Argentina, the world’s fifth-largest lithium producer, is set to increase its lithium carbonate equivalent (LCE) production by 75% in 2025, reaching an estimated 130,800 metric tonnes. This growth will be driven by new operations in Salta and expansions in Catamarca and Jujuy, the northern provinces with the largest lithium mining activities, according to Alejandra Cardona, executive director of the Argentine Chamber of Mining Companies (CAEM). The country’s lithium industry is benefiting from significant investments and rising global demand for the critical metal.
Argentina currently has six active lithium operations. In 2024, four of these recorded production of 74,600 tonnes of LCE, a 62% increase from 2023 levels. The higher volumes were attributed to the expansion of Salar de Olaroz and the Fenix mine, along with ramp-up activities at Cauchari Olaroz. Additionally, production began at the Sal de Oro operation, which opened in October 2024. These developments highlight Argentina’s growing role in the global lithium market.
Lithium is a key component in electric vehicle batteries and renewable energy storage systems, making it essential for the clean energy transition. South America holds the world’s largest identified lithium resources within the “Lithium Triangle,” which spans Argentina, Bolivia, and Chile. Argentina’s proactive approach to attracting private investment has positioned it as a leader in lithium production growth. The country’s salt flats are among the richest lithium deposits globally.
Industry leaders remain optimistic about Argentina’s prospects despite potential challenges from U.S. trade policies under President Donald Trump. Jorge Mora of the International Lithium Association noted that China remains the largest consumer of lithium globally, insulating Argentina from significant impacts of U.S. tariffs. Roberto Cacciola, president of CAEM, added that while sectors like energy and agriculture may face temporary shocks, he does not foresee major consequences for mining.
Argentina’s economic direction under libertarian President Javier Milei has further bolstered investment confidence through tax incentives aimed at fostering growth in critical mineral production.
