CHANGSHA May 21 (SMM) – Lithium salt prices rebounded from the bottom in 2020 and will continue to rise in 2021, said Liu Xiaoyi, new energy industry analyst at SMM.

The increase in lithium demand mainly comes from electric energy storage industry, traditional industrial demand remain stable for a long time, Liu told delegates at the 6th China International Lithium Cobalt Nickel Summit, which is organised by SMM in Changsha, Hunan province on May 20-21.

Australia's lithium concentrate utilisation ratio is reduced, and low-cost salt lakes are gradually exerting efforts to extract lithium, said Liu.

The analyst expected global supply of lithium resources to increase by 11.5% in 2021, mainly from salt lakes and lepidolite.

Output of spodumene concentrate in Australia in 2020 accounted for about 94% of the global output, and the number of mines in production reduced to four: Talison, Marion, Pilbara and Galaxy Resources. Resources were shrinking. Domestic lithium salt production was gradually rising, stocks decreased in Q2 2020, and the prices will gradually rise, said Liu.