Lithium Prices Climb as the Market Tightens

After a prolonged downturn, lithium prices have turned a corner. Battery-grade lithium carbonate climbed from roughly US$8 per kilogram in May 2025 to more than US$25 per kilogram by May 2026, as demand outpaced new supply coming online. Fastmarkets and BMI both project the global lithium market will move into a supply deficit in 2026 — estimates range from roughly 22,000 to 80,000 tonnes — with elevated prices expected to persist through 2027 as the market works to attract the investment needed for the next wave of production.

Price cycles in lithium have been sharp in both directions before, and we don't treat any single forecast as certain. But a market moving from oversupply toward deficit is the environment in which new, de-risked, capital-efficient production — the kind NeoLithica is designed to deliver — is best positioned to compete.

Source: "Q1 2026 Lithium Market: Prices Double Amid Supply Strain"