As the major ingredient for high-powered modern batteries, lithium has been the hot investment theme over the past few years.
However, a 75% drop in the global price for the commodity from late last year into late April had ASX share portfolios sweating profusely.
Was it a bubble that had now burst?
Many experts believe the long-term demand for batteries, especially for electric vehicles, will mean lithium stocks are in safe territory in the years to come.
"In 2021, global lithium carbonate equivalent (LCE) production sat at 540,000 tonnes," said Visual Capitalist reporter Bruno Venditti.
"By 2025, demand is expected to reach 1.5 million tonnes of LCE. By 2030, this number is estimated to exceed 3 million tonnes."
But if you need extra assurance for ASX lithium shares specifically, a recent graphic was a startling reminder that Australia is an especially wise place to park one's money.
Australia is the only place that extracts lithium this way
According to Visual Capitalist, Australia is the largest producer of lithium in the world, producing 61,000 tonnes last year.
In fact, the two biggest producers, Australia and Chile, extracted 76.9% of all lithium dug up for consumption in 2022.
And there's plenty more where that came from, with Australia possessing the fifth largest lithium reserves on the planet.
The mines Down Under also possess an attribute that sets it apart from other nations.
"Australia, the world's leading producer, extracts lithium directly from hard rock mines, specifically the mineral spodumene," said Venditti.
"Chile, along with Argentina, China, and other top producers, extracts lithium from brine."
He added hard rock allows "greater flexibility" because lithium extracted from it can be turned into both lithium hydroxide or lithium carbonate.
"It also offers faster processing and higher quality as spodumene typically contains higher lithium content."
Examples of ASX lithium shares include established producers like Pilbara Minerals Ltd (ASX: PLS), explorers such as Global Lithium Resources Ltd (ASX: GL1), and all those in between like Core Lithium (ASX: CXO).
Australia wasn't always king though
Remarkably, the United States isn't even among the eight top producers now after dominating one-third of global production back in the 1990s.
"Chile eventually overtook the US, experiencing a production boom in the Salar de Atacama, one of the world's richest lithium brine deposits," said Venditti.
"Since then, Australia's lithium production has also skyrocketed, now accounting for 47% of the world's lithium production."
