Lithium Production as a Reindustrialization Factor for the Eastern Border Regions of Russia

Abstract—This article considers the prospects for restoring lithium production in Russia as one of the possible directions for the development of the mineral resource complex. It is shown that a number of comparative economic advantages have been formed for this purpose. The main advantage is the dynamic growth of demand and prices for lithium-containing products. Arguments are given in favor of the fact that the current trends are not situational but long-term in nature, associated with the development of high-tech industries around the world. It is shown that this can be confirmed by the high growth rates of investments in renewable energy sources, which implies a significant increase in the production of lithium-ion batteries. It is noted that other high-tech sectors that require lithium-containing products are also actively developing in Russia. An overview of the lithium market from the supply side is given: the structure of its stocks, production, and the main countries–producers and exporters of lithium are shown. The problems and prospects of resumption of Russian lithium production are considered. It is noted that the dynamic growth of lithium prices provides the possibility of profitable development of previously exploited deposits where production was suspended in the conditions of low prices in the 1990s. It is shown that the Zavitinsk field in Zabaykalsky krai, which was closed in 1998, has favorable conditions for the restoration of production. A SWOT analysis is made to confirm this conclusion. The following conclusions were drawn: resumption of lithium production in Russia will permit a step forward in the direction of reorientation from large export-oriented mining projects to the formation of high-tech production chains of a high degree of localization within the country; this would become of the most important “growth points” in the process of reindustrialization, as well as creating new opportunities for development of territories and improvement of living standards in the east of Russia; domestic lithium production is of strategic importance for a broad segment of the new economy and, as such, will be sustainably supported by increasing demand in the long term.