Podcast: October Lithium Market Outlook
Taking a step back and observing the market at a high level one
could almost see lithium acting like a conventional commodity
chemical. The typical commodity cycle is oversupply leads to price
declines, consolidation, and then rationalization. I say almost as
we have oversupply, price declines, consolidation but not
rationalization, in fact, we expect the opposite to occur. With the
current consolidation we are seeing, high quality assets that are
struggling with finances are being acquired or invested in by more
established better funded market participants.
We believe that this consolidation by established market participants will lead to a more disciplined market where expansions will continue as needed rather than in a race to be first leading to less volatility in pricing as oversupply and shortages become less severe.
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If you're ahead of the market, you can navigate this complex industry and mitigate your risk. Gain transparency into the lithium market with IHS Markit Global Lithium and Battery Materials Service's 5-year price forecasts and 10-year supply/demand forecasts.
Listen to previous Lithium Podcast:
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- Podcast: NGL Markets and the Olefins Impact
- Bon appétit: Natural water-soluble polymers in foods and beverages
- The Near-Term Reduction of the North American Advantage for Polyethylene
- How is polymer demand impacted by the COVID-19 pandemic?
- Middle East Dilemma
- Impact of Covid-19 and low oil pricing on global chemical markets
- Basic Chemicals - The Curve is Already Flattened!