Titan Lithium Industries Ltd, the UAE’s flagship lithium refinery, has signed a supply framework agreement with Mercedes-Benz AG to supply battery-grade lithium for the automaker’s global electric-vehicle portfolio.

Valued at over $300 million (AED1.1 billion), the multi-year agreement supports Mercedes-Benz’s electrification roadmap and marks a significant milestone for the UAE’s industrial and clean-energy ambitions.

The agreement establishes Titan Lithium as a supplier within Mercedes-Benz’s global battery materials supply chain and reflects the automaker’s focus on securing long-term supply security and responsibly produced, geographically diversified lithium supply.

The partnership aligns with the UAE’s broader industrial and energy-transition objectives to localize strategic value chains and expand downstream manufacturing of critical materials.

Titan Lithium’s refinery, located in Khalifa Economic Zones Abu Dhabi (KEZAD), utilises clean energy sources and industry-leading lithium refining processes to produce battery-grade lithium carbonate and lithium hydroxide aligned with the requirements of a low-carbon automotive supply chain.

Commercial supply under the agreement is expected to commence in 2028, subject to customary conditions.

“This agreement reflects the UAE’s deliberate strategy to build globally competitive industrial value chains in critical sectors,” said Dr Sultan Al Jaber, the Minister of Industry and Advanced Technology. “By enabling advanced manufacturing partnerships between global manufactures and UAE-based producers, the UAE continues to position itself as a reliable, long-term partner and the corridor to the economy of the future.”

“Lithium is the backbone of the new energy economy, and this partnership reflects the UAE’s emergence as a trusted, long-term contributor,” said Vaibhav Jain, Founder and Chairman of Titan Lithium Industries. “The UAE today represents a once-in-a-lifetime opportunity to provide resilience to the clean energy ecosystem globally. This agreement with Mercedes-Benz reinforces global confidence in the UAE’s ability to deliver critical materials responsibly, reliably, and at world-class standards.”

Titan Lithium Industries is a UAE-based producer of battery-grade lithium materials, developing one of the region’s most significant lithium refining platforms. Backed by an investment exceeding $2.5 billion, the company’s KEZAD facility is being developed in two phases with a combined capacity of 120,000 tons per annum of lithium carbonate and lithium hydroxide, with production commencing in Q2 2027. Aligned with global ESG benchmarks, Titan Lithium supports leading automakers and energy-storage players advancing clean mobility. - TradeArabia News Service