On April 20th, it was announced that on April 19th, local time, the Chilean state-owned company CORFO announced on its official website that it has granted BYD Chile the status of a qualified lithium producer, so that it can obtain preferential prices for battery-grade lithium carbonate quotas.
According to CORFO, BYD’s “BYD Chile Lithium Cathode Plant” project in Antofagasta, Chile will receive a supply of 11,244 tons per year from SQM Salar until 2030. The plant aims to produce 50,000 tons of LiFePO4 (lithium iron phosphate battery) material per year and requires an investment of at least $290 million. The factory is expected to start production by the end of 2025 and create 500 jobs during the construction phase.
CORFO states that BYD Chile is the first company in the country to provide electric buses for urban public transportation, as part of the government’s public policy to promote electric vehicles. Chile’s fleet of electric buses is the largest in Latin America, marking a milestone in the electrification of zero-emission public transportation using lithium-ion batteries.
Furthermore, as the price of lithium carbonate continues to rise, BYD is expected to enhance its competitiveness in the automotive battery industry by obtaining favorable prices for raw materials in Chile. According to relevant research data, 58% of the world’s lithium resources are concentrated in the South American “lithium triangle”. Bolivia has 21 million tons, Argentina has 19.3 million tons, Chile has 9.6 million tons, while China has only 5.1 million tons.
