Global demand for lithium presents a significant opportunity for Australia and Australian lithium companies.

Australia remains the world’s largest lithium miner, supplying 31 percent of global output in 2025, though its dominance is easing as other lithium-producing countries such as China, Zimbabwe and Chile scale up production.

In early 2026 lithium prices surged back into focus, with spot battery-grade lithium carbonate rising from about US$13,433 per metric ton in early December to US$26,278 by late January, a 95 percent increase.

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The upward trend was supported by disruptions at key operations, including delays at CATL’s (SZSE:300750,HKEX:3750) Jianxiawo lepidolite mine, alongside maintenance outages and stronger competition for long-term contract volumes, according to Fastmarkets.

Spodumene prices have followed suit, rising above US$2,000 per tonne for the first time since late 2023, levels that could prompt Australian producers to restart idled capacity.

However, any supply response is expected to lag, with project timelines and operational constraints limiting near-term relief.

The rally has also been amplified by speculative activity, even as underlying conditions remain fragile. Thin spot liquidity and cautious positioning on both sides of the market leave prices highly sensitive to policy shifts, operational disruptions and geopolitical developments.

“As lithium becomes a national security priority, policy is beginning to reshape the economics of the market,” wrote Jacob White, director of ETF product management at Sprott.

For investors eyeing top ASX lithium stocks, the Investing News Network looks at the top five Australian lithium companies by year-to-date gains in 2026. The list below was generated using TradingView’s stock screener on April 9, 2026, and ASX lithium companies with market caps above AU$10 million at that time were considered for inclusion

Those interested in the lithium sector and investing in lithium stocks are often curious about which countries are the top producers of the battery metal, but they may not stop to consider the top lithium reserves by country.

Major lithium-producing countries are, of course, home to a large number of lithium companies. Many of the world’s top lithium producers also hold significant reserves, and their reserves can give an idea of how much room those countries have to grow. At the same time, nations with high reserves may become more significant lithium players in the future.

Lithium is a key raw material in the lithium-ion batteries used to power electric vehicles and the energy storage sector, together with battery metals such as cobalt and nickel.

Global lithium production and reserves have increased significantly in the last decade as companies worked to meet battery demand. While oversupply led to decreased prices and production cuts at some mines, the lithium market is seeing a turn-around in 2026.

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“Lithium prices appear to have moved ahead of the fundamentals, propelled by speculative buying, bullish sentiment and a backdrop of heightened geopolitical risk. Yet we may also be finally witnessing demand catch up with the supply surge of recent years,” Fastmarkets’ Paul Lusty wrote in a January 2026 update.

On that note, here’s an overview of lithium reserves by country, with a focus on the five countries that host the world’s largest lithium deposits. Lithium reserves data is based on the US Geological Survey’s latest Mineral Commodity Summary and refers to contained lithium content in economic reserves.

Total worldwide lithium reserves stand at 37 million metric tons as of 2025, a significant increase over the 30 million metric tons reported in 2024 due to upward revisions to many countries’ reserves. These gains were also seen in global lithium resources, which are detailed following the reserves list.

Liontown Resources (ASX:LTR,OTC:LINRF) has executed a binding offtake agreement with Chinese conglomerate Canmax Technologies (SZSE:300390), as part of its strategy to diversify its customer base.

“Listed on the Shenzhen Stock Exchange, Canmax is one of the world’s leading manufacturers of lithium-ion battery materials, including lithium hydroxide, lithium carbonate and other products and a key customer of several Australian and international material producers,” the company wrote in a Tuesday (December 9) release.

The agreement is for the supply of 150,000 wet metric tonnes per year of spodumene concentrate over two years in 2027 and 2028.

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“(Canmax’s) participation in our 2025 institutional placement signalled strong confidence in the long-term potential of Kathleen Valley, and this offtake agreement reinforces their commitment,” Liontown Managing Director and CEO Tony Ottaviano.

The company said that pricing will be determined using a formula referencing spodumene concentrate and that it will continue its strategy of platform-based spot sales to ensure fair value for its products.

Kathleen Valley is Western Australia’s first underground lithium mine, with its plant reaching commercial production in January 2025.

According to Liontown’s latest quarter report, released on July 29, Kathleen Valley produced over 300,000 wet metric tonnes of spodumene concentrate during its first 11 months of operations.

The National Reconstruction Fund Corporation (NRF) invested AU$50 million in Liontown to support Kathleen Valley last August 2025, while a private investment from Canmax Technologies was dedicated to stabilising financing during weak prices.

The company added that its agreement with Canmax complements its existing arrangements with its Tier-1 customers.

In late November, Liontown announced that its first digital auction for spodumene concentrate attracted nine countries, securing a bid of US$1,254 per dry metric tonne.

Liontown shared in the November update that it remains on track to meet its 70 percent lithia recovery target by the end of the third quarter of 2026.

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Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.

Mineral Resources (ASX:MIN,OTCQB:MALRF) and Korean steel producer POSCO Holdings (NYSE:PKX,KRX:005490) have executed a binding agreement, creating a lithium joint venture.

According to the release, the new entity will hold 50 percent of Mineral Resources’ existing ownership in the Wodgina and Mt Marion lithium mines in Western Australia.

POSCO will make a cash payment of US$765 million to acquire a 30 percent stake in the JV. The remaining 70 percent will be held by MinRes.

The focus of the JV is to strengthen Wodgina and Mt Marion’s capacity to take part in the increasing demand for Australian lithium, given their Tier 1 status and significant expansion potential.

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By supporting the development of new global conversion capacity, this partnership will play an important role in diversifying the global lithium supply chain and strengthen bilateral ties between Australia and Korea in critical minerals,” said MinRes Chair Malcolm Bundey.

Wodgina is located approximately 120 kilometres south of Port Hedland in Pilbara.

Its three processing trains at the site have a total annual production capacity of approximately 820,000 tonnes of spodumene concentrate at a grade of 5.5 percent lithium oxide.

Mt Marion is jointly owned by MinRes and one of the world’s largest lithium hydroxide producers, Jiangxi Ganfeng Lithium, where both parties hold 50 percent equally.

Located 40 kilometres southwest of Kalgoorlie in the Goldfields region, Mt Marion’s mining activities include a spodumene concentrate processing plant with an annual production capacity of 600,000 tonnes (SC6 equivalent).

“(Both mines) are high‑quality assets with proven scale, capable of sustaining our business for decades to come,” commented POSCO CEO Hwa Chang.

“We will combine POSCO’s downstream expertise with MinRes’ mining capability to drive the sustainable growth of the energy materials industry and contribute to the global transition toward eco-friendly mobility.”

The companies hold an existing partnership with the Onslow Iron joint venture, with Onslow Iron having successfully ramped up to nameplate capacity.

Onslow Iron also commenced production at a new hub towards the end of October.

Subject to regulatory approvals, completion of MinRes and POSCO’s transaction is expected in the first half of 2026.

Don’t forget to follow us @INN_Australia for real-time news updates!

Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.