Chile: Regulator thrust into global lithium battle

Tiny Chilean regulator was been landed with a global battle for lithium, which may decide a winner as it reviews a petition to block Chinese firms from buying a stake in top producer SQM, reported Reuters.

The scramble for lithium, used in rechargeable batteries for mobile phones to electric vehicles, is pitting the Chilean government against China and, potentially, the independent regulator against the Latin American country’s new business-friendly government.

The National Economic Prosecutor’s office, known by its Spanish initials FNE, is set to review the sale by Canada’s Nutrien of a 32% stake in Santiago-based SQM for more than $4 billion to Chinese bidder Tianqi Lithium or any state-backed firm. Chile’s development agency Corfo said in a complaint on March 9 that the transaction would “gravely distort market competition.”

Together, Tianqi and SQM, the world’s second biggest lithium producer after US-based Albemarle, would control 70% of the global lithium market, the document said.

Full Content: Reuters

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