Australia Lithium Production to Reach 120,300 Tonnes in 2026, Up 6%

AI Summary

Australia is projected to produce 120,300 tonnes of lithium in 2026, marking a 6% increase from its 2025 output of 113,500 tonnes. This growth follows a 1.8% increase in 2025, primarily due to the ramp-up of Liontown Resources’ Kathleen Valley project and SQM’s Mt Holland project. However, the industry has faced challenges with weak spodumene prices leading to operational cuts from companies like PLS Group Limited and Mineral Resources. The Australian Government is promoting this sector through the Critical Minerals Strategy, offering a 10% production tax incentive to boost investment.