BEIJING, Feb 26 – Global lithium prices surged sharply after Zimbabwe announced an immediate suspension of exports of all raw minerals and lithium concentrates, a move that has intensified concerns about supply disruptions in the rapidly growing energy storage market.
The most actively traded lithium carbonate contract on the Guangzhou Futures Exchange rose 6.07 percent to 178,020 yuan ($26,043) per metric ton, after earlier climbing more than 9 percent during the trading session. The rally reflects heightened market sensitivity to supply risks as lithium demand accelerates globally.
Zimbabwe, Africa’s largest lithium producer, exported approximately 1.128 million tons of spodumene concentrate in 2025, marking an 11 percent increase from the previous year. The majority of these exports were shipped to China, where lithium is processed for use in batteries powering electric vehicles and large-scale energy storage systems.
The export suspension is expected to tighten global supply chains, particularly affecting Chinese mining and processing firms that have made substantial investments in Zimbabwe’s lithium sector. Companies such as Zhejiang Huayou Cobalt and Sinomine Resource Group have played key roles in expanding lithium production capacity in the country.
The policy shift aligns with Zimbabwe’s broader strategy to encourage domestic mineral processing and capture greater economic value from its natural resources, rather than exporting raw materials.
The price surge also comes amid rising global demand for lithium, driven by accelerating investment in electric vehicles and renewable energy storage infrastructure. Since the second half of 2025, lithium prices have been on an upward trajectory as expectations of a long-term energy transition continue to strengthen.
Zimbabwe’s decision underscores Africa’s growing influence in critical mineral supply chains and highlights the continent’s strategic importance in the global transition toward clean energy technologies.
