Noticias

The National Economic Prosecutor’s Office (FNE) has closed the oversight of Extrajudicial Agreement No. 16, signed with Tianqi Lithium Corporation (Tianqi) in August 2018 regarding its participation in Sociedad Química y Minera de Chile S.A. (SQM). The agreement established corporate restrictions on Tianqi’s participation in SQM and obligations for periodic reporting to the FNE, among other measures.

The oversight investigation into compliance with these measures—which remained in effect for six years, until April 17, 2025—was conducted by the FNE continuously since late 2018, without any breaches by Tianqi being detected.

Based on its analysis of the evolution of the markets involved (lithium carbonate and lithium hydroxide), the FNE also concluded that the duration of the measures was sufficient and appropriate.

This conclusion stems from the analysis conducted by the FNE’s Compliance Enforcement Division, which verified that several factors initially identified in 2018 as mitigating the anticompetitive risks had been maintained and even strengthened during the period.

These factors include a reduction in the combined market share of SQM and structurally linked entities (Tianqi and Albemarle Corporation) in the markets involved; a decline in their combined share of global lithium concentrate extraction capacity; and the entry and expansion of competitors in both the relevant markets and in lithium concentrate extraction.

While the investigation has now been closed and the specific measures have ended, Tianqi remains subject to general competition law, in particular the prohibition of interlocking set forth in Article 3(d) of Decree Law No. 211 of 1973, as well as the applicable rules governing public limited companies.

With regard to potential coordinated effects that may arise from the announced public-private partnership between Codelco and SQM, these were addressed in late April, when this concentration operation was approved by the FNE subject to commitments to implement mitigation measures.

The FNE’s decision and corresponding report will be published on its website once the public versions of these documents are finalized.