Who is the Biggest Producer of Lithium in 2024? A Global Supply Chain Analysis

The race for lithium production dominance has intensified as electric vehicle adoption accelerates worldwide. With battery demand projected to surge over 30 percent in 2025, understanding which nations lead this critical sector becomes essential for tracking EV supply chains and energy storage investments.

The Global Lithium Boom: Demand Outpacing Supply

Lithium production reached 240,000 metric tons of lithium content in 2024, up sharply from 204,000 MT in 2023. This 18 percent jump reflects the urgency of the battery revolution. About 80 percent of mined lithium goes directly into battery production, with the remainder supporting ceramics, glass, and industrial greases. The International Energy Agency forecasts that battery metals including lithium will require up to 150 new factory installations and US$116 billion in investment by 2030 to prevent supply shortfalls.

Despite a volatile 2024 marked by a 22 percent price collapse due to oversupply, market fundamentals remain strong. Production cuts could trim the surplus from 84,000 to 33,000 metric tons, while China’s record EV sales and strong global demand for grid storage systems continue pushing lithium requirements higher.

Australia: The Uncontested Global Leader

Who is the biggest producer of lithium? Australia claims the crown with 88,000 metric tons of output in 2024, though this represents a slight 4 percent decline from 2023’s 91,700 MT. The country’s dominance stems from world-class hard-rock mining operations, particularly the Greenbushes complex operated by Talison Lithium—a joint venture among Albemarle, Tianqi Lithium, and IGO.

Greenbushes, running continuously for over 25 years, houses four spodumene concentrate plants with combined annual capacity exceeding 1.5 million metric tons. The Mount Marion operation, jointly owned by Mineral Resources and Ganfeng Lithium, adds another 600,000 MT of annual processing capability. Australia holds 7 million MT in JORC-compliant reserves, positioning it behind only Chile. Notably, most Australian lithium exports flow to China as spodumene concentrate.

The Runner-Up: Chile’s Brine Advantage

Chilean lithium production surged to 49,000 metric tons in 2024, representing a 127 percent climb since 2020 when output sat at just 21,500 MT. This trajectory makes Chile the second-largest producer globally. The fundamental difference: while Australia extracts lithium from hard rock, Chile sources it from salt flat brine deposits.

The Salar de Atacama salt flat generates roughly half the revenue for SQM, while Albemarle operates adjacent brine operations. Recent government moves to gain controlling stakes through state-owned Codelco signal Chile’s intent to capture greater value from its lithium resources. Meanwhile, major energy companies including Exxon Mobil and SLB have begun exploring extraction opportunities, betting that lithium investments will reshape their business portfolios.

China: Demand Driver and Third-Place Producer

China produced 41,000 metric tons of lithium in 2024, capturing third place with near 15 percent year-on-year growth. More significantly, China dominates processing—controlling two-thirds of global lithium-ion battery manufacturing and most refining capacity worldwide.

The nation’s consumption vastly exceeds its own production, driving aggressive sourcing from Australia. However, a January 2024 discovery of a million-metric-ton deposit in Sichuan Province signals China’s commitment to reducing import dependence. Recent lithium exploration has boosted official reserves to 3 million MT, though the China Geological Survey claims holdings may exceed 30 million MT, suggesting reserves could be substantially higher than previously disclosed.

Emerging Players: Zimbabwe and Argentina Accelerate

Zimbabwe’s lithium production exploded to 22,000 metric tons in 2024—a 47 percent jump from 2023’s 14,900 MT and exponential growth from mere 800 MT in 2022. The nation’s ban on raw lithium exports, implemented in December 2022, aims to develop domestic battery-grade processing capacity. Chinese firms including Sinomine have aggressively acquired stakes in Zimbabwe’s Bikita and Arcadia mines, while Tsingshan Group plans lithium processing infrastructure at Sandawana.

Argentina’s lithium production more than doubled year-on-year to 18,000 metric tons, building on the country’s position within the lithium triangle alongside Bolivia and Chile. With 4 million MT in reserves sufficient for 75+ years of extraction, Argentina boasts immense untapped potential. Rio Tinto’s pending acquisition of Arcadium Lithium, combined with its Rincon brine project targeting 60,000 MT annual capacity by 2028, positions Argentina for potentially tenfold production growth by decade’s end.

Supporting Producers: Brazil, Canada, Portugal, and the United States

Brazil’s lithium production nearly doubled to 10,000 metric tons in 2024, with government plans allocating over US$2.1 billion through 2030 to expand capacity. The Lithium Valley Brazil initiative targets the Jequitinhonha Valley’s four publicly listed producers. Notably, Chinese EV manufacturer BYD has entered mining, acquiring lithium-rich land in Minas Gerais state.

Canada output reached 4,300 metric tons in 2024, up 32 percent annually. Direct lithium extraction projects in Alberta and Saskatchewan receive government backing through the C$1.5 billion Critical Minerals Infrastructure Fund. The nation earned top ranking in BloombergNEF’s 2024 lithium-ion battery supply chain assessment.

Portugal maintained 380 metric tons of production, unchanged from 2023 but down from 900 MT in 2021. Savannah Resources delayed its Barroso project—Western Europe’s flagship lithium mine—until 2027 due to environmental approvals, though the project remains central to EU battery self-sufficiency goals.

The United States withheld 2024 figures to protect proprietary data, with output confined to Nevada brine operations (likely Albemarle’s Silver Peak) and Utah industrial tailings. Major projects including Lithium Americas’ Thacker Pass, Piedmont Lithium’s hard-rock venture, and Standard Lithium’s Arkansas operation remain under development.

The Outlook: Supply Chain Restructuring Ahead

Lithium production will grow at 7.2 percent annually through 2035 as EV adoption and stationary energy storage reshape global mineral flows. Australia maintains leadership, but competitive pressures from Chile, emerging African suppliers, and expanding Western capacity signal accelerating supply chain diversification. With geopolitical tensions and tariff uncertainties complicating North American dynamics, the race for lithium dominance will define battery availability and EV affordability for the next decade.