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As Carmakers Invest More In Environmentally Conscious Materials, Supply Of Key Material Chinese Phosphate Is At Risk
(NewsDirect) As the market for electric vehicles (EVs) expands , there is an ev...
About this update from Arianne Phosphate Inc.
[{"type":"text","content":"As Carmakers Invest More In Environmentally Conscious Materials, Supply Of Key Material Chinese Phosphate Is At Risk\n \n \n (NewsDirect)\n \n \n As the market for\nelectric vehicles (EVs)\n \n \n expands\n \n \n ,\nthere is an ever-growing need to develop cost- and energy-efficient\nbatteries.\n \n \n For\ndecades, companies — North American companies in particular —\nplaced their bets on lithium-ion batteries, which rely heavily on\nlithium, cobalt and nickel.\n \n \n Due to concerns ranging from supply chain troubles\nto cost and efficiency, engineers and companies are now turning away\nfrom cobalt- and nickel-based lithium-ion batteries in favor of\nlithium iron phosphate (LFP) batteries. Cobalt and nickel are scarce,\nexpensive and controversial raw elements to mine compared to\niron-phosphate chemistry.\n \n \n According to a recent research report by Wood Mackenzie on\npower and renewables, lithium iron phosphate is on course to be the\n \n \n leading\nbattery chemistry for EVs by 2028\n \n \n , replacing their nickel and\ncobalt-based lithium-ion predecessor. LFPs are safer, less expensive\nthan alternatives and last longer.\n \n \n China has long been investing in the LFP market.\nToday,\n \n \n 44%\nof EVs sold in China use LFP batteries compared to 3%\n \n \n in the\nU.S. and Canada. China currently has 95% of LFP cell production and\nalso has access to a large percentage of the raw materials needed to\nmanufacture LFP batteries. The industry in the country has benefitted\nfrom low-cost manufacturing processes, abundant raw materials and poor\nenvironmental governance.\n \n \n However, as\nmore countries invest in LFPs, there will be a need for LFP production\noutside of China. This is especially true for Western carmakers that\nhave environmental concerns.\n \n \n Why Chinese LFP Production Might\nBe Unsustainable\n \n \n LFP batteries use phosphoric acid, a byproduct of phosphate\nore. Phosphate can be processed into phosphoric acid in two ways: the\nwet process or the pyrogenic (Turner) process.\n \n \n China\ncurrently uses the Turner process.\n \n \n \n \n The Turner process is power- and\nwaste-intensive. While the wet process has a historically higher cost,\nit is preferred in the Western world because it is more\nenvironmentally conscious. Another major difference between the\nprocesses is the we...