Post by
Loony on Apr 13, 2024 4:07pm
Biden's Inflation Reduction Act= No EV Minerals to China?
https://electrek.co/2024/02/08/this-1b-ev-nickel-plant-will-be-north-americas-largest/
Most metals extracted from mines in North America are shipped to China for processing and then returned to North America for domestic automakers to use them in their EVs.
Still, the price of nickel has dropped considerably in recent months as the market is flooded by fresh supply from Indonesia, sparked by Chinese investments and “technological breakthroughs,” according to Bloomberg. Nickel mines around the world are at risk of shuttering, with some asking for bailouts or filing for bankruptcy.
Still, Selby told Bloomberg that he expects demand for North American nickel to soar in the push for domestic sources of battery metals.
“Nickel has always been seen as a strategic metal,” said Selby. “Given the current state of geopolitics, and the Chinese control of Indonesian resources, becoming solely dependent on Indonesia and China for nickel, I don’t think a lot of end-users and governments here will want that.”
Electrek’s Take
Biden’s Inflation Reduction Act has funneled huge investments into building batteries and other materials in the US, with 14 battery plants under construction in the country – all with the hopes of building a domestic supply chain and reducing dependency on China.