How Germany’s Lithium Jackpot Could Redefine the EV Landscape

Lithium-ion technology has dominated battery-electric mobility in recent years, driven by significant advancements in safety, energy density, range, charging speed, and lifespan. Despite these achievements, the technology still holds considerable untapped potential, with further innovations on the horizon.

Although many major car manufacturers are based in Europe, the global primary sources for lithium used in EV batteries are outside the continent – Australia, Chile, Argentina and China produce over 90% of the world’s lithium. Therefore, Europe, the US or Japan depend almost entirely on imports and refinement from these countries. This not only increases the costs for lithium due to long transport routes and lead times; it also creates strong dependencies and supply chain risks.

Therefore, the EU aims to cover at least 10% of its lithium demand from domestic production by 2030. New geothermal brine sources in Altmark and the Upper Rhine play an important role in this project. The recently validated lithium source in Germany offers new potential for localised gigafactories, shorter logistic chains and investments in regional innovation hubs – economic boosters based on future technology.

And it can play a key role in the EU Green Deal and Europe’s carbon footprint reduction plans. Not only because of more localised sourcing and therefore reduced transportation needs. Also, because the source is primarily geothermal brine which allows for Direct Lithium Extraction (DLE).

Ten years ago, EVs had a larger manufacturing footprint compared to ICE vehicles due to the energy-intensive nature of battery production and the reliance on fossil-fuel-heavy electricity grids. Today, the lifecycle emissions of EVs have significantly decreased thanks to:

• Cleaner electricity grids (more renewables in Europe and parts of the US)
• Improved battery efficiency (higher energy density → fewer cells per kWh)
• Enhanced recycling and second-life strategies emerging within the supply chain

On average, a medium-sized EV now emits about 50% less CO₂ over its lifetime than an equivalent ICE car, compared to approximately 30–35% less ten years ago, according to the EV battery supply chain sustainability report 2025 by the International Energy Agency (IEA).

As the battery is the most critical component of electric vehicles, current Li-ion batteries account for 30–40% of an EV’s total lifecycle emissions, primarily during mining and refining. Since most lithium-ion batteries are manufactured in China, where coal dominates electricity generation, the carbon footprint of EVs is exacerbated.

For engineers, new geothermal brine-based lithium sources in Europe present significant opportunities to reduce battery-related emissions. Through Direct Lithium Extraction (DLE), lithium from brine sources can be produced in a more efficient and resource saving manner compared to traditional evaporation ponds.

Rather than evaporating large volumes of water over months, DLE employs selective adsorption, ion exchange, or solvent extraction to extract lithium directly from brine. This process can be completed in hours or days, compared to the 12–18 months required for evaporation ponds, while consuming up to 90% less water—a crucial advantage in arid regions. Additionally, smaller land areas are needed compared to vast salt flats. Modular systems that incorporate renewable energy sources can further minimise the footprint. Overall, DLE could reduce lithium extraction emissions by up to 50%, depending on the energy mix and technology utilised.

For European engineers, this helps to build high-performance batteries in less time, more locally, and with a significantly reduced carbon footprint. That, in turn, provides car manufacturers with options to lower vehicle costs and improve acceptance among the public, both of which can offer economic and competitive advantages.

Although other EV battery technologies, such as all-solid-state batteries (ASSB), are currently under development due to their promise of various benefits, Li-ion technology remains the leading battery design and has undergone remarkable advancements in recent years. Combined with advanced materials like compression pads, which apply consistent pressure on cells during charging and discharging cycles to enhance safety, lifespan, and performance, or thermal interface materials, which effectively dissipate heat from the battery pack, the full potential of Li-ion batteries is yet to be realised.

Particularly innovative Thermal Runaway Mitigation Protection materials, such as the Saint-Gobain® TRP Series, offer good electrical resistance and mechanical cushioning during normal operations while providing outstanding fire and temperature resistance during thermal events for increased safety. Despite the high level of innovation in the EV battery sector, Li-ion technology is likely to remain in use for many years to come – favourable conditions for establishing a strong regional Li-ion battery infrastructure in Europe based on new lithium sources.

These could also serve as the backbone of battery energy storage systems (BESS), which act as grid stabilisers, energy sources, and buffers for peaks and troughs in grids experiencing increasing energy fluctuations due to the rise in renewable energy sources. Consequently, the new lithium sources could propel Europe’s Green Deal beyond mobility and further reduce energy costs from renewable sources. Moreover, with the potential to create a battery hub outside of Asia, investments in battery technology could drive further innovation, making the technology even more robust, efficient, and cost-effective, while also serving as a catalyst for job creation with significant growth potential.

We have seen that the discovery of massive lithium sources in central Europe, which can be extracted relatively easily via DLE, has the potential to reshape the battery landscape worldwide. The coming years will reveal how the use of this new source can lead to new battery infrastructure and ultimately accelerate the transition to greater battery-electric use in mobility and energy supply.

Our experts and tape solutions are available to help maximise safety, performance and longevity of Li-ion batteries – let’s design the battery-electric future together to make the world a better home.