German media: China is leading in battery recycling and reuse, and two-thirds of the growth in global battery recycling has been achieved by China. Special metals needed for electric vehicles have long been considered a bottleneck for industry development. However, latest data shows that prices of relevant metals in international markets are declining significantly. This seems to be good news for electric vehicle buyers, but things are not so simple. Although the demand for critical raw materials like cobalt, lithium, and graphite for electric vehicle production remains strong, their prices continue to decline. The report released by the International Energy Agency (IEA) shows that major producing countries of the above raw materials, such as China, Indonesia, and Congo, have significantly increased their output. Between 2021 and 2022, the price of lithium once surged eightfold, but since 2023 it has fallen back by more than 80%. At the same time, the prices of graphite, cobalt, and nickel are also on a downward trend. The IEA's report points out that the significant growth in market supply is mainly attributed to three countries: Congo increased its cobalt production, Indonesia provided more nickel, and China increased its output of graphite and rare earth elements. The dominant position of the above three countries in the global raw material mining sector has thus been further consolidated. The IEA stated: "The market share of the above three major exporting countries in the field of key energy minerals has risen from 73% in 2020 to 77% in 2024." However, countries such as Argentina and Zimbabwe are also becoming emerging lithium-producing nations. Vulnerable supply chains Experts at the IEA warned that under crisis scenarios, the high concentration of certain raw material markets could cause serious impacts on global buyers, with European buyers being the worst off. Potential crisis scenarios include extreme weather events, technical failures, or trade barriers. The IEA simulated a 2035 scenario: if the main supplier of a certain rare earth element or battery metal were to stop shipments, on average half of the global demand would go unmet. In such a situation, the impact on the industrial sector could be catastrophic and would lead to sharp increases in local electric vehicle battery prices. Currently, China not only plays a leading role in the extraction and processing of many minerals but also leads in recycling and reuse. Since 2020, two-thirds of the growth in global battery recycling has been achieved by China. Source: Deutsche Presse-Agentur Original article: https://www.toutiao.com/article/1832751495854091/ Disclaimer: This article solely represents the views of the author.