Ahead of the US
When it comes to producing and processing clean energy metals China is leading the world. This means that China is very well placed to both lead and profit from the green energy pivot that we are seeing across the world. Furthermore, the US is far behind China and that has caused the Biden administration to launch an executive order to review the American strategy for green energy materials.
The metals in demand
First of all here are the materials in demand below. The key is at the bottom of the International Energy’s Chart.
The pivot towards electric vehicles and clean energy technologies is going to result in signifiant demand over the medium term for Copper, Nickel, Cobalt, Lithium and rare earths. Lithium demand is expected to double now between 2020 and 2030. Depending on exactly how the emerging green tech develops there could be a significant increase in demand for all these metals.
China leads the way in processing clean energy metals
The majority of these major metals are processed in China. Nearly half of all copper is processed in China and the majority of Cobalt, Lithium, and Rare earths are too. See chart below:
According to many analysts China is on course to exceed the US economy by 2030. In the race to secure the raw materials for the green energy revolution China is leading the way. In fact this strong lead could be a key moment for China. Remember that China may be at a perfect time for fresh investment.