I recently reviewed some data. In December last year, the average battery capacity per new energy vehicle reached 69.1kWh, an 18.1% increase month-over-month. For the entire year, the average battery capacity from January to December was 55.2kWh, a year-over-year growth of 18.8%. Behind what seems like a moderate growth, there are actually many opportunities.

Some predict that the demand growth for lithium mines this year will likely exceed 30%. I believe there are several supporting points for this judgment.

**First Signal: The battery capacity per electric vehicle is increasing rapidly.** The penetration rate of new energy vehicles is growing slowly, and sales growth is also slowing down, but there is a key point — the battery capacity per vehicle is continuously rising. In other words, each car is consuming more lithium. Based on this trend, it is hopeful that the demand for lithium from power batteries will maintain a growth rate of 20%-30% by 2026.

**Second Signal: Electric heavy trucks are about to explode.** This is not just talk; data has already verified it. The total lifecycle cost of electric heavy trucks is significantly lower than that of fuel-powered heavy trucks, making the economic case clear. Additionally, the trend of mine automation and unmanned operations is accelerating. Companies like Huawei are integrating autonomous driving systems, which can double efficiency — tasks that previously required several workers for half a day are now handled by machines running 24/7. An impressive figure here: the battery load of one electric heavy truck is equivalent to the total battery capacity of 30-50 passenger cars. Selling 10,000 heavy trucks would mean selling the battery capacity of 300,000 to 500,000 small cars. This multiple is astonishing.

**Third Signal: Electric ships are just beginning.** Currently, many experimental and demonstration electric ships are operating on inland waterways. At present, their costs still cannot match those of fuel-powered ships, but technological iteration is progressing extremely fast. State-owned enterprises and private companies are competing for projects and participating in R&D. Autonomous navigation systems for ships are also advancing rapidly. Multiple subsidiaries of COSCO Group are involved in the development of inland waterway ship automation, with a noticeable increase in papers and patents. Leading battery manufacturers like CATL have already entered the shipping sector.

With three tracks accelerating simultaneously, the combined effect could lead to lithium demand growth exceeding expectations.