Buenos Aires: Argentina, the world’s fifth-largest lithium producer, is gearing up for a major boost in its lithium output, with plans to increase production by 75% in 2025. According to the Argentine Chamber of Mining Companies (CAEM), the country is expected to produce 130,800 tonnes of lithium carbonate equivalent (LCE) next year, up from 74,600 tonnes in 2024.
Growth Driven by New Mines and Expansions
This significant growth will come from a mix of new mining operations in Salta and expansions in Catamarca and Jujuy, provinces known for rich lithium deposits. Alejandra Cardona, executive director of CAEM, highlighted the contributions of ongoing projects like Salar de Olaroz, Fenix mine, and the ramp-up at Cauchari Olaroz.
Additionally, the Sal de Oro project, which began production in October 2024, is expected to contribute to the output surge.
Strategic Metal for a Green Future
Lithium is a critical component in electric vehicle (EV) batteries and the renewable energy sector. With South America home to the world’s largest lithium resources—spread across Argentina, Bolivia, and Chile—Argentina is positioning itself as a key global player in the clean energy transition.
Trade War? No Worries, Say Industry Experts
Despite rising concerns over a potential global trade war spurred by U.S. President Donald Trump’s tariff measures, Argentine industry leaders remain confident.
Jorge Mora, South American representative of the International Lithium Association (ILiA), downplayed the risks:
“The biggest consumer of lithium is China, which also leads in car production and consumption. So, any impact from the U.S. tariffs is minimal in this context.”
Milei’s Economic Reforms Win Praise
Under Libertarian President Javier Milei, Argentina has introduced tax benefits to attract foreign investment in mining. Roberto Cacciola, president of CAEM, believes Argentina will weather any negative effects:
“There might be temporary setbacks in oil prices and some challenges in steel and aluminum, but in sectors like energy, agriculture, and mining, Argentina will stay strong.”
With global demand soaring and domestic reforms in place, Argentina’s lithium sector is poised for a breakout year in 2025, setting the stage for stronger global partnerships and long-term economic growth.
