Part 3/7:
The electric vehicle market is experiencing a transformative shift, largely driven by the increased accessibility of lithium. Historically, one of the most significant barriers to widespread EV adoption has been the high cost of battery production, primarily influenced by lithium prices. However, with China's domestic reserves, the cost of lithium—and ultimately, EV batteries—is expected to decline substantially.
Experts at Goldman Sachs estimate that battery pack costs could plunge by up to 50% in the coming year, driven down by increased lithium production efficiencies and advancements in extraction technologies. This price reduction will likely make electric vehicles far more affordable, paving the way for mass adoption and significantly impacting global emissions.