According to insiders, the government of US President Donald Trump wants to participate in the mine operator Lithium America with up to ten percent. This is part of new negotiations on a loan from the Ministry of Energy in the amount of $ 2.26 billion for Thacker Pass, a planned lithium mine of the company, as the Reuters news agency learned from two people familiar with the conversations. “President Trump supports this project. He wants it to be a success and at the same time is fair to the taxpayers,” said a representative of the White House. “But there is no money for nothing.”
According to its opening for 2028, Thacker Pass in the state of Nevada is to become the largest lithium mine in the western hemisphere. The car maker General Motors is involved in the project and wants to use the lithium for its electric vehicles. The message rose by around 80 percent to $ 5.54 in the afternoon trade. The government’s reason for the new negotiations are the government’s doubts about the company’s ability to repay the loan in the face of low lithium prices.
The project is considered crucial for the establishment of a local supply chain for the battery raw material and is intended to reduce the dependence on China. So far, the United States has been producing less than 5,000 tons of lithium per year. China is not only one of the largest producers, but also dominates further processing. More than 75 percent of the global lithium are refined there for battery material. Thacker Pass alone should promote 40,000 tons per year in the first phase.
US Federal Reserve chief Jerome Powell does not give the financial markets with no clear signals with a view to the further interest rate. The central bank was confronted with a “challenging situation”, he said on Tuesday in a speech in Providence in the state of Rhode Island: “The short -term inflation risks are up and down the employment risks.” This leads to a dilemma for the central bank, which is intended to promote stable prices and full employment as part of its double mandate. “There is no risk -free way,” said Powell. You have to keep an eye on both mandates and find a compromise.
If the interest reins were loosened too much, the fight against inflation could be neglected, explained Powell. But a course that is too hesitant could also be harmful: “If we maintain restrictive politics for too long, the labor market could weaken unnecessarily.” He admitted that there was reason to worry about the labor market. In the past three months, employment growth in the past three months is around 25,000 and thus below the threshold, which is required for a constant unemployment rate. However, other labor market indicators are largely stable.
