Lithium facts

Lithium is a soft, silvery-white metal and a key ingredient in rechargeable batteries, including those that power electric vehicles (EV) and support the clean energy transition. It can be processed into several compounds, such as lithium carbonate (Li₂CO₃), lithium oxide (Li₂O), and lithium hydroxide (LiOH), which are used in battery production and other applications.

Learn more about lithium

Uses

Lithium is a highly reactive metal that is used to make energy-dense rechargeable batteries for electronics, EVs, and grid storage. Rising demand for lithium-ion batteries has driven a surge in global exploration and new project development. In 2024, batteries accounted for 87% of total lithium demand.

Lithium also enhances the durability, corrosion resistance and thermal resistance of glass products used in glass-ceramic stovetops, glass containers, specialty glass and fibreglass. Its properties improve productivity and reduce energy consumption in glass making.

Lithium is a critical mineral for the energy transition, and net-zero emissions will require greater reliance on both new and recycled sources of lithium for batteries.

Production

In 2024, Canada had two lithium mines in operation, which together produced an estimated 5,983 tonnes of lithium.

Canada’s lithium production was limited from 2014 to 2020. Since late 2021, however, the TANCO Mine in Manitoba has been producing lithium for export and processing.

In March 2023, the North American Lithium mine near Val-d’Or, Quebec, restarted production of lithium concentrate and has increased output through 2024. Its current owner, Eleva Lithium—formed from the merger of Sayona and Piedmont Lithium—is also planning to build a refinery to produce lithium hydroxide or carbonate. The mine had operated briefly in 2018 before closing in 2019 because of low lithium prices.

Across Canada, several companies are advancing lithium projects, exploring both traditional hard rock mining and unconventional sources such as oilfield brines and industrial wastewaters. These projects, at stages ranging from early exploration to pre-production, are spread across Ontario, Quebec, Alberta, Manitoba, Nova Scotia and Saskatchewan.

Nemaska Lithium plans to restart the Whabouchi Mine in Quebec, idle since 2019, and build a lithium hydroxide refinery in Bécancour, Quebec. Now owned by Rio Tinto and the Quebec government, Nemaska has a long-term agreement with the Ford Motor Company to supply lithium products for EV batteries.

Consult Canada's Critical Minerals Map for information on mines and advanced projects.

International context

Australia led global lithium production in 2024, with seven of its mines contributing more than a third of the world’s total output. Brine operations in Chile and mines in China accounted for most of the remaining production.

China dominates lithium processing, with most of the processed products being used in battery manufacturing.

World mine production of lithium by country, 2024

Ranking	Country	Tonnes	Percentage of the total
1	Australia	88,000	37.1%
2	Chile	49,000	20.7%
3	China	41,000	17.3%
4	Zimbabwe	22,000	9.3%
5	Argentina	18,000	7.6%
6	Brazil	10,000	4.2%
7	Canada	5,983	2.5%
8	Namibia	2,700	1.1%
9	Portugal	380	0.2%
World total (rounded)		237,000	100.0%

World reserves

Canada’s lithium resources are substantial. Hard rock deposits contain an estimated 5.4 million tonnes of lithium oxide (2.5 million tonnes of lithium). As well, lithium brines from oil and gas fields and industrial wastewaters in Alberta and Saskatchewan add another 8.6 million tonnes of lithium oxide (4.0 million tonnes of lithium). Altogether, Canada’s total lithium resources are estimated at 14.0 million tonnes of lithium oxide, equivalent to 6.5 million tonnes of lithium. Global lithium resources are estimated at 115 million tonnes, with about half in the salt flats of Bolivia, Chile and Argentina.

Mineral resources consist of identified concentrations of minerals, such as ore bodies or mineral-bearing brines, which might reasonably be extracted at some point in the future. Mineral reserves are mineral resources that have been thoroughly explored, assessed and evaluated to prove that they are technically and economically viable to mine. Only a small share of mineral resources becomes mineral reserves because mineral exploration is costly and technically complex.

Bolivia is tied with Argentina for the largest share of lithium resources, but sociopolitical challenges have limited access to its reserves. In contrast, Argentina and Chile, which offer more favourable conditions for investors, rank first and third, respectively, in lithium resources.

Australia, which holds the second-largest proven reserves with 7.0 million tonnes, leads global production. Chile accounted for 30.8% of global reserves, while Canada ranked sixth with 1.3 million tonnes, representing 4.4% of total reserves.

World reserves of lithium by country, 2024

Ranking	Country	Lithium content (tonnes)	Percentage of the total
1	Chile	9,300,000	30.8%
2	Australia	7,000,000	23.2%
3	Argentina	4,000,000	13.3%
4	China	3,000,000	9.9%
5	United States	1,800,000	6.0%
6	Canada	1,336,178	4.4%
7	Zimbabwe	480,000	1.6%
8	Brazil	390,000	1.3%
9	Portugal	60,000	0.2%
10	Namibia	14,000	0.0%
	Other countries	2,800,000	9.3%
World total (rounded)		30,180,200	100.0%

Trade

Exports

• In 2024, Canadian exports of lithium oxide, hydroxide, and carbonates were minimal. Since 2020, exports of these products have fallen sharply, from 97,000 tonnes in 2018 and 41,000 tonnes in 2019. The decline happened after the Quebec Whabouchi mine and the North American Lithium mines were suspended because of falling global lithium prices. Although prices rose sharply in early 2022, sparking renewed interest in production, Canada has shifted toward exporting batteries rather than raw lithium products.
  • In 2024, Canada exported $1.1 billion worth of lithium primary (non-rechargeable) and lithium-ion batteries, nearly six times the $190 million exported in 2023. The United States received 97% of these exports, with 82% going to Michigan.
    • Export data for lithium ores and concentrates (spodumene) are not available.

Imports

• Canada is a net importer of lithium and lithium products. In 2024, imports of lithium oxide and hydroxide, as well as lithium carbonate, totalled $16.9 million—a 56% decrease from $38.7 million in 2023. The United States was the largest source of lithium oxide and hydroxide, accounting for 73% of imports, while Chile supplied 63% of lithium carbonate imports.
• Imports of lithium primary cell batteries (non-rechargeable) and lithium-ion batteries were valued at $117 million and $3 billion, respectively, in 2024, compared to $119 million and $1.6 billion in 2023. The United States was the dominant supplier, accounting for 72% of total lithium-bearing battery imports, followed by China at 29%.

Prices

Lithium carbonate spot prices have been volatile over the past decade, driven by soaring demand and a rapid influx of new lithium projects in response. In 2024, the annual average United States price for lithium carbonate under fixed contracts was $14,000 per tonne, a 66% drop from 2023.

A surge in lithium demand for use in electronics, EVs, and renewable energy storage pushed spot prices to US$24,000 per tonne in 2017. However, a surplus of new lithium projects reaching commercial production in 2017 and 2018 caused prices to decrease rapidly to US$12,000 per tonne by late 2018.

The oversupply was primarily fueled by the development of spodumene mines in Australia—two in 2017 and five in 2018. By the end of 2019, prices had fallen further to US$7,300 per tonne and by the close of 2020, they had dropped below US$5,000 per tonne.

Lithium carbonate prices rebounded sharply in 2021 to US$26,200 per tonne by November. A year later, they more than doubled to US$67,000 per tonne, driven by supply constraints and rising demand for EVs. Lithium hydroxide prices followed a similar trajectory, rising from US$35,300 per tonne in January 2022 to US$78,000 per tonne by November.

However, after this historic price surge, lithium prices declined steeply through 2023 and 2024. The decline was largely due to concerns about oversupply, the expiration of Chinese EV subsidies, and EV sales globally being weaker than expected.

Lithium supply security has become a priority for technology companies in Asia, Europe and North America. Strategic alliances and joint ventures are being established to ensure a reliable, diversified supply of lithium for battery suppliers and vehicle manufacturers.

Recycling

Lithium is infinitely recyclable, and with the rising adoption of EVs, recycling has been gaining momentum in Canada. British Columbia’s Toxco-Canada, a long-standing battery recycler since 1992, is the only facility in the world to offer both primary and secondary lithium battery recycling.

In 2019, a lithium battery recycler, Li-Cycle, began operations in Ontario and grew its capacity to recycling and processing up to 5,000 tonnes of used lithium-ion batteries per year in 2020. However, Li-Cycle filed for bankruptcy in May 2025 and has ceased production. In 2024, Lithion built its first commercial plant in Saint-Bruno-de-Montarville, near Montréal. Several other companies, including Electra Battery Materials and Stelco, also have plans to recycle lithium-ion batteries in Canada.