SQM and Circulor provide end-to-end lithium traceability, enabling attribution of upstream activity to EV batteries

In its mission to develop and produce diverse products essential for human progress, SQM continues to incorporate innovation and technology to ensure it’s working to fulfil the highest standards in sustainable and responsible stewardship. In line with this ethos, SQM and Circulor began their work together last year to set a new standard for end-to-end lithium supply chain traceability, responding to growing demand from downstream customers for visibility into upstream provenance and activity.

In addition to following SQM lithium from Chile to the final EV battery, Circulor also provides dynamic tracking of Scope 1, 2, and 3 emissions produced by each supply chain participant. This data is attributed to the flow of materials and provides SQM and its downstream customers with greater accuracy of the product’s embedded CO2-e footprint.

By sharing greater granularity about its products, SQM plays a critical role in helping customers make visible their supply chains. With this visibility comes an opportunity for companies to focus their decarbonisation efforts and ensure compliance with regulations, such as the EU Battery Regulation and the U.S. Clean Vehicle Tax Credit.

“SQM welcomes this initiative to further collaborate with our downstream customers to ensure supply chain transparency”, said Ricardo Ramos, CEO of SQM. “We are fully committed to responsible production, and this adds to our existing sustainability credentials, which include IRMA certification and online solar monitoring. We have the lowest CO2 and water footprint of any lithium producer in the world, and Circulor’s technology will now enable us to demonstrate this at every stage of the value chain.”

“Collaboration is key to achieving true supply chain transparency”, said Circulor CEO Douglas Johnson-Poensgen. “We are proud to work with SQM in pioneering full lithium traceability as we work toward greater sustainability, resiliency, and making such information available to automakers and their end customers.”