batteries. Chile is the world's number two lithium producer.
Both projects were hit by plunging lithium prices, said government economic development agency Corfo, which in 2023 had tapped BYD and Tsingshan for a preferential lithium price deal as part of its efforts to spur investment in Chile.
'The companies selected by Corfo have been affected in their investment decisions by the global market conditions, which have shown a sharp drop in prices,' Corfo said in a statement.
SeaNews Turkey
The retreat by the two huge Chinese companies is a blow to Chile's aim to develop more domestic processing of lithium, a key metal for electric vehicle batteries. Chile is the world's number two lithium producer.
Both projects were hit by plunging lithium prices, said government economic development agency Corfo, which in 2023 had tapped BYD and Tsingshan for a preferential lithium price deal as part of its efforts to spur investment in Chile.
'The companies selected by Corfo have been affected in their investment decisions by the global market conditions, which have shown a sharp drop in prices,' Corfo said in a statement.
SeaNews Turkey
