The lithium land grab: South America's green energy boom

Global Watch | 2025-08-15

In the vast white expanse of Argentina's Salinas Grandes, María Quispe surveys the salt flats her ancestors have walked for generations. "This is not just land," she says. "It's memory. It's identity. And now, they are trying to take it."

María is among many Indigenous leaders resisting a new resource rush -- this time for lithium, the metal essential for powering electric vehicles and the transition to renewable energy.

As the world races to electrify transportation and reduce carbon emissions, Argentina and Bolivia -- home to some of the world's richest lithium reserves -- are under mounting pressure to extract this "white gold."

But there's a darker side to the green energy boom: entire communities are being displaced, ecosystems are drying up and Indigenous voices are being ignored or silenced.

The global lithium frenzy

The "Lithium Triangle" -- where Argentina, Bolivia and Chile converge -- holds more than half the world's lithium supply. Demand is soaring as automakers scramble to meet targets for electric vehicle production, expected to surpass 17 million units by 2025.

Multinational corporations like Ganfeng Lithium (China), and state-owned companies such as Bolivia's YLB are the primary beneficiaries of this boom.

Governments offer tax incentives and streamlined permits, hoping to attract foreign capital -- even at the cost of local environmental and human rights concerns.

"This is green colonialism," says environmental lawyer Carolina García. "Instead of oil, it's lithium. But the model is the same -- extract from the Global South to benefit the Global North."

To extract lithium, mining companies pump brine from underground reservoirs into massive evaporation ponds, a process that consumes enormous amounts of water in some of the most arid regions on Earth.

In Argentina's Jujuy province, communities report that their freshwater springs are running dry, threatening traditional agriculture and salt harvesting.

Despite international protections requiring Free, Prior and Informed Consent (FPIC) from Indigenous communities, locals say mining projects have often proceeded without genuine consultation.

"In our case, we were never properly consulted," says Lucas Mamani, a Kolla community leader. "The government allowed exploration before we even knew it was happening."

Many communities were promised infrastructure improvements, jobs and schools. But according to local leaders, these promises have often gone unfulfilled, while the environmental toll grows.

Indigenous communities aren't staying silent. In Argentina, a coalition of over 30 Indigenous groups has formed to defend water and land rights. In Bolivia, Aymara and Quechua activists are questioning new deals with Chinese mining firms.

Protesters face increasing risks. Some leaders have reported harassment, legal threats and even violence for opposing mining projects. Meanwhile, media coverage remains minimal.

"We are invisible unless we block a road," Quispe says.

Building the future

This fight isn't just local -- it is also geopolitical. The United States, China and the European Union are all vying for influence in the region to secure access to critical minerals. While Bolivia promotes a state-led model, Argentina has embraced market liberalization -- allowing corporations to move where regulation is weakest.

Some efforts toward "clean lithium" sourcing have emerged, including traceability tools and certification programs. But these remain voluntary and unenforced.

Experts argue that ethical lithium extraction must include Indigenous co-management, transparent agreements and robust environmental safeguards. Without them, the push for green energy may come at the cost of justice and sustainability.

Lithium may power the future -- but whose future are we building?

As the world electrifies, communities like María Quispe’s are asking to be seen, heard, and respected.

"We want a future too," she says. "But not one that erases us."