China Discovers 540M-Ton Lithium Deposit Strengthening Global EV Battery Supply

China has discovered a massive 540 million-ton hard-rock lithium deposit in Hunan Province, a find that could significantly bolster its leading role in the global electric vehicle (EV) battery supply chain by providing a faster and more efficient processing method. This deposit, along with China's control of over 70% of global lithium refining capacity, underscores its dominant position as demand for lithium surges alongside the global EV market. Meanwhile, India’s lithium-ion battery market is projected to expand rapidly, with demand expected to reach 115 gigawatt-hours by 2030, driven primarily by a 48% annual growth rate in EVs; however, India faces challenges due to its reliance on imports of critical battery materials and lack of domestic manufacturing infrastructure. To mitigate this, the Indian government has initiated programs to promote clean energy, battery manufacturing, and recycling. In Europe, vehicle production could rise to 16.8 million annually by 2035 if EV and clean energy targets are maintained, supported by investments in localized battery manufacturing and electrification policies, though failure to uphold these targets could result in substantial economic losses and job cuts. These developments highlight the intensifying global race to secure lithium resources and expand EV battery production capacity amid accelerating clean energy transitions.