The mathematics of transition
Automakers are replacing steel and combustion engines with batteries and electric motors. The International Energy Agency calculates that global lithium demand will grow by 353% between 2024 and 2040. This trajectory is driven by the physical requirements of the vehicles themselves. An electric vehicle can require up to six times more minerals than a traditional internal combustion engine car.
Consumer adoption outpaces mines
Consumer adoption of these vehicles is accelerating. The International Energy Agency expects electric vehicles to represent 29% of all global car sales in 2026. While automotive factories can be retooled in a few years, bringing a new lithium mine into commercial production takes longer. Global X ETFs estimates that nearly $500 billion in capital investment is required by 2030 to address potential shortfalls in lithium supply, battery materials, and batteries.
Source institutions：UN Trade and Development
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