Rio Tinto (RIO) targets triple lithium output by 2028, pivoting to battery minerals
Rio Tinto has outlined ambitious targets for its lithium operations, aiming to triple production to 200,000 metric tons by 2028. The mining giant specified a target of at least 61,000 metric tons for the current year, signalling a strategic pivot towards the critical battery component. This intensified focus on lithium follows the company's $6.7 billion acquisition of Arcadium last year, positioning it more firmly within the electric vehicle supply chain.
The company's commitment extends to decarbonisation efforts within its broader mining operations. Rio Tinto is collaborating with BHP and Caterpillar on a trial of battery-electric haul trucks in Western Australia's Pilbara region, an initiative designed to reduce the environmental footprint of its core activities. The expansion in lithium production underscores the company's intent to capitalise on increasing demand for electric vehicle batteries.
Rio Tinto shares are trading up 0.6% at 7,203p on 25 June 2026. This modest gain follows two consecutive sessions of declines, including a 3.3% drop on 23 June 2026, which occurred as softening commodity prices and a hawkish US rate outlook dragged the stock lower. The current trading price stands above yesterday's close of 7,163p, reflecting a slight recovery.
Why Rio Tinto's Lithium Strategy is Sparking Interest
Rio Tinto is a global mining powerhouse, extracting essential raw materials like iron ore, copper, and aluminium from the earth. These materials are the bedrock for countless industries, from construction and manufacturing to electronics and transportation. Their business thrives on supplying these fundamental resources to industrial customers worldwide, underpinning much of the global economy.
Today's modest uptick for Rio Tinto stems directly from its aggressive push into lithium, a critical component for electric vehicle (EV) batteries. The company has outlined ambitious plans to triple its lithium production to 200,000 metric tons by 2028, with a target of at least 61,000 metric tons for the current year. This strategic pivot, following last year's $6.7 billion acquisition of Arcadium, firmly positions Rio Tinto within the burgeoning EV supply chain, even as it continues decarbonisation efforts in its traditional mining operations.
This commitment to scaling up lithium production is being met with a positive, albeit cautious, reception from the market. Rio Tinto shares are trading up 0.6% today, 25 June 2026, currently standing at 7,203p, a slight recovery from yesterday's close of 7,163p.
Think of it like a seasoned restaurant known for its classic dishes, which then decides to invest heavily in a new, trendy cuisine that's rapidly gaining popularity. While their traditional menu still brings in customers, the market is now watching their success with this new venture, anticipating future growth if they can execute their expansion plans effectively.
Rio Tinto
Rio Tinto Group (RIO) operates globally in the exploration, extraction, and processing of diverse mineral resources. Its extensive portfolio encompasses commodities such as aluminium, copper, diamonds, gold, borates, titanium dioxide, salt, iron ore, and lithium. The company's operations span a wide range of infrastructure, including open-pit and underground mines, milling facilities, refineries, smelters, power generation assets, and dedicated research and service centres. Established in 1873, this industrial materials giant maintains its headquarters in London, United Kingdom.