Albemarle may close German plant if EU declares lithium hazardous – Reuters

Albemarle Corp.'s Langelsheim plant in Germany may shut down if the EU declares lithium a hazardous material, CFO Scott Tozier told Reuters.

While lithium was deemed critical to achieving the bloc's emissions reduction goals, the European Commission is assessing a proposal by the European Chemicals Agency to classify lithium carbonate, chloride and hydroxide as dangerous for human health, Reuters reported June 7.

The proposal, if passed, will not ban lithium imports, but it will increase processing costs due to stricter rules covering processing, packaging and storage, according to the report.

"Albemarle would no longer be able to import our primary feedstock, lithium chloride, putting the entire [Langelsheim] facility in jeopardy of closure," Tozier told Reuters in an emailed statement. "With sales of approximately $500 million annually, the economic impact to Albemarle from the potential closure would be significant."

A final decision on the European Chemicals Agency's proposal is expected by the end of 2022 or early 2023, Reuters reported.

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