Chile-based Sociedad Química y Minera (SQM), world’s second-largest lithium producer, has reported a 27% jump in lithium sales volumes year-on-year in the first quarter of 2025, as market oversupply persists.
The company’s revenue in the reporting quarter amounted to $1.04 billion, just slightly lower than in the same period of last year, despite lithium prices hovering around 4-year lows. SQM said prices reported for the first three months were similar to the prior quarter, but downward pressures could lead to “a slightly lower” average sales price in the second quarter, Bloomberg reported with a reference to the company.
The company has also posted a first-quarter net profit of $137.5 million, rebounding from a loss of $869.5 million a year earlier.
SQM operates mines in Chile and Australia and has a processing plant in China. In an oversupplied market, it capitalizes on its lower-cost operations to ramp up production and win over market share.
“In Chile we continue working to reach a total capacity of 240 000 metric tons of lithium carbonate and 100 000 metric tons of lithium hydroxide,” SQM CEO Ricardo Ramos said.
“All of this while we continue to process lithium sulfate in China.”
Theodor Lisovoy, Managing Editor, Rough&Polished
