Potential Lithium Extraction in the United States: Environmental, Economic, and Policy Implications

Abstract

This report examines the environmental, economic, and policy implications of potential lithium extraction in the United States, focusing on nine states with significant lithium resources. Lithium demand is rising rapidly due to the transition to renewable energy and electric vehicles, making domestic production increasingly important. The report analyzes the impacts of different extraction methods—direct lithium extraction (DLE), evaporative concentration, and surface/hard rock mining—on habitats, water resources, and biodiversity, highlighting that DLE may offer the lowest environmental footprint when sited at existing industrial facilities. Economic analysis suggests U.S. lithium resources could supply global demand for decades, but local benefits depend on policy, workforce development, and equitable community engagement. Policy recommendations emphasize prioritizing low-impact extraction, enhancing agency capacity, supporting community development, and incentivizing battery recycling. The report concludes that careful planning and robust regulation are essential to balance lithium supply needs with environmental protection and community well-being.

Citation

Parker SS, Franklin BS, Williams A, Cohen BS, Clifford, MJ, Rohde MM, 2022. Potential Lithium Extraction in the United States: Environmental, Economic, and Policy Implications.