SQM projects 25% lithium demand surge in 2024 as EV sales rebound

Record 66,000 metric tons sold in Q4 2024 marks 50% year-over-year jump, signaling recovery from 2024-2025 oversupply. The Chilean producer credits EV market expansion and energy storage systems for driving this growth. Codelco partnership integrates state copper giant into Atacama operations, targeting 30% production increase via cost-effective brine extraction.

Direct extraction regulatory proposals could boost output while lowering environmental impact, tightening the cost curve against high-cost rivals. Spot prices doubled from June lows but remain 70% below 2022 peaks, indicating disciplined recovery rather than speculative boom.

This positions SQM to capitalize on sustained lithium demand through its Atacama complex and Nova Andino Litio JV, leveraging world's richest brine deposits for competitive advantage.