Lithium could be the main reason for the overthrow of Evo Morales
Indigenous peoples of Bolivia for many centuries collect and sell salt from the surface of the world's largest Uyuni salt flats. But in the depths of the lake lie the more lucrative reserves of lithium, used in the production of batteries and electric vehicles — vehicles of the future. According to some estimates, we are talking about the largest lithium Deposit in the world. Its potential was estimated at nine million tons, accounting for 43% of the world reserves of the metal.
Revolution, who last Sunday led to the resignation of Morales and his escape to Mexico, was the result of many days of protests by right-wing elements, dissatisfied with the decision of the President be re-elected for a fourth term. But what really caused the overthrow Morales?
after ten years of presidency of Evo Morales did not change his anti-American rhetoric and companies from the United States stood at the end of the queue of potential partners for the development of the coveted metal.
In January 2019 state Yacimientos de Litio Boliviano signed the largest ever contract worth $ 2.3 billion with Chinese Xinjiang TBEA Group Co Ltd, under which the Chinese got right to working out of deposits of lithium in the deserts of Coipasa and Pastos Grandes.
November 4, Morales terminated the agreement from December 2018 with the German company ACI Systems Alemania (ACISA), which was the main contender for the extraction of lithium in the Uyuni lake, preferring another Chinese Corporation.
November 10 Morales fled to Mexico, and the German company said it was confident in the restoration of justice and the continuation of mining lithium in Bolivia under the new government.
the Demand for lithium is growing rapidly on the background of the popularity of electric vehicles. This year it will increase by 17% compared to the year 2018 and will reach not less than 315 thousand tons.
As automakers ramp up production of electric cars in the next few years may be a shortage of the metals used to manufacture batteries. Consulting and research firm Wood Mackenzie said the biggest risks to supplies of lithium, cobalt and Nickel.
Morales was the first indigenous Bolivian to become President of the South American country, which since the days of the conquistadors ruled the European elite. While in office, his party "Movement towards socialism" has managed to reduce poverty to 42% and extreme poverty by 60%, reduce unemployment by half and implement a number of impressive investment programs.
Morales considered himself part of a wave of decolonization across Latin America, rejecting neoliberalism and nationalizing major resources of the country, spending the revenues on health care, education and affordable food for the population.
His policy aroused great anger of the US government, Western corporations and corporate media, which act as ideological shock troops against leftist governments in Latin America.