MercoPress. South Atlantic News Agency

Argentina: Lithium producers foresee prosperous 2026

Argentina's total capacity could reach 428,000 tons by 2033, it was explained

Argentine lithium producers have expressed optimism towards 2026 after the mineral's global market showed strong signs of recovery, with major financial institutions and industry bodies projecting a significant price rebound and a massive production surge over the next two years.

According to a recent report by JP Morgan, lithium prices are expected to rise sharply due to the acceleration of Artificial Intelligence (AI), global vehicle electrification, and energy security needs. With a current price of around US$13,550 per ton, traders forecast US$17,500 per ton in 2026, a 43% increase, and US$22,000 per ton in 2027, a 66% increase from present levels.

The Argentine Chamber of Mining Companies (CAEM) reports that Argentina is positioned to become a dominant global supplier, targeting 131,000 tons of lithium production for 2025, a 75% increase from 2024, fourfold the historical average of the 2015–2022 period.

Additionally, exports are expected to reach nearly US$1 billion in 2025, a 44% yoy increase.

The surge is fueled by new plants coming online (Centenario Ratones, Sal de Oro, and Mariana) and expansions of existing projects in Catamarca, Salta, and Jujuy.

The International Energy Agency (IEA) has warned of a possible 60% lithium deficit by 2035. Furthermore, global demand is projected to be five times higher by 2040 compared to current levels.

Mining projects typically take over 16 years to move from discovery to production, making Argentina’s current operational capacity highly strategic, it was also explained.

In the last decade, mining companies have invested over US$7.6 billion in Argentina, establishing seven production plants and creating more than 5,000 direct jobs in the northwest region. Projections suggest that Argentina's total capacity could reach 428,000 tons by 2033, solidifying the country's role alongside Chile and Bolivia, which together make up the so-called “Lithium Triangle.”