According to a research report by CITIC Construction, Zimbabwe's ongoing export ban on lithium concentrate is escalating, with no clear timeline for its repeal. Should the suspension persist for an extended period, it is anticipated to constrain the domestic supply of lithium raw materials in the second quarter. Furthermore, the strained overseas energy supply, compounded by the remote locations of mines, has resulted in diesel shortages. This, in turn, will hamper the operation of mining equipment and power supply, introducing additional uncertainties to an already tight lithium supply scenario.

On the demand front, geopolitical conflicts have spurred an uptick in overseas demand for electric vehicles and energy storage solutions. It is projected that the annual demand for lithium batteries will continue to surpass initial expectations. Simultaneously, low industry inventory levels will magnify supply-demand fluctuations, providing a significant impetus for lithium price increases.