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According to a study by foreign media, the global demand for various batteries such as electric vehicles and solar power stations has soared in recent years. Some market participants predict that the lithium production in Washington State, Australia, will quadruple in the middle of the next decade, which will greatly help the mining industry in Western Australia. However, although the mining industry is very prosperous, it is unlikely to bring new manufacturing opportunities such as lithium batteries.

The report was issued by the Chamber of Commerce and Industry and the Chamber of Commerce for Mining and Energy. The report said that Western Australia should strive to enter the lithium electronic battery industry through the advantages of raw materials and minerals. At the same time, the report urges the government to consider reducing patent rates, and calls on the federal government to revoke the recent restrictions on R&D tax incentives for small businesses. At the same time, the battery industry in Western Australia may not be able to cope with fierce competition from China and other places.

Western Australia has called for not only improving raw ore production, but also investing in battery manufacturing as a way to diversify the local economy. However, according to the report, there are huge risks in supporting battery manufacturing in small markets such as Australia, because these markets must compete with Chinese and North Asian companies with decades of experience. It also said that local battery manufacturers will also compete with state-owned enterprises, which may directly benefit from government subsidized subsidies.

Chris Rodwell, CEO of the Chamber of Commerce, said that the development of lithium battery could learn from the iron ore industry. Although Western Australia is the world's largest exporter of seaborne iron ore, it does not mean that Western Australia is competitive in steel production.

It is reported that Western Australia plans to build a battery industry cooperation research center in the future due to its rich lithium mineral resources. Paul Eisingham, CEO of the Chicago Mercantile Exchange, said that Western Australia is currently positioned to use lithium hydroxide, nickel sulfate and cobalt sulfate to manufacture lithium batteries.

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