China's Ministry of Natural Resources announced on Wednesday that the measured and indicated lithium reserves in the country have increased significantly, rising to account for 16.5% of all global resources from the previous 6%.

This leap positions China as the second largest holder of lithium resources worldwide, trailing only Chile. The breakthrough results from significant discoveries along the 2,800-kilometer-long West Kunlun-Songpan-Ganzi lithium belt in the country's western swathes.

And, advances in lithium extraction from salt lakes and lithium mica have also contributed to the increase in determined reserves, Chinese media reported.

Extracting lithium from salt lake brine, known for its low cost and reduced environmental impact, resulted in substantial lithium resource growth in the broad Qinghai-Tibet Plateau. The development positions China as the world's third largest salt lake lithium resource hub, following the lithium triangle in South America and the US' western region.

China has overcome previous technological hurdles in extracting lithium from mica, resolving issues like high extraction cost and complex processing requirement. The tech innovations have enhanced resource exploration efficiency and economic feasibility, opening up new opportunities for lithium exploration.

Analysts said that the tech advancements have alleviated China's tight lithium supply, and contributed to stabilizing the global lithium market too.

China plays a crucial role in lithium extracting technology and high-end lithium battery production. Official data shows that China's lithium-ion battery industry has seen robust growth between January and October 2024, with national battery production hitting 890 GwH, up 16 percent year-on-year.  During the same period, over 200 GwH of energy storage lithium-ion batteries were produced, and the country's battery installations for new energy vehicles reached approximately 405 GwH.

（Picture: Veer）