Working Paper #2024-021
The Investment Landscape in the Lithium Triangle: Implications for the EU’s Critical Raw Materials Act Agenda
This paper explores the role of the Lithium Triangle—comprising Argentina, Bolivia, and Chile—in the global supply of lithium, a critical raw material for the energy transition, including for the European Union (EU). Understanding the investment landscape in the Lithium Triangle is vital for the EU’s ambitious green agenda. The paper provides an overview of how the production capacity of the Lithium Triangle is meeting the growing global demand. It analyses the regulatory frameworks, market dynamics, investment drivers, and bottlenecks. Additionally, it examines how this landscape aligns with the EU’s ambitions to secure access to lithium. The findings indicate that, while the region holds significant potential to support the EU’s green transition, the EU’s marginal involvement as an active investor potentially risks future access. Further risks stem from growing firm concentration, environmental concerns, and regulatory uncertainties.
- Keywords
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- Energy Transition
- Mining
- Lithium
- Investment
- Critical Raw Materials Act
- JEL codes
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- F21
- L70
- O13
- Q40
Cite this as
APA 7th ed.Calzada Olvera, B., & Vergara-Fernández, M. (2024). The Investment Landscape in the Lithium Triangle: Implications for the EU’s Critical Raw Materials Act Agenda (UNU-MERIT Working Paper No. 2024-021). UNU-MERIT. https://unu-merit.nl/publications/working-papers/abstract/?id=9812