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As the UK accelerates toward its 2050 net zero target, the spotlight is turning toward the foundational materials driving the green transition—none more critical than lithium.
From powering electric vehicles to storing renewable energy, lithium-ion batteries are central to decarbonising transport and energy systems. Yet, while demand is soaring, the UK remains almost entirely dependent on international supply chains for refined lithium. In a time of growing geopolitical tension, export bans, and market volatility, this reliance presents a significant strategic vulnerability.
At Tees Valley Lithium, we believe domestic refining capacity is no longer optional—it is essential for the UK’s clean energy future. Addressing the Bottleneck in the Battery.
Supply Chain
Lithium itself is not scarce. It is mined in regions such as Australia, South America, and parts of Africa. However, the true pinch point lies in refining—transforming raw lithium into battery-grade lithium hydroxide or carbonate, the form required for high-performance electric vehicle batteries.
Today, more than 90 percent of the world’s lithium is refined in East Asia. Even when mined in stable, allied nations, the raw material often travels thousands of miles for processing before being shipped again to European manufacturers. This not only embeds unnecessary emissions into the supply chain but also leaves countries like the UK exposed to price fluctuations, trade disruptions, and delays.
The Urgent Need for UK Capacity
The UK has committed to ending the sale of new petrol and diesel cars by 2035, with a rapid transition to electric vehicles already underway. According to the Faraday Institution, domestic demand for battery-grade lithium could exceed 70,000 tonnes per year by 2030. At present, there is no large-scale refining capacity in the UK to meet this need.
Without the ability to process lithium on home soil, the UK risks missing out on the economic, strategic, and environmental benefits that come from localised, value-added production.
Tees Valley Lithium: A National Asset in the Making
Our facility at Wilton International in Teesside is being developed to address this gap. Once operational, it will be one of the first independent lithium hydroxide refineries in Europe.
Tees Valley Lithium will:
- Provide a secure and reliable supply of battery-grade lithium to UK and European gigafactories
- Reduce carbon emissions by shortening transport routes and using cleaner processing technologies
- Create high-value employment and investment in the North East of England
- Support the UK’s Critical Minerals Strategy and strengthen domestic supply chain resilience
Building a Net Zero Economy from the Ground Up
The green transition requires more than pledges. It requires industrial action and infrastructure that reflects the urgency and scale of the challenge. Domestic lithium refining offers the UK an opportunity to lead, not follow, in the race toward sustainable transport and energy systems.
At Tees Valley Lithium, we are proud to be building that foundation. By anchoring critical mineral processing in the UK, we are not just refining lithium—we are refining the future.
