Yellen said Chile's lead copper output was crucial since demand is expected to treble by 2035 for electric vehicles, offshore wind turbines, and transmission networks.
With 30% of global market share and the highest lithium reserves, Chile is the second largest producer of lithium, which is predicted to triple in demand by 2030 due to its role in energy storage, such as EV batteries.
Critical minerals from Chile qualify for clean car tax credits under the Inflation Reduction Act, which Yellen said will promote industries in both nations due to Chile's 20-year-old free trade relationship with the US.
A production site in Salar de Atacama and a conversion factory in La Negra employ 1,000 people, she noted, demonstrating the benefits of extended linkages.
Yellen noted that a planned Albemarle lithium mine in North Carolina slated to open by 2030 and a Nevada mine and processing facility that broke ground one year ago will cause medium- to long-term adjustments.
Chile is now working on establishing recommendations as part of a new lithium strategy.
The goal of these proposals is to ensure that Chile does not find itself in a situation where any one country takes complete control of the production.
Albemarle anticipated "a very bright future" in Chile, but given the current regulatory framework, she was unable to remark on it.
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