China’s BYD Takes Next Steps on $290 Million Lithium Project in Chile

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EV and battery-makers are facing tight markets for raw materials and have started funding more mining and processing projects to lock in future supplies. Photo: Bloomberg

(Bloomberg) — Chinese electric-car juggernaut BYD Co. Ltd. is deploying an engineering team as part of a project to start processing lithium in Chile, home to the world’s biggest reserves of the metal that’s a key component in EV batteries.

The move is part of plans by BYD, already the world’s second-largest battery-maker, to build a $290 million lithium cathode factory in northern Chile. Most of the company’s processing has been concentrated in China, so moving into the South American country will allow it more strategic access to the lithium reserves.