Driving Demand: Assessing the impacts and opportunities of the electric vehicle revolution on cobalt and lithium raw material production and trade

The document examines how developing countries can leverage the electric vehicle (EV) battery boom, specifically regarding lithium and cobalt. It highlights Chile's potential for revenue generation and value addition and the Democratic Republic of the Congo's risk of overinvestment due to its cobalt monopoly. The brief argues that capturing value requires coordinated policy, stakeholder engagement, and the reinvestment of revenues into infrastructure and governance.

• Lithium demand is projected to increase over the coming decades, whereas the cobalt market is expected to tighten due to the mineral's toxicity and associated environmental, social, and governance issues.
• Chile possesses 50% of global reserves, offering opportunities for value addition and revenue, provided there is policy coordination and local stakeholder engagement to meet development goals.
• The Democratic Republic of the Congo faces a significant risk of overinvestment because it holds a virtual monopoly on global cobalt supply; the brief suggests reinvesting revenues into education, governance, and basic infrastructure.

APA

Loyola,, R. B. B. M. M. (2021). Driving Demand: Assessing the impacts and opportunities of the electric vehicle revolution on cobalt and lithium raw material production and trade. International Institute for Sustainable Development. https://www.iisd.org/publications/electric-vehicle-cobalt-lithium-production-trade

Chicago

Loyola,, Richard Bridle,Christophe Bellmann,Mostafa Mostafa,Tom Moerenhout,Vicente. Driving Demand: Assessing the impacts and opportunities of the electric vehicle revolution on cobalt and lithium raw material production and trade. International Institute for Sustainable Development, 2021. https://www.iisd.org/publications/electric-vehicle-cobalt-lithium-production-trade.

Wikipedia

{{cite report |last1=Loyola, |first1=Richard Bridle,Christophe Bellmann,Mostafa Mostafa,Tom Moerenhout,Vicente |title=Driving Demand: Assessing the impacts and opportunities of the electric vehicle revolution on cobalt and lithium raw material production and trade |publisher=International Institute for Sustainable Development |date=21 July 2021 |url=https://www.iisd.org/publications/electric-vehicle-cobalt-lithium-production-trade |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{loyola2021driving, author = {Loyola,, Richard Bridle,Christophe Bellmann,Mostafa Mostafa,Tom Moerenhout,Vicente}, title = {{Driving Demand: Assessing the impacts and opportunities of the electric vehicle revolution on cobalt and lithium raw material production and trade}}, institution = {International Institute for Sustainable Development}, year = {2021}, month = jul, url = {https://www.iisd.org/publications/electric-vehicle-cobalt-lithium-production-trade}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }