US lithium-related companies saw significant pre-market stock gains following Zimbabwe’s announcement to suspend exports of lithium concentrate and raw minerals. Shares of Sigma Lithium rose over 8 percent, Albemarle Corporation increased by more than 4 percent, while Sociedad Química y Minera of Chile and Lithium Argentina also experienced nearly 4 percent gains. Zimbabwe is a major global lithium supplier, and its export ban is expected to impact the worldwide lithium market deeply. Lithium, a critical raw material used in batteries for electric vehicles and energy storage devices, faces rising demand that may tighten supply and push prices higher, benefiting related stocks. The ban raises concerns about supply chain disruptions, potentially affecting the energy transition sector and electric vehicle industry. Additionally, such unexpected restrictions could undermine investor confidence, leading to increased price volatility. This situation presents a challenge for investors and industry experts as they reassess the balance of lithium supply and demand. If Zimbabwe’s ban persists long-term, other countries and companies may need to boost production or seek alternative sources to maintain market stability.
Source: binance
