4 FAQs about Chile battery testing

Can Chile develop a battery industry beyond mining?

The onshoring of battery production beyond mining would enable Chile to develop an industry to supply the BEV transition and to reap more economic value out of domestic mineral resources. As of July 2024, however, there have been no announcements of battery production facilities in Chile (BMI, 2024c).

How big is battery demand in Chile?

Total battery demand from battery and plug-in hybrid electric vehicles in Chile is estimated to rise from 0.5 GWh in 2024 to 13.0–17.8 GWh in 2030 and to 27.7–38.0 GWh in 2035, depending on the development of average battery sizes of light-duty vehicles.

Can Chile develop a battery recycling industry?

To spur the development of a domestic battery recycling industry, Chile can follow the lead of the European Union in developing a comprehensive battery recycling regulation. The EU Battery Regulation includes mandatory mineral recovery rates and provisions requiring a minimum share of recycled content in new batteries.

Why are lithium batteries produced in Chile?

However, producing batteries in Chile has several advantages over production in other regions, including inexpensive lithium production with a low GHG footprint, a comparably high share of renewables in the electricity mix, and existing favorable trade agreements with major vehicle producing countries.

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