(Bloomberg) -- Albemarle Corp. boosted its outlook for the year as lithium prices rebounded after a months-long rout.

The world’s largest producer of the key component in rechargeable batteries now sees net sales increase 40% to 55% over the prior year “primarily driven by the continued global shift to electric vehicles” as well as “the recent increase in lithium market prices,” it said in a statement Wednesday.

The brighter outlook underscores accelerating demand for the battery metal as EV sales in key markets such as China are expected to recover through the rest of the year. The Charlotte, North Carolina-based company slashed its outlook in May due to falling prices and an end to China’s EV subsidies.

Read More: Albemarle Boosts FY Adjusted EPS Forecast, Beats Estimates

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