Mercedes-Benz to supply 10K tons of lithium from Rock Tech

In its newest daring transfer to lock up uncooked supplies for electrical automobiles, Mercedes-Benz is asserting a brand new cope with Rock Tech Lithium for 10,000 tons of battery-grade lithium yearly.

Finest identified for its luxurious German automobiles, Mercedes is nice at elevating the bar for what an vehicle can do. Now, the automaker is shifting shortly to safe its future place within the auto market.

As demand for EVs continues rising at file ranges, automakers from all corners of the globe are pouring billions to catch first mover Tesla. Tesla nonetheless controls 68% of the EV market, however its lead is slipping as automakers set their sights on an electric-only future.

Since President Biden signed the Inflation Reduction Act (IRA) into regulation final week, North America is turning into a sizzling spot for EV manufacturing.

An enormous a part of the invoice contains tax credit for electrical automobiles. Nevertheless, for automakers’ EVs to be eligible, the IRA outlines particular circumstances that should be met. For one, the supplies should be sourced, and the car must undergo closing meeting in america or its fair-trade companions.

A number of international automakers which might be disregarded of the deal wish to be sure that their EVs qualify. For instance, Hyundai is reportedly speeding up the timeline to make its IONIQ EV collection on US soil.

And Tuesday, we’re listening to extra huge information from throughout the pond. In accordance with Automotive Information Europe, two German auto producers are shifting shortly, signing deals for raw materials to be sourced in Canada.

Volkswagen is working to simplify its provide chain to ramp battery manufacturing and keep away from US tariffs and laws. In the meantime, Mercedes is working with fellow European automaker Stellantis to construct a complete of eight battery crops.

With its new lithium settlement, Mercedes will get one step nearer to its objective of an all-electric lineup by 2030.

Mercedes secures 10,000 tons of lithium yearly, beginning in 2026

Mercedes signed a binding settlement with Rock Tech to offer battery-grade lithium for its EV fashions. As a part of the deal, Rock Tech will ship 10,000 tons of lithium hydroxide a yr, beginning in 2026.

The companions launched the information Tuesday as German Chancellor Olaf Scholz visited Canada. Rock Tech is a Canadian mining firm specializing in extracting lithium to fill the provision hole. The lithium miner plans to function a mine in Georgia Lake, Canada, and can also be creating its first lithium hydroxide converter in Germany.

With Mercedes planning to solely launch EVs after 2025, the brand new deal will probably be important for battery minerals because the german automaker ramps manufacturing.

Maybe, extra importantly, it might assist US patrons trying to purchase a Mercedes and nonetheless get the tax credit score. For instance, Mercedes is launching the EQB, a small electrical SUV, beginning at $55,000.

The brand new lithium deal reveals Mercedes is prepared to do what it takes to realize market share within the fast-growing EV market.

Electrek’s Take

Not solely is that this nice information for Mercedes, but it surely’s additionally excellent news for Mercedes followers in america. With EV choices below the present tax credit score threshold (just like the EQB), Mercedes is probably going concentrating on US patrons trying to get the credit score.

The german automaker’s settlement with Rock Tech is the most recent information of international automakers shifting to safe supplies and construct EVs in North America.

Hyundai, Volkswagen, and Mercedes are quickly making offers to safe their EV market share in america and globally. It’s thrilling to observe auto manufacturing make its manner again to america in what appears to be like to be the brand new pattern.

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