Cobalt, Lithium Oversupply To Slow Down EVs Sales By 25% — BMO

A glut of minerals used to power electric vehicles (EVs), particularly cobalt and lithium, is expected to slow down the EV adoption by between 15% to 25% through 2021, even as larger batteries are being developed, experts at BMO Capital Markets say.

The bank has also lowered its anticipated global light vehicle penetration to reflect a 7% drop in electric cars sales this year to the end of July.

BMO now estimates that total global light EVs sales will drop by 8 million this year, totalling 90 million. By 2025, they will only reach 103 million, instead of the 110 million units previously forecasted.