UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE

SECURITIES EXCHANGE ACT OF 1934

For the month of September, 2023.

Commission File Number 33-65728

CHEMICAL AND MINING COMPANY OF CHILE INC.

(Translation of registrant’s name into English)

El Trovador 4285, Santiago, Chile (562) 2425-2000

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F: x Form 40-F ¨

Santiago, Chile. September 25, 2023.- Sociedad Química y Minera de Chile S.A. (SQM) (NYSE: SQM; Santiago Stock Exchange: SQM-B, SQM-A) reports the translation of its financial statements for the six months ended June 30, 2023.

CONSOLIDATED INTERIM FINANCIAL STATEMENTS

As of and for the period ended

June 30, 2023

Sociedad Química y Minera de Chile S.A. and
subsidiaries

In thousands of United States dollars

This document includes:

- Consolidated Interim Statements of Financial Position

- Consolidated Interim Statements of Income

- Consolidated Interim Statements of Comprehensive Income

- Consolidated Interim Statements of Cash Flows

- Consolidated Interim Statements of Changes in Equity

- Notes to the Consolidated Interim Financial Statements

Notes to the Consolidated Interim Financial Statements June 30, 2023

Table of Contents –Consolidated Financial Statements

Consolidated Interim Classified Statements of Financial Position		1
Consolidated Interim Classified Statements of Financial Position		2
Consolidated Interim Statements of Income (Unaudited)		3
Consolidated Interim Statements of Comprehensive Income (Unaudited)		4
Consolidated Interim Statements of Cash Flows (Unaudited)		5
Consolidated Interim Statements of Changes in Equity (Unaudited)		7
Note 1	Identification and Activities of the Company and Subsidiaries	10
1.1	Historical background	10
1.2	Main domicile where the Company performs its production activities	10
1.3	Codes of main activities	10
1.4	Description of the nature of operations and main activities	10
1.5	Other background	12
Note 2	Basis of presentation for the consolidated financial statements	14
2.1	Accounting period	14
2.2	Consolidated financial statements	14
2.3	Basis of measurement	15
2.4	Accounting pronouncements	15
2.5	Basis of consolidation	17
2.6	Investments in associates and joint ventures	17
Note 3	Significant accounting policies	19
3.1	Classification of balances as current and non-current	19
3.2	Functional and presentation currency	19
3.3	Accounting policy for foreign currency translation	19
3.4	Consolidated statement of cash flows	21
3.5	Financial assets	21
3.6	Financial assets impairment	22
3.7	Financial liabilities	22
3.8	Estimated fair value of financial instruments	23
3.9	Reclassification of financial instruments	24
3.10	Financial instruments derecognition	24
3.11	Derivative and hedging financial instruments	24
3.12	Derivative financial instruments not considered as hedges	25
3.13	Deferred acquisition costs from insurance contracts	25
3.14	Leases	25
3.15	Inventory measurement	26
3.16	Non-controlling interests	27

Notes to the Consolidated Interim Financial Statements June 30, 2023

3.17	Related party transactions	27
3.18	Property, plant and equipment	27
3.19	Depreciation of property, plant and equipment	28
3.20	Goodwill	29
3.21	Intangible assets other than goodwill	29
3.22	Research and development expenses	30
3.23	Exploration and evaluation expenses	30
3.24	Impairment of non-financial assets	31
3.25	Minimum dividend	31
3.26	Earnings per share	32
3.27	Other provisions	32
3.28	Obligations related to employee termination benefits and pension commitments	32
3.29	Compensation plans	33
3.30	Revenue recognition	33
3.31	Finance income and finance costs	33
3.32	Current income tax and deferred	34
3.33	Operating segment reporting	35
3.34	Primary accounting criteria, estimates and assumptions	35
3.35	Government grants	36
Note 4	Financial risk management	37
4.1	Financial risk management policy	37
4.2	Risk Factors	37
4.3	Financial risk measurement	42
Note 5	Separate information on the main office, parent entity and joint action agreements	43
5.1	Parent’s stand-alone assets and liabilities	43
5.2	Parent entity	43
Note 6	Board of Directors, Senior Management and Key management personnel	44
6.1	Remuneration of the Board of Directors and Senior Management	44
6.2	Key management personnel compensation	46
Note 7	Background on companies included in consolidation and non-controlling interests	47
7.1	Background on companies included in consolidation	47
7.2	Assets, liabilities and profit of consolidated subsidiaries as of and for the period ended June 30, 2023	49
7.3	Non-controlling interests	53
Note 8	Equity-accounted investees	54
8.1	Investments in associates recognized according to the equity method of accounting	54
8.2	Assets, liabilities, revenue and expenses of associates	56
8.3	Disclosures regarding interests in associates	57
Note 9	Joint Ventures	58
9.1	Investment in joint ventures accounted for under the equity method of accounting	58
9.2	Assets, liabilities, revenue and expenses from joint ventures	60
9.3	Other Joint Venture disclosures	61
9.4	Disclosure of interests in joint ventures	62
9.5	Joint Operations	62

Notes to the Consolidated Interim Financial Statements June 30, 2023

Note 10	Cash and cash equivalents	63
10.1	Types of cash and cash equivalents	63
10.2	Short-term investments, classified as cash equivalents	63
10.3	Amount restricted cash balances	63
10.4	Short-term deposits, classified as cash equivalents	64
Note 11	Inventories	66
Note 12	Related party disclosures	68
12.1	Related party disclosures	68
12.2	Relationships between the parent and the entity	68
12.3	Detailed identification of related parties and subsidiaries	69
12.4	Detail of related parties and related party transactions	72
12.5	Trade receivables due from related parties, current:	73
12.6	Current trade payables due to related:	73
12.7	Other disclosures:	73
Note 13	Financial instruments	74
13.1	Types of other current and non-current financial assets	74
13.2	Trade and other receivables	75
13.3	Hedging assets and liabilities	78
13.4	Financial liabilities	79
13.5	Trade and other payables	92
13.6	Financial asset and liability categories	94
13.7	Fair value measurement of finance assets and liabilities	96
13.8	Reconciliation of net debt and lease liabilities	99
Note 14	Right-of-use assets and lease liabilities	100
14.1	Right-of-use assets	100
14.2	Lease liabilities	101
Note 15	Intangible assets and goodwill	112
15.1	Reconciliation of changes in intangible assets and goodwill	112
Note 16	Property, plant and equipment	115
16.1	Types of property, plant and equipment	115
16.2	Reconciliation of changes in property, plant and equipment by type:	117
16.3	Detail of property, plant and equipment pledged as guarantee	118
16.4	Cost of capitalized interest, property, plant and equipment	118
Note 17	Other current and non-current non-financial assets	119
Note 18	Employee benefits	122
18.1	Provisions for employee benefits	122
18.2	Policies on defined benefit plan	122
18.3	Other long-term benefits	123
18.4	Post-employment benefit obligations	123
18.5	Staff severance indemnities	124
18.6	Executive compensation plan	125

Notes to the Consolidated Interim Financial Statements June 30, 2023

Note 19	Provisions and other non-financial liabilities	126
19.1	Types of provisions	126
19.2	Description of other provisions	127
19.3	Changes in provisions	129
19.4	Other non-financial liabilities, Current	130
Note 20	Disclosures on equity	131
20.1	Capital management	131
20.2	Operational restrictions and financial limits	132
20.3	Disclosures on preferred share capital	133
20.4	Disclosures on reserves in Equity	134
20.5	Dividend policies	136
20.6	Interim and provisional dividends	137
20.7	Potential and provisional dividends	138
Note 21	Contingencies and restrictions	139
21.1	Lawsuits and other relevant events	139
21.2	Environmental contingencies	141
21.3	Tax Contingencies	142
21.4	Contingencies regarding to the Contracts with Corfo	143
21.5	Indirect guarantees	143
Note 22	Gains (losses) from operating activities in the statement of income of expenses, included according to their nature	144
22.1	Revenue from operating activities customer activities	144
22.2	Cost of sales	146
22.3	Other income	147
22.4	Administrative expenses	147
22.5	Other expenses	148
22.6	Other gains (losses)	148
22.7	(Impairment) reversal of value of financial assets impairment losses	148
22.8	Summary of expenses by nature	149
22.9	Finance expenses	149
22.10	Finance income	150
Note 23	Reportable segments	151
23.1	Reportable segments	151
23.2	Reportable segment disclosures:	153
23.3	Statement of comprehensive income classified by reportable segments based on groups of products	155
23.4	Disclosures on geographical areas	157
23.5	Disclosures on main customers	157
23.6	Segments by geographical areas	158
Note 24	Effect of fluctuations in foreign currency exchange rates	159
Note 25	Disclosures on the effects of fluctuations in foreign currency exchange rates	160

Notes to the Consolidated Interim Financial Statements June 30, 2023

Note 26	Income tax and deferred taxes	166
26.1	Current and non-current tax assets	166
26.2	Current tax liabilities	167
26.3	Income tax and deferred taxes	168
Note 27	Events occurred after the reporting date	176
27.1	Authorization of the financial statements	176
27.2	Disclosures on events occurring after the reporting date	176

Notes to the Consolidated Interim Financial Statements June 30, 2023

Consolidated Interim Classified Statements of Financial Position

ASSETS	Note N°		As of June 30, 2023 (Unaudited)		As of December 31, 2022
			ThUS$		ThUS$
Current Assets
Cash and cash equivalents		10.1		2,062,770		2,655,236
Other current financial assets		13.1		590,730		961,355
Other current non-financial assets		17		337,477		196,335
Trade and other receivables, current		13.2		984,718		1,087,420
Trade receivables due from related parties, current		12.5		62,937		81,622
Current inventories		11		1,854,200		1,784,281
Current tax assets		26.1		285,540		224,914
Total current assets other than those classified as held for sale or disposal				6,178,372		6,991,163
Non-current assets or groups of assets classified as held for sale				361		346
Total non-current assets held for sale				361		346
Total current assets				6,178,733		6,991,509
Non-current assets
Other non-current financial assets		13.1		56,371		32,126
Other non-current non-financial assets		17		54,309		52,396
Non-current trade receivables		13.2		2,383		2,091
Investments classified using the equity method of accounting		8.1-9.1		65,925		54,386
Intangible assets other than goodwill		15.1		160,636		166,336
Goodwill		15.1		958		967
Property, plant and equipment net		16.1		3,147,888		2,726,838
Right-of-use assets		14.1		63,681		60,867
Non-current tax assets		26.1		201,317		127,114
Deferred tax assets		26.3		629,739		604,471
Total non-current assets				4,383,207		3,827,592
Total assets				10,561,940		10,819,101

The accompanying notes form an integral part of these consolidated interim financial statements.

1

Consolidated Interim Classified Statements of Financial Position

Liabilities and Equity	Note N°		As of June 30, 2023 (Unaudited)			As of December 31, 2022
			ThUS$			ThUS$
Current liabilities
Other current financial liabilities		13.4		881,056			522,999
Current lease liabilities		14.2		14,371			12,149
Current trade and other payables		13.5		545,286			374,789
Current Trade payables due to related		12.6		1,689			-
Other current provisions		19.1		775,921			1,303,146
Current tax liabilities		26.2		59,006			356,611
Current provisions for employee benefits		18.1		12,412			35,376
Other current non-financial liabilities		19.4		297,292			446,477
Total current liabilities				2,587,033			3,051,547
Non-current liabilities
Other non-current financial liabilities		13.4		2,508,668			2,394,218
Non-current lease liabilities		14.2		49,816			49,585
Other non-current provisions		19.1		62,032			58,053
Deferred tax liabilities		26.3		338,625			289,825
Non-current provisions for employee benefits		18.1		64,761			43,872
Total non-current liabilities				3,023,902			2,835,553
Total liabilities				5,610,935			5,887,100
Equity
Equity attributable to owners of the Parent		20
Share capital				1,577,643			1,577,643
Retained earnings				3,360,380			3,350,114
Other reserves				(23,770	)		(31,125	)
Equity attributable to owners of the Parent				4,914,253			4,896,632
Non-controlling interests				36,752			35,369
Total equity				4,951,005			4,932,001
Total liabilities and equity				10,561,940			10,819,101

The accompanying notes form an integral part of these consolidated interim financial statements.

2

Consolidated Interim Statements of Income (Unaudited)

			For the period from January to June of the year						For the period from April to June of the year
Consolidated Interim Statements of Income	Note N°		2023			2022			2023			2022
			ThUS$			ThUS$			ThUS$			ThUS$
Revenue		22.1		4,315,591			4,618,630			2,051,741			2,598,812
Cost of sales		22.2		(2,394,904	)		(2,156,540	)		(1,196,653	)		(1,301,379	)
Gross profit				1,920,687			2,462,090			855,088			1,297,433
Other income		22.3		32,188			4,916			14,527			2,294
Administrative expenses		22.4		(86,631	)		(66,944	)		(45,158	)		(33,565	)
Other expenses		22.5		(21,982	)		(24,501	)		(6,024	)		(19,950	)
(Impairment) reversal of value of financial assets impairment losses		22.7		(1,620	)		(8,457	)		(643	)		(3,492	)
Other gains (losses)		22.6		1,288			(327	)		1,575			(810	)
Profit from operating activities				1,843,930			2,366,777			819,365			1,241,910
Finance income		22.10		51,651			9,674			20,957			6,861
Finance costs		16-22.9		(59,320	)		(48,808	)		(31,972	)		(23,360	)
Share of profit of associates and joint ventures accounted for using the equity method		8.1-9.3		(2,669	)		14,177			(3,094	)		4,317
Foreign currency translation differences		24		1,977			(14,817	)		(3,125	)		(14,173	)
Profit before taxes				1,835,569			2,327,003			802,131			1,215,555
Income tax expense		26.3		(503,265	)		(668,086	)		(221,365	)		(354,013	)
Net profit				1,332,304			1,658,917			580,766			861,542
Profit attributable to:
Profit attributable to Owners of the Parent				1,330,122			1,655,380			580,227			859,261
Profit attributable to Non-controlling interests				2,182			3,537			539			2,281
				1,332,304			1,658,917			580,766			861,542

		For the period from January to June of the year				For the period from April to June of the year
Earnings per share	Note N°	2023		2022		2023		2022
		ThUS$		ThUS$		ThUS$		ThUS$
Common shares
Basic earnings per share (US$ per share)			4.6567		5.7954		2.0313		3.0082
Diluted common shares
Diluted earnings per share (US$ per share)			4.6567		5.7954		2.0313		3.0082

The accompanying notes form an integral part of these consolidated interim financial statements.

3

Consolidated Interim Statements of Comprehensive Income (Unaudited)

	For the period from January to June of the year						For the period from April to June of the year
Consolidated Interim Statements of Comprehensive Income	2023			2022			2023			2022
	ThUS$			ThUS$			ThUS$			ThUS$
Net profit		1,332,304			1,658,917			580,766			861,542
Items of other comprehensive income that will not be reclassified to profit for the year, before taxes
(Losses) gains from measurements of defined benefit plans		(10,507	)		67			(8,783	)		(1,009	)
(losses) gains from financial assets measured irrevocably at fair value through other comprehensive income		(968	)		4,205			651			(334	)
Total other comprehensive losses that will not be reclassified to profit for the year, before taxes		(11,475	)		4,272			(8,132	)		(1,343	)
Items of other comprehensive income that will be reclassified to profit for the year, before taxes
Foreign currency exchange (losses) gains		1,868			(28	)		1,217			(1,174	)
Cash flow hedges- effective portion of changes in far value		81,133			42,848			32,795			2,728
Cash flow hedges-reclassified to profit or loss		(62,739	)		(16,234	)		(27,157	)		3,052
Total other comprehensive income (loss)that will be reclassified to profit for the year		20,262			26,586			6,855			4,606
Other items of other comprehensive income, before taxes		8,787			30,858			(1,277	)		3,263
Income taxes related to items of other comprehensive income that will not be reclassified to profit for the year
Income tax benefit (expense) related to measurement of defined benefit pension plans through other comprehensive income		3,135			(19	)		2,430			291
Income tax benefit (expense) related to (losses) gains on financial assets measured irrevocably at fair value through other comprehensive income		261			(1,135	)		(176	)		91
Total income tax relating to components of other comprehensive income that will be not reclassified to profit for the year		3,396			(1,154	)		2,254			382
Income taxes relating to components of other comprehensive income that will be reclassified to profit for the year
Income tax (expense) benefit related to gains on cash flow hedges		(4,966	)		(7,170	)		(1,522	)		(1,545	)
Total income tax (expense) benefit relating to components of other comprehensive income that will be reclassified to profit for the year		(4,966	)		(7,170	)		(1,522	)		(1,545	)
Total other comprehensive income		7,217			22,534			(545	)		2,100
Total comprehensive income		1,339,521			1,681,451			580,221			863,642
Comprehensive income attributable to
Comprehensive income attributable to owners of the parent		1,337,494			1,677,633			579,658			860,861
Comprehensive income attributable to non-controlling interest		2,027			3,818			563			2,781
		1,339,521			1,681,451			580,221			863,642

See note 20.

The accompanying notes form an integral part of these consolidated interim financial statements.

4

Consolidated Interim Statements of Cash Flows (Unaudited)

		For the period from January to June of the year
Consolidated Interim Statements of Cash Flows	Note N°	2023			2022
		ThUS$			ThUS$
Cash flows generated from (used in) operating activities
Classes of cash receipts generated from operating activities
Cash receipts from sales of goods and rendering of services			4,696,258			4,279,991
Cash receipts from premiums and benefits, annuities and other benefits from policies entered			-			774
Cash receipts derived from sub-leases			89			72
Classes of Payments
Cash payments to suppliers for the provision of goods and services			(3,306,190	)		(1,662,696	)
Cash payments relating to variable leases			(2,213	)		(1,375	)
Other payments related to operating activities			(28,138	)		(6,570	)
Net cash generated from operating activities			1,359,806			2,610,196
Dividends received			6,692			4,797
Interest paid			(68,649	)		(52,707	)
Interest paid on lease liabilities			(804	)		(619	)
Interest received			51,604			4,167
Income taxes paid			(1,150,154	)		(812,818	)
Other cash outflows (1)			(209,254	)		(294,638	)
Net cash (used in) generated from operating activities			(10,759	)		1,458,378
Cash flows generated from (used in) investing activities
Proceeds from the purchase of ownership in associates			(13,480	)		-
Proceeds from the sale of property, plant and equipment			11			43
Acquisition of property, plant and equipment			(520,894	)		(395,385	)
Proceeds from sales of intangible assets			1,000			2,358
Proceeds (payments) related to futures, forward options and swap contracts			32,361			21,148
Loans to related parties			2,731			1,175
Purchase of other long-term assets			(3,392	)		(3,939	)
Other cash inflows (2) (3)			378,650			252,487
Cash flow used in investing activities			(123,013	)		(122,113	)

(1) Other inflows (outflows) of cash from operating activities include net increases (decreases) of value added tax, banking expenses, expenses associated with obtaining loans and taxes associated with interest payments.

(2) Other inflows (outflows) of cash include investments and redemptions of time deposits and other financial instruments that do not qualify as cash and cash equivalent in accordance with IAS 7, paragraph 7, since they mature in more than 90 days from the original investment date.

(3) Other inflows (outflows) of cash from investing activities include guarantees deposits described in note 13.2.

The accompanying notes form an integral part of these consolidated interim financial statements.

5

Consolidated Interim Statements of Cash Flows (Unaudited)

			For the period from January to June of the year
Consolidated Statements of Cash Flows	Note N°		2023			2022
			ThUS$			ThUS$
Cash flows generated from (used in) financing activities
Repayment of lease liabilities				(7,659	)		(5,011	)
Proceeds from long-term loans				100,000			-
Proceeds from short-term loans				905,000			-
Dividends paid				(926,377	)		(829,983	)
Repayment of borrowings				(522,055	)		(7,055	)
Net cash flows used in financing activities				(451,091	)		(842,049	)
Net (decrease) increase in cash and cash equivalents before the effect of changes in the exchange rate				(584,863	)		494,216
Effects of exchange rate fluctuations on cash and cash equivalents				(7,603	)		(62,833	)
(Decrease) increase in cash and cash equivalents				(592,466	)		431,383
Cash and cash equivalents at beginning of period				2,655,236			1,515,051
Cash and cash equivalents at end of period		10		2,062,770			1,946,434

The accompanying notes form an integral part of these consolidated interim financial statements.

6

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Consolidated Interim Statements of Changes in Equity (Unaudited)

Consolidated Interim Statements of Changes in Equity	Share capital		Foreign currency translation reserves			Hedge reserves			Gains and losses from financial assets reserve			Actuarial gains and losses from defined benefit plans reserve			Accumulated other comprehensive income			Other miscellaneous reserves			Total reserves			Retained earnings			Equity attributable to owners of the Parent			Non-controlling interests			Total Equity
	ThUS$		ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$
Equity at January 1, 2023		1,577,643		(8,042	)		(14,575	)		(10,973	)		(9,198	)		(42,788	)		11,663			(31,125	)		3,350,114			4,896,632			35,369			4,932,001
Net profit		-		-			-			-			-			-			-			-			1,330,122			1,330,122			2,182			1,332,304
Other comprehensive income		-		2,025			13,428			(707	)		(7,374	)		7,372			-			7,372			-			7,372			(155	)		7,217
Comprehensive income		-		2,025			13,428			(707	)		(7,374	)		7,372			-			7,372			1,330,122			1,337,494			2,027			1,339,521
Dividends (1)		-		-			-			-			-			-			-			-			(1,319,856	)		(1,319,856	)		(644	)		(1,320,500	)
Other (decreases) in equity		-		-			-			-			-			-			(17	)		(17	)		-			(17	)		-			(17	)
Total changes in equity		-		2,025			13,428			(707	)		(7,374	)		7,372			(17	)		7,355			10,266			17,621			1,383			19,004
Equity as of June 30, 2023		1,577,643		(6,017	)		(1,147	)		(11,680	)		(16,572	)		(35,416	)		11,646			(23,770	)		3,360,380			4,914,253			36,752			4,951,005
Consolidated Interim Statements of Changes in Equity	Share capital		Foreign currency translation reserves			Hedge reserves			Gains and losses from financial assets reserve			Actuarial gains and losses from defined benefit plans reserve			Accumulated other comprehensive income			Other miscellaneous reserves			Total reserves			Retained earnings			Equity attributable to owners of the Parent			Non-controlling interests			Total Equity
	ThUS$		ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$
Equity at January 1, 2022		1,577,643		(7,913	)		(34,025	)		(11,146	)		(4,174	)		(57,258	)		13,103			(44,155	)		1,648,032			3,181,520			34,451			3,215,971
Net profit		-		-			-			-			-			-			-			-			1,655,380			1,655,380			3,537			1,658,917
Other comprehensive income		-		(306	)		19,444			3,070			45			22,253			-			22,253			-			22,253			281			22,534
Comprehensive income		-		(306	)		19,444			3,070			45			22,253			-			22,253			1,655,380			1,677,633			3,818			1,681,451
Dividends (1)		-		-			-			-			-			-			-			-			(1,324,304	)		(1,324,304	)		(2,934	)		(1,327,238	)
Other (decrease) in equity		-		-			-			-			-			-			(1	)		(1	)		-			(1	)		-			(1	)
Total changes in equity		-		(306	)		19,444			3,070			45			22,253			(1	)		22,252			331,076			353,328			884			354,212
Equity as of June 30, 2022		1,577,643		(8,219	)		(14,581	)		(8,076	)		(4,129	)		(35,005	)		13,102			(21,903	)		1,979,108			3,534,848			35,335			3,570,183

(1) See Note 20.7

The accompanying notes form an integral part of these consolidated Interim financial statements. 

 7

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Glossary

The Following capitalized terms in these financial statements (including their notes) will have the following meaning:

“ADS’’ American Depositary Shares;

“CAM’’ Arbitration and Mediation Center of the Santiago Chamber of Commerce;

“CCHEN’’ Chilean Nuclear Energy Commission;

“CCS’’ cross currency swap;

“CINIIF’’ International Financial Reporting Interpretations Committee;

“CMF’’ Financial Market Commission;

“Directors’ Committee” The Company’s Directors’ Committee;

“Corporate Governance Committee’’ The Company’s Corporate Governance Committee;

“Health, Safety and Environment Committee’’ The Company’s Health, Safety and Environment Committee;

“Lease Agreement’’ the mining concessions lease agreement signed by SQM Salar and Corfo in 1993, as subsequently amended;

“Project Contract” project contract for Salar de Atacama undersigned by Corfo and SQM Salar in 1993, as subsequently amended”;

“Corfo” Chilean Economic Development Agency;

“DCV’’ Central Securities Depository;

“DGA’’ General Directorate of Water Resources;

“Board” The Company’s Board of Directors;

“Dollar’’ o “US$’’ Dollars of the United States of America;

“DPA’’ Deferred Prosecution Agreement;

“PFIC’’ Passive foreign investment company;

“United States” United States of America;

“FNE’’ Chilean National Economic Prosecutor’s Office;

“Management’’ the Company’s management;

“SQM Group’’ The corporate group composed of the Company and its subsidiaries

“Pampa Group’’ Jointly the Sociedad de Inversiones Pampa Calichera S.A., Potasios de Chile S.A. and Inversiones Global Mining (Chile) Limitada;

“IASB’’ International Accounting Standards Board;

“SSI’’ Staff severance indemnities;

“Proyect agreement’’ Proyect agreement for the Salar de Atacama signed by Corfo and SQM Salar in 1993, as subse quently amended;

“IFRIC’’ International Financial Reporting Interpretations Committee;

“CPI“ Consumer Price Index;

“IRSW” interest rate swap;

 8

Notes to the Consolidated Interim Financial Statements
June 30, 2023

“Securities Market Law” Securities Market Law No. 18,045;

“Corporate Law’’ Ley 18,046 on corporations;

“ThUS$’’ thousands of Dollars;

“MUS$’’ millions of Dollars;

“IAS” International Accounting Standard;

“IFRS” International Financial Reporting Standard;

“ILO” International Labor Organization;

“WHO” World Health Organization;

“Pesos’’ or “Ch$” Chilean pesos, legal tender in Chile;

“SEC’’ Securities and Exchange Commission;

“Sernageomin’’ National Geology and Mining Service;

“SIC’’ Standard Interpretations Committee;

“IRS” Internal Revenue Service of Chile;

“SMA” Environmental Superintendent’s Office;

“Company” Sociedad Química y Minera de Chile S.A.;

“SOFR” Secured overnight financing rate;

“SQM Industrial” SQM Industrial S.A.;

“SQM NA” SQM North America Corporation;

“SQM Nitratos” SQM Nitratos S.A.;

“SQM Potasio” SQM Potasio S.A.;

“SQM Salar” SQM Salar S.A.;

“Tianqi” Tianqi Lithium Corporation;

“UF” Unidad de Fomento (a Chilean Peso based inflation indexed currency unit);

 9

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 1 Identification and Activities of the Company and Subsidiaries

1.1 Historical background

Sociedad Química y Minera de Chile S.A. is an open stock corporation organized under the laws of the Republic of Chile and its Chilean Tax Identification Number is 93.007.000-9.

The Company was incorporated through a public deed dated June 17, 1968 by the public notary of Santiago Mr. Sergio Rodríguez Garcés. Its existence was approved by Decree No. 1,164 of June 22, 1968 of the Ministry of Finance, and it was registered on June 29, 1968 in the Registry of Commerce of Santiago, on page 4,537 No. 1,992. SQM’s headquarters are located at El Trovador 4285, Floor 6, Las Condes, Santiago, Chile, The Company’s telephone number is +(56 2) 2425-2000.

The Company is registered in the CMF under number 184 of March 18, 1983 and is therefore subject to oversight by that entity.

1.2 Main domicile where the Company performs its production activities

The Company’s main domiciles are: Calle Dos Sur plot No. 5 - Antofagasta; Arturo Prat 1060 - Tocopilla; Administration Building w/n - Maria Elena; Administration Building w/n Pedro de Valdivia - María Elena, Anibal Pinto 3228 - Antofagasta, Kilometer 1378 Ruta 5 Norte Highway - Antofagasta, Coya Sur Plant w/n - Maria Elena, kilometer 1760 Ruta 5 Norte Highway - Pozo Almonte, Salar de Atacama (Atacama Saltpeter deposit) potassium chloride plant w/n - San Pedro de Atacama, potassium sulfate plant at Salar de Atacama w/n – San Pedro de Atacama, Minsal Mining Camp w/n CL Plant CL, Potassium– San Pedro de Atacama, formerly the Iris Saltpeter office w/n, Commune of Pozo Almonte, Iquique, Level 1 and 225 Dt Georges Tce Perth WA 6000, Australia.

1.3 Codes of main activities

The codes of the main activities as established by the CMF, as follows:

· 1700 (Mining)

· 2200 (Chemical products)

· 1300 (Investment)

1.4 Description of the nature of operations and main activities

The products of the Company are mainly derived from mineral deposits found in northern Chile where mining takes place and caliche and brine deposits are processed.

(a) Specialty plant nutrition: Four main types of specialty plant nutrients are produced: potassium nitrate, sodium nitrate, sodium potassium nitrate and specialty blends. In addition, other specialty fertilizers are sold including third party products.

(b) Iodine: The Company produces iodine and iodine derivatives, which are used in a wide range of medical, pharmaceutical, agricultural and industrial applications, including x-ray contrast media, polarizing films for LCD and LED, antiseptics, biocides and disinfectants, in the synthesis of pharmaceuticals, electronics, pigments and dye components.

(c) Lithium: The Company produces lithium carbonate, which is used in a variety of applications, including electrochemical materials for batteries, frits for the ceramic and enamel industries, and it is an important ingredient in the manufacture of gunpowder, heat-resistant glass (ceramic glass), air conditioning chemicals, continuous casting powder for steel extrusion, primary aluminum smelting process, pharmaceuticals and lithium derivatives. We are also a leading supplier of lithium hydroxide, which is primarily used as an input for the lubricating greases industry and for certain cathodes for batteries.

 10

Notes to the Consolidated Interim Financial Statements
June 30, 2023

(d) Industrial chemicals: The Company produces three industrial chemicals: sodium nitrate, potassium nitrate and potassium chloride. Sodium nitrate is used primarily in the production of glass, explosives, and metal treatment. Potassium nitrate is used in the manufacturing of specialty glass, and it is also an important raw material to produce of frits for the ceramics and enamel industries. Solar salts, a combination of potassium nitrate and sodium nitrate, are used as a thermal storage medium in concentrated solar power plants. Potassium chloride is a basic chemical used to produce potassium hydroxide, and it is also used oil drilling, and to produce carrageenan.

(e) Potassium: The Company produces potassium chloride and potassium sulfate from brines extracted from the Salar de Atacama. Potassium chloride is a commodity fertilizer used to fertilize a variety of crops including corn, rice, sugar, soybean and wheat. Potassium sulfate is a specialty fertilizer used mainly in crops such as vegetables, fruits and industrial crops.

(f) Other products and services: The Company also sells other fertilizers and blends, some of which we do not produce, mainly potassium nitrate, potassium sulfate and potassium chloride. This business line also includes revenue from commodities, services, interests, royalties and dividends.

 11

Notes to the Consolidated Interim Financial Statements
June 30, 2023

1.5 Other background

(a) Employees

As of June 30, 2023, and December 31, 2022, the workforce was as follows:

	As of June 30, 2023						As of December 31, 2022
Employees	SQM S.A.		Other subsidiaries		Total		SQM S.A.		Other subsidiaries		Total
Executives		31		131		162		32		128		160
Professionals		195		2,721		2,916		177		2,506		2,683
Technicians and operators		329		4,013		4,342		309		3,845		4,154
Total		555		6,865		7,420		518		6,479		6,997

	As of June 30, 2023						As of December 31, 2022
Place of work	SQM S.A.		Other subsidiaries		Total		SQM S.A.		Other subsidiaries		Total
In Chile		555		6,320		6,875		518		6,015		6,533
Outside Chile		-		545		545		-		464		464
Total		555		6,865		7,420		518		6,479		6,997

(b) Main shareholders

As of June 30, 2023, there were 1,165 shareholders.

Following table shows information about the main shareholders of the Company’s Series A or Series B shares in circulation as of June 30, 2023, and as of December 31, 2022, in line with information provided by the DCV, with respect to each shareholder that, to our knowledge, owns more than 5% of the outstanding Series A or Series B shares. The following information is derived from our registry and reports managed by the DCV and informed to the CMF and the Chilean Stock Exchange:

Shareholders as of June 30, 2023	No. of Series A		% of Series A shares			No. of Series B		% of Series B shares			% of total shares
Inversiones TLC Spa (1)		62,556,568		43.80	%		-		-			21.90	%
The Bank of New York Mellon, ADRs		-		-			56,335,096		39.45	%		19.72	%
Sociedad De Inversiones Pampa Calichera S.A (2)		43,133,789		30.20	%		1,611,227		1.13	%		15.66	%
Potasios De Chile S.A.		18,179,147		12.73	%		-		-			6.36	%
Banco De Chile Por Cuenta De State Street		-		0.00	%		11,095,851		7.77	%		3.88	%
AFP Habitat S.A.		478,755		0.34	%		9,859,466		6.90	%		3.62	%
Global Mining Spa		8,798,539		6.16	%		-		-			3.08	%
Banco Santander via foreign investor accounts		-		-			8,193,164		5.74	%		2.87	%
AFP Capital S.A.		-		-			7,523,343		5.27	%		2.63	%
AFP Cuprum S.A.		-		-			7,413,706		5.19	%		2.60	%
AFP Provida S.A.		-		-			6,534,917		4.58	%		2.29	%
Banco de Chile non-resident third party accounts		82,784		0.06	%		5,669,434		3.97	%		2.01	%

 12

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Shareholders as of December 31, 2022	No. of Series A		% of Series A shares			No. of Series B		% of Series B shares			% of total shares
The Bank of New York Mellon, ADRs		-		-			64,555,045		45.20	%		22.60	%
Inversiones TLC Spa (1)		62,556,568		43.80	%		-		-			21.90	%
Sociedad de Inversiones Pampa Calichera S.A. (2)		43,133,789		30.20	%		1,611,227		1.13	%		15.66	%
Potasios De Chile S.A.		18,179,147		12.73	%		-		-			6.36	%
Banco de Chile via State Street		79,265		0.06	%		10,979,388		7.69	%		3.87	%
AFP Habitat S.A.		-		-			9,504,885		6.66	%		3.33	%
Inv. Global Mining Chile Ltda.		8,798,539		6.16	%		-		-			3.08	%
Banco Santander via foreign investor accounts		545,729		0.38	%		8,181,775		5.73	%		3.06	%
AFP Cuprum S.A.		-		-			6,535,039		4.58	%		2.29	%
Banco de Chile non-resident third party accounts		62,829		0.04	%		6,181,476		4.33	%		2.19	%
AFP Capital S.A.		-		-			5,652,982		3.96	%		1.98	%
AFP Provida S.A.		-		-			5,263,361		3.69	%		1.84	%

(1) As reported by DCV, which records the Company’s shareholders’ register as of June 30, 2023 and December 31, 2022, Inversiones TLC SpA, a subsidiary wholly owned Tianqi Lithium Corporation, is the direct owner of 62,556,568 Series A shares of The Company equivalent to 21.90% of SQM’s shares. Tianqi Lithium Corporation it owns 748,490 Series B SQM shares as reported by Inversiones TLC Spa. So as of June 30, 2023, and December 31, 2022, Tianqi Lithium Corporation owns 22.16% of SQM’s total Series A shares and ADS holders of Series B shares.

(2) As of June 30, 2023, and December 31, 2022, Sociedad de Inversiones Pampa Calichera S.A. owned 46,600,458 Series A and B shares with 1,855,442 Series A shares held in custody by stackbrokers.

 13

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 2 Basis of presentation for the consolidated financial statements

2.1 Accounting period

These consolidated financial statements cover the following periods:

(a) Consolidated Interim Statements of Financial Position as of June 30, 2023 and December 31, 2022.

(b) Consolidated Interim Statements of Income for the three and six-month periods ended June 30, 2023 and 2022.

(c) Consolidated Interim Statements of Comprehensive Income for the three and six-month periods ended June 30, 2023 and 2022.

(d) Consolidated Interim Statements of Changes in Equity for the six-month periods ended June 30, 2023 and 2022.

(e) Consolidated Interim Statements of Cash Flows for the six-month periods ended June 30, 2023 and 2022.

2.2 Consolidated financial statements

The consolidated interim financial statements of Sociedad Química y Minera de Chile S.A. and its subsidiaries were prepared in accordance with la IAS 34 “Interim Financial Reporting”.

The consolidated interim financial statements should be read in conjunction with the annual financial statements as of December 31, 2022.

The accounting principles and criteria used in these interim financial statements were consistently applied throughout both periods and to the annual financial statements as of December 31, 2022. There have been no changes in the methods used to calculate accounting estimates during the periods reported.

IFRS establish certain alternatives for their application, those applied by the Company are detailed in this Note and Note 3.

 14

Notes to the Consolidated Interim Financial Statements
June 30, 2023

2.3 Basis of measurement

The consolidated financial statements have been prepared on the historical cost basis except for the following:

(a) Inventories are recorded at the lower of cost and net realizable value.

(b) Financial derivatives measured at fair value.

(c) Certain financial investments measured at fair value with an offsetting entry in other comprehensive income.

2.4 Accounting pronouncements

New accounting pronouncements

(a) The following standards, interpretations and amendments are mandatory for the first time for annual periods beginning on January 1, 2023:

Amendments and improvements	Description	Mandatory for annual periods beginning on or after
Amendment to IAS 12 – Deferred taxes related to assets and liabilities that arise from a single transaction	These amendments require companies to recognize deferred taxes on transactions that result in equal amounts in taxable and deductible temporary differences in the initial recognition.	01-01-2023
Amendment to IAS 12 “Income Taxes” on International Tax Reform - Pillar Two Model Rules	This amendment provides companies with a temporary exemption from accounting for deferred taxes arising from the Organization for Economic Cooperation and Development (OECD) international tax reform. The amendments also introduce specific disclosure requirements for affected companies.	01-01-2023
Amendments to IAS 1 “Presentation of Financial Statements” about the classification of liabilities.	This amendment clarifies that liabilities are classified as either current or non-current, depending on their rights as of the reporting date. The classification is not affected by the expectations of the entity or events after the reporting date. For example, the receipt of a waiver or non-compliance with an agreement. The amendment also clarifies what IAS 1 means when it refers to the “settlement” of a liability.  The amendment should be applied retrospectively in accordance with IAS 8.	01-01-2023

Management determined that the adoption of the aforementioned standards, amendments and interpretations did not significantly impact the company’s consolidated financial statements.

 15

Notes to the Consolidated Interim Financial Statements
June 30, 2023

(b) Standards, interpretations and amendments issued that had not become effective for financial statements beginning on January 1, 2023 and which the Company has not adopted early are as follows:

Standards and Interpretations	Description	Mandatory for annual periods beginning on or after
Amendment to IAS 1 “Non-current liabilities with covenants”.	The amendment is aimed at improving the information that an entity provides when the payment terms of its liabilities can be deferred depending on compliance with covenants within the twelve months following the date of issue of the financial statements.	01-01-2024
Amendments to IFRS 16 “Leases”	On sales with leaseback, which explains how an entity should recognize the rights to use the asset and how the profits or losses from the sale and leaseback should be recognized in the financial statements.	01-01-2024
Amendments to IAS 7 “Statement of Cash Flows” and IFRS 7 “Financial Instruments: Disclosures” on supplier financing arrangements.	These amendments require disclosures that improve the transparency of supplier financing arrangements and their effects on a company’s liabilities, cash flows and exposure to liquidity risk.	01-01-2024

Management believes that the adoption of the above standards, amendments and interpretations will not have a significant impact on the Company’s financial statements.

 16

Notes to the Consolidated Interim Financial Statements
June 30, 2023

2.5 Basis of consolidation

(a) Subsidiaries

The Company established control as the basis of consolidation of its financial statements. The Company controls a subsidiary when it is exposed, or has rights, to variable returns from its involvement with the subsidiary and has the ability to affect those returns through its power over the subsidiary.

The consolidation of a subsidiary starts when the Group controls it and it is no longer included in the consolidation when control is lost.

Subsidiaries are consolidated through the line by line method, adding items that represent assets, liabilities, income and expenses with a similar content, and eliminating operations between companies within the SQM Group.

Results for dependent companies acquired or disposed of during the period are included in the consolidated accounts from the date on which control is transferred to the SQM Group or until the date when this control ends, as relevant.

To account for an acquisition of a business, the Company uses the acquisition method. Under this method, the acquisition cost is the fair value of assets delivered, equity securities issued, and incurred or assumed liabilities at the date of exchange. Assets, liabilities and contingencies identifiable assumed in a business combination are measured initially at fair value at the acquisition date. For each business combination, the Company will measure the non-controlling interest of the acquiree either at fair value or as proportional share of net identifiable assets of the acquire.

The details of the consolidated companies can be found in Note 7.

2.6 Investments in associates and joint ventures

Investments in joint arrangements are classified as joint operations or joint ventures. The classification depends on the contractual rights and obligations of each investor, rather than the legal structure of the joint arrangement.

(a) Joint operations

The Company recognizes its direct right to the assets, liabilities, income and expenses of the joint arrangement.

(b) Joint ventures and investments in associates

Interests in companies over which joint control is exercised (joint ventures) or where an entity has significant influence (associates) are recognized using the equity accounting method. Significant influence is presumed when the investor owns over 20% of the investee’s share capital. The investment is recognized using this method in the statement of financial position at cost plus changes subsequent to acquisition and includes the proportional share of the associate’s equity. For these purposes, the percentage interest in the associate is used. The associated acquired goodwill is included in the investee’s book value and is not amortized. The debit or credit to the income statement reflects the proportional share of the profit or loss of the associate.

Unrealized gains from transactions with joint ventures or associates are eliminated in accordance with the Company’s percentage interest in such entities. Any unrealized losses are also eliminated, unless that transaction provides evidence that the transferred asset is impaired.

Changes in associate’s or joint ventures equity are recognized proportionally with a charge or credit to “Other Reserves” and are classified according to their origin. The reporting dates of the associate or joint ventures, the Company and related policies are similar for equivalent transactions and events in similar circumstances. In the event that significant influence is lost, or the investment is sold, or held for sale, the equity method is suspended, not recognizing the proportional share of the gain or loss. If the resulting value under the equity method is negative, the share of profit or loss is reflected as zero in the consolidated financial statements, unless there is a commitment by the Company to restore the capital position of the Company, in which case the related risk provision and expense are recorded.

 17

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Dividends received by these companies are recorded by reducing the value of the investment and are shown in cash flows from operating activities, and the proportional share of the gain or loss recognized in accordance with the equity method is included in the consolidated income statement under “Share of Gains (Losses) of Associates and Joint Ventures Accounted for Using the Equity Method’’.

 18

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 3 Significant accounting policies

3.1 Classification of balances as current and non-current

In the consolidated statement of financial position, balances are classified in consideration of their maturity dates; i.e., those maturing within a period equal to or less than 12 months are classified as current counted from the closing date of the consolidated financial statements and those with maturity dates exceeding the aforementioned period are classified as non-current.

The exception to the foregoing relates to deferred taxes, which are classified as non-current, regardless of the maturity they have.

3.2 Functional and presentation currency

The Company’s consolidated financial statements are presented in United States dollars, without decimal places, which is the Company’s functional and presentation currency and is the currency of the main economic environment in which it operates. Consequently, the term foreign currency is defined as any currency other than the U.S. dollar.

3.3 Accounting policy for foreign currency translation

(a) SQM group entities:

The revenue, expenses, assets and liabilities of all entities that have a functional currency other than the presentation currency are converted to the presentation currency as follows:

- Assets and liabilities are converted at the closing exchange rate prevailing on the reporting date.

- Revenues and expenses of each profit or loss account are converted at monthly average exchange rates.

- All resulting foreign currency translation gains and losses are recognized as a separate component in translation reserves.

In consolidation, foreign currency differences arising from the translation of a net investment in foreign entities are recorded in shareholder’s equity (“foreign currency translation reserve”). At the date of disposal, such foreign currency translation differences are recognized in the statement of income as part of the gain or loss from the sale.

 19

Notes to the Consolidated Interim Financial Statements
June 30, 2023

The main exchange rates and UF used to translate monetary assets and liabilities, expressed in foreign currency at the end and average of each period in respect to U.S. dollars, are as follows:

	Closing exchange rates				Average exchange rates
Currencies	As of June 30, 2023		As of December 31, 2022		As of June 30, 2023		As of December 31, 2022
	ThUS$		ThUS$		ThUS$		ThUS$
Brazilian real		4.79		5.28		4.86		5.25
New Peruvian sol		3.62		3.81		3.65		3.83
Japanese yen		144.28		131.32		141.29		134.70
Euro		0.92		0.93		0.92		0.94
Mexican peso		17.13		19.50		17.24		19.60
Australian dollar		1.50		1.47		1.49		1.48
Pound Sterling		0.79		0.83		0.79		0.82
South African rand		18.80		17.01		18.74		17.28
Chilean peso		801.66		855.86		799.38		873.81
Chinese yuan		7.27		6.92		7.17		6.98
Indian rupee		82.04		82.73		82.24		82.52
Thai Baht		35.28		34.64		34.89		34.76
Turkish lira		26.01		18.71		23.67		18.66
Korean Won		1.317,79		1,259.98		1,296.29		1,291.64
Indonesian Rupiah		15,063.00		15,570.00		14,938.80		15,596.90
United Arab Emirates dirham		3.67		3.67		3.67		3.67
Polish Zloty		4.06		4.37		4.12		4.42
UF (*)		45.02		41.02		45.15		40.18

(*) US$ per UF

(b)         Transactions and balances

The Company’s non-monetary transactions in currencies other than the functional currency (Dollar) are translated to the respective functional currencies of Group entities at the exchange rate on the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the reporting date are retranslated to the functional currency at the exchange rate at that date. All differences are recorded in the statement of income except for all monetary items that provide an effective hedge for a net investment in a foreign operation. These items are recognized in other comprehensive income until disposal of the investment, when they are recognized in the statement of income. Charges and credits attributable to foreign currency translation differences on those hedge monetary items are also recognized in other comprehensive income.

Non-monetary assets and liabilities that are measured at historical cost in a foreign currency are retranslated to the functional currency at the historical exchange rate of the transaction. Non-monetary items measured based on fair value in a foreign currency are translated using the exchange rate at the date on which the fair value is determined.

 20

Notes to the Consolidated Interim Financial Statements
June 30, 2023

3.4 Consolidated statement of cash flows

Cash equivalents correspond to highly liquid short-term investments that are easily convertible into known amounts of cash and subject to insignificant risk of changes in their value and mature in less than three months from the date of acquisition of the instrument.

For the purposes of the statement of cash flows, cash and cash equivalents comprise cash and cash equivalents as defined above.

The statement of cash flows present cash transactions performed during the period, determined using the direct method.

3.5 Financial assets

Management determines the classification of its financial assets at fair value (either through other comprehensive income, or through profit or loss), and at amortized cost. The classification depends on the business model of the entity to manage the financial assets and the contractual terms of the cash flows.

The initial value of the Company’s financial assets valued at fair value through comprehensive income includes the transaction costs that are directly attributable to acquiring that financial asset on the date the Company commits to acquiring it, whereas the transaction costs for financial assets valued at fair value through profit or loss are expensed. The initial value of trade and other receivables that do not include a significant financial component is their transaction price.

After initial recognition, the Company measures its financial assets according to the Company’s business model for managing its financial assets and the contractual terms of its cash flows:

(a) Financial debt instruments measured at amortized cost. Financial assets that meet the following conditions are included in this category the business model that supports it aims to maintain the financial assets to obtain the contractual cash flows and the contractual conditions of the financial asset give place, on specified dates, to cash flows that are only payments of the principal and interest on the outstanding principal amount. The Company’s financial assets that meet these conditions are: (i) cash equivalents, (ii) related party receivables, (iii) trade debtors and (iv) other receivables.

(b) Financial instruments at fair value. A financial asset should be measured at fair value through profit or loss or fair value through other comprehensive income, depending on the following:

(i) “Fair Value Through Other Comprehensive Income”: Assets held to collect contractual cash flows and to be sold, where the asset cash flows are only capital and interest payments, are measured at fair value through other comprehensive income. Changes in book values are through other comprehensive income, except for the recognition of impairment losses, interest income and exchange gains and losses, which are recognized in the income statement. When a financial asset is derecognized, the cumulative gain or loss previously recognized in other comprehensive income is reclassified from equity to the income statement. Interest income from these financial assets is included in financial income using the effective interest method.

(ii) “Fair Value Through Profit and Loss”: Assets that do not meet the amortized cost or “Fair Value Through Other Comprehensive Income” criteria are valued at “Fair Value Through Profit and Loss”.

 21

Notes to the Consolidated Interim Financial Statements
June 30, 2023

(c) Financial equity instruments at fair value through other comprehensive income. Equity instruments that are not classified as held for trading and which the Group has irrevocably chosen to recognize in this category. Amounts presented in other comprehensive income will not be subsequently transferred to profit or loss.

3.6 Financial assets impairment

The Company evaluates expected credit losses associated with its debt instruments carried at amortized cost. The impairment method used depends on whether there has been a significant increase in credit risk.

The Company assumes that the credit risk of a financial asset has increased significantly when it is more than 30 days past due. It is in default when the financial asset is more than 90 days past due and an individual analysis has concluded that it has a negative credit impairment.

The Company assesses the credit impairment of its receivables as of each reporting date. A financial asset has credit impairment when one or more events have a negative impact on the expected cash flows from it. Evidence of credit impairment for a debtor is as follows:

- Significant financial hardship

- Breach of contract due to default

- Probability of going bankrupt

The Company applies the simplified approach to measure expected credit losses using the lifetime expected loss on all trade receivables. Expected credit losses are measured by grouping receivables by their shared credit risk characteristics and days overdue.

The Company has concluded that the expected loss rates for trade receivables are a reasonable approximation of the loss rates for these assets. Expected loss rates are based on sales payment profiles and historical credit losses within this period. Historical loss rates are adjusted to reflect current expectations and information regarding macroeconomic factors that affect the ability of customers to meet their commitments. Impairment losses from receivables and contract assets are shown as net impairment losses in the line “Impairment of financial assets and reversal of impairment losses,” see Note 22.7. Any subsequent recoveries of financial assets previously charged off are credited to the same line.

The gross value of a financial asset is charged off to the income statement when the Company has no reasonable expectation of recovering all or a portion of it, following an individual analysis prepared by management.

3.7 Financial liabilities

Management accounts for its financial liabilities at amortized cost.

Upon initial recognition, the Company measures its financial liabilities by their fair value less the transaction costs that are directly attributable to the acquisition of the financial liability. The Company subsequently measures its financial liabilities at amortized cost.

Financial liabilities measured at amortized cost are commercial accounts payable and other accounts payable and other financial liabilities.

Amortized cost is based using the effective interest rate method. Amortized cost is calculated by considering any premium or discount on the acquisition and includes transaction costs that are an integral part of the effective interest rate.

 22

Notes to the Consolidated Interim Financial Statements
June 30, 2023

3.8 Estimated fair value of financial instruments

The fair value of financial assets and liabilities is estimated using the following information. Although the data represent Management’s best estimates, it is subjective and involves significant estimates regarding current economic conditions, market conditions and risk characteristics.

Methodologies and assumptions used depend on the risk terms and characteristics of instruments and include the following as a summary:

Fair value estimation

Financial assets and liabilities measured at fair value consist of forwards hedging the mismatch in the balance sheet and cash flows, options hedging the mismatch in the balance sheet and cross currency swaps to hedge bonds issued in local currency (Peso/UF).

The fair value of the Company’s assets and liabilities recognized by cross currency swaps contracts is calculated as the difference between the present value of discounted cash flows of the asset (Peso/UF) and liability (Dollar) parts of the derivative. In the case of the IRSW, the asset value recognized is calculated as the difference between the discounted cash flows of the asset (variable rate) and liability (fixed rate) parts of the derivative. Forwards are calculated as the difference between the strike price of the contract and the spot price plus the forwards points at the date of the contract. Financial options: the value recognized is calculated using the Black-Scholes method.

In the case of CCS, the entry data used for the valuation models are UF, Peso, Dollar and basis swap rates. In the case of fair value calculations for interest rate swaps, the Forward Rate Agreement rate and ICVS 23 Curve (Bloomberg: cash/deposits rates, futures, swaps). In the case of forwards, the forwards curve for the currency in question is used. Finally, for options, the spot price, risk-free rate and volatility of exchange rate are used, all in accordance with the currencies used in each valuation. The financial information used as entry data for the Company’s valuation models is obtained from Bloomberg, the well-known financial software company. Conversely, the fair value provided by the counterparties of derivatives contracts is used only as a control and not for valuation.

The effects on profit or loss of movements in these amounts is recognized in the caption finance costs, foreign currency translation gain (loss) or cash flow hedge reserve in the statement of comprehensive income, depending on each particular case.

Estimate of fair value for disclosure purposes

· Cash equivalent approximates fair value due to the short-term maturities of these instruments.

· The fair value of current trade receivables is considered to be equal to the carrying amount due to the maturity of such accounts at short-term.

· Payables, current lease liabilities and other current financial liabilities are considered fair value equal to book value due to the short-term maturity of these accounts.

· The fair value of the debt (long-term secured and unsecured debentures; bonds denominated in local currency (Peso/UF) and foreign currency (Dollar), borrowings denominated in foreign currency (Dollar) and lease liabilities of the Company are calculated at current value of cash flows subtracted from market rates upon valuation, considering the terms of maturity and exchange rates. The UF and Peso rate curves are used as inputs for the valuation model. This information is obtained through from the renowned financial software company, Bloomberg, and the Chilean Association of Banks and Financial Institutions.

 23

Notes to the Consolidated Interim Financial Statements
June 30, 2023

3.9 Reclassification of financial instruments

When the Company changes its business model for managing financial assets, it will reclassify all its financial assets affected by the new business model. Financial liabilities cannot be reclassified.

3.10 Financial instruments derecognition

The Company derecognizes a financial asset when the contractual rights to the cash flows from the asset expire, or it transfers the rights to receive the contractual cash flows in a transaction in which substantially all the risks and rewards of ownership of the financial asset are transferred; and the control of the financial assets has not been retained.

The Company derecognizes a financial liability when its contractual obligations or a part of these are discharged, paid to the creditor or legally extinguished from the principle responsibility contained in the liability.

3.11 Derivative and hedging financial instruments

The financial instruments derivatives are recognized initially at fair value as of the date on which the derivatives contract is signed and, they are subsequently assessed at fair value. The method for recognizing the resulting gain or loss depends on whether the derivative has been designated as an accounting hedge instrument and, if so, it depends on the type of hedging, which may be as follows:

a) Fair value hedge of assets and liabilities recognized (fair value hedges).

b) Hedging of a single risk associated with a recognized asset or liability or a highly probable forecast transaction (cash flow hedge).

At the beginning of the transaction, the Company documents the relationship that exists between hedging instruments and those items hedged, as well as their objectives for risk management purposes and the strategy to conduct different hedging operations.

The Company also documents its evaluation both at the beginning and at the end of each period if the derivatives used in hedging transactions are highly effective to offset changes in the fair value or in cash flows of hedged items.

The fair value of derivative instruments used for hedging purposes is shown in Note 13.3.

Derivatives that are not designated or do not qualify as hedging derivatives are classified as current assets or liabilities, and changes in the fair value are directly recognized through profit or loss.

a) Fair value hedge

Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recorded in profit or loss, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk. The gain or loss relating to the effective portion of interest rate swaps that hedge fixed rate borrowings is recognized in profit or loss within finance costs, together with changes in the fair value of the hedged fixed rate borrowings attributable to interest rate risk. The gain or loss relating to the ineffective portion is recognized in profit or loss within other income or other expenses. If the hedge no longer meets the criteria for hedge accounting, the adjustment to the carrying amount of a hedged item for which the effective interest method is used is amortized to profit or loss over the period to maturity using a recalculated effective interest rate.

 24

Notes to the Consolidated Interim Financial Statements
June 30, 2023

b)     Cash flow hedges

The effective portion of the gain or loss on the hedging instrument is initially recognized with a debit or credit to other comprehensive income, while any ineffective portion is immediately recognized to income, as appropriate, depending on the nature of the hedged risk. The amounts accumulated in other comprehensive income are carried over to results when the hedged items are settled or when these have an impact on income.

When a hedging instrument no longer meets the criteria for hedge accounting, any cumulative deferred gain or loss and deferred costs of hedging in equity at that time remains in equity until the forecast transaction occurs.

When the forecast transaction is no longer expected to occur, the cumulative gain or loss and deferred costs of hedging that were reported in other comprehensive income are immediately reclassified to profit or loss.

3.12 Derivative financial instruments not considered as hedges

Derivative financial instruments not considered as hedges are recognized at fair value with the effect in the profit of the year. The Company has derivative financial instruments to hedge foreign currency risk exposure.

The Company continually evaluates the existence of embedded derivatives in both its contracts and in its financial instruments. As of June 30, 2023, and December 31, 2022, the Company does not have any embedded derivatives.

3.13 Deferred acquisition costs from insurance contracts

Acquisition costs from insurance contracts are classified as prepayments and correspond to insurance contracts in force, recognized using the straight-line method and on an accrual basis independent of payment date. These are recognized under other non-financial assets current.

3.14 Leases

(a) Right-of-use assets

The Company recognizes right-of-use assets on the initial lease date (i.e., the date on which the underlying asset is available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, adjusted by any new measurement of the lease liability. The cost of right-of-use assets includes the amount of recognized lease liabilities, direct initial costs incurred and lease payments made on the start date or sooner, less the lease incentives received. Unless the Company is reasonably sure it will take ownership of the leased asset at the end of the lease period, the assets recognized through right-of-use are depreciated in a straight line during the shortest period of their estimated useful life and lease period. Right-of-use assets are subject to impairment.

(b) Lease liabilities

On the lease start date, the Company recognizes lease liabilities measured at present value of lease payments that will be made during the lease period. Lease payments include fixed payments (including payments that are essentially fixed), less incentives for lease receivables, variable lease payments that are dependent on an index or rate and amounts that are expected to be paid as guaranteed residual value. Lease payments also include the exercise price of a purchase option if the Company is reasonably sure it will exercise this and penalty payments for terminating a lease, if the lease period reflects that the Company will exercise the option to terminate. Variable lease payments that are not dependent on an index or rate are recognized as expenses in the period that produces the event or condition that triggers payment.

When calculating the present value of lease payments, the Company uses the incremental borrowing rate on the initial lease date if the interest rate implicit in the lease cannot be determined easily. After the start date, the lease liability balance will increase to reflect the accumulation of interest and will diminish as lease payments are made. Furthermore, the book value of lease liabilities is remeasured in the event of an amendment, a change in the lease period, a change in the fixed lease payments in substance or a change in the assessment to buy the underlying asset.

 25

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Payments made that affect lease liabilities are presented as part of the financing activities in the cash flow statement.

(c) Short-term leases and low-value asset leases

The Company applies the short-term lease recognition exemption to leases with a lease term of 12 months or less starting on the start date and that don’t have a purchase option. It also applies the low-value asset lease recognition exemptions to leases less than the limit specified in the respective accounting standard. Lease payments in short-term leases and low-value asset leases are recognized as lineal expenses during the lease term.

(d) Significant judgments in the determination of the lease term for contracts with renewal options.

The Company determines the lease term as the non-cancellable period of the lease, together with periods covered by an option to extend the lease if it is reasonably certain that this will be exercised, or any period covered by an option to terminate the lease, if it is reasonably certain that this will not be exercised.

The Company has the option, under some of its leases, to lease assets for additional terms. The Company applies its judgment when assessing whether it is reasonably certain that it will exercise the option to renovate. In other words, it considers all the relevant factors that create an economic incentive for it to exercise the option to renovate. After the start date, the Company reevaluates the lease term if there is a significant event or change in the circumstances that are under its control and affect its capacity to exercise (or not exercise) the option to renovate.

3.15 Inventory measurement

The method used to determine the cost of inventories is the weighted average monthly cost of warehouse storage. In determining production costs for own products, the company includes the costs of labor, raw materials, materials and supplies used in production, depreciation and maintenance of the goods that participate in the production process, the costs of product movement necessary to maintain stock on location and in the condition in which they are found, and also includes the indirect costs of each task such as laboratories, process and planning areas, and personnel expenses related to production, among others.

For finished and in-process products, the company has four types of provisions, which are reviewed quarterly:

(a) Provision associated with the lower value of stock: The provision is directly identified with the product that generates it and involves three types: (i) provision of lower realizable value, which corresponds to the difference between the inventory cost of intermediary or finished products, and the sale price minus the necessary costs to bring them to the same conditions and location as the product with which they are compared; (ii) provision for future uncertain use that corresponds to the value of those products in process that are likely not going to be used in sales based on the company’s long-term plans; (iii) reprocessing costs of products that are unfeasible for sale due to current specifications.

(b) Provision associated with physical differences in inventory: A provision is made for differences that exceed the tolerance considered in the respective inventory process (physical and annual inventories are taken for the productive units in Chile and the port of Tocopilla; the business subsidiaries depend on the last zero ground obtained, but in general it is at least once a year), these differences are recognized immediately.

 26

Notes to the Consolidated Interim Financial Statements
June 30, 2023

(c) Potential errors in the determination of stock: The company has an algorithm that is reviewed at least once a year and corresponds to diverse percentages assigned to each inventory based on the product, location, complexity involved in the associated measurement, rotation and control mechanisms.

Inventories of raw materials, materials and supplies for production are recorded at acquisition cost. Cyclical inventories are performed in warehouses, as well as general inventories every three years. Differences are recognized at the moment they are detected. The company has a provision based on quarterly calculations from percentages associated with each type of material (classification by warehouse and rotation), these percentages use the lower value resulting from deterioration or obsolescence as well as potential losses. This provision is reviewed at least annually, and considers the historical profit and loss obtained in the inventory processes.

3.16 Non-controlling interests

Non-controlling interests are recorded in the consolidated statement of financial position within equity but separate from equity attributable to the owners of the Parent.

3.17 Related party transactions

Transactions between the Company and its subsidiaries are part of the Company’s normal operations within its scope of business activities. Conditions for such transactions are those normally effective for those types of operations with regard to terms and market prices. The maturity conditions vary according to the originating transaction.

3.18 Property, plant and equipment

Property, plant and equipment are stated at acquisition cost, net of the related accumulated depreciation, amortization and impairment losses that they might have experienced.

In addition to the price paid for the acquisition of tangible property, plant and equipment, the Company has considered the following concepts as part of the acquisition cost, as applicable:

(a) Accrued interest expenses during the construction period that are directly attributable to the acquisition, construction or production of qualifying assets, which are those that require a substantial period prior to being ready for use. The interest rate used is that related to the project’s specific financing or, should this not exist, the average financing rate of the investor company.

(b) The future costs that the Company will have to experience, related to the closure of its facilities at the end of their useful life, are included at the present value of disbursements expected to be required to settle the obligation and are recorded as a liability and its subsequent variation is recorded directly in results.

Having initially recognized provisions for closure and refurbishment, the corresponding cost is capitalized as an asset in “Property, plant and equipment” and amortized in line with the amortization criteria for the associated assets.

Construction-in-progress is transferred to property, plant and equipment in operation once the assets are available for use and the related depreciation and amortization begins on that date.

Extension, modernization or improvement costs that represent an increase in productivity, ability or efficiency or an extension of the useful lives of property, plant and equipment are capitalized as a higher cost of the related assets. All the remaining maintenance, preservation and repair expenses are charged to expense as they are incurred.

The replacement of assets, which increase the asset’s useful life or its economic capacity, are recorded as a higher value of property, plant and equipment with the related derecognition of replaced or renewed elements.

 27

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Gains or losses which are generated from the sale or disposal of property, plant and equipment are recognized as income or (loss) in the period and calculated as the difference between the asset’s sales value and its net carrying value.

Costs derived from the daily maintenance of property, plant and equipment are recognized when incurred.

The cost of interest is recognized by applying an average or average weighted interest rate for all financing costs incurred by the Company to the final monthly balances for works underway and complies with the requirements of the required standard.

Financing costs are not activated for periods that exceed the normal term for acquisition, construction or installation of the property; such is the case for delays, interruptions or temporary suspension of the project due to technical, financial or other problems that make it impossible to leave the property in usable conditions.

3.19 Depreciation of property, plant and equipment

Property, plant and equipment are depreciated through the straight-line distribution of cost over the estimated technical useful life of the asset, which is the period in which the Company expects to use the asset. When components of one item of property, plant and equipment have different useful lives, they are recorded as separate assets and depreciated over their expected useful lives. Useful lives are reviewed on an annual basis.

Fixed assets located in the Salar de Atacama consider useful life to be the lesser value between the technical useful life and the years remaining until 2030.

In the case of certain mobile equipment, depreciation is performed depending on the hours of operation.

The useful lives used for the depreciation and amortization of assets included in property, plant and equipment in years are presented below:

Classes of property, plant and equipment	Minimum life or rate (years)		Maximum life or rate (years)		Life or average rate in years
Mining assets		5		10		8
Energy generating assets		5		16		9
Buildings		4		25		13
Supplies and accessories		4		15		7
Office equipment		5		10		9
Transport equipment		6		20		10
Network and communication equipment		4		12		7
IT equipment		4		11		7
Machinery, plant and equipment		3		24		11
Other fixed assets		4		15		10

 28

Notes to the Consolidated Interim Financial Statements
June 30, 2023

3.20 Goodwill

Goodwill acquired represents the excess in acquisition cost on the fair value of the Company’s ownership of the net identifiable assets of the subsidiary on the acquisition date. Goodwill acquired related to the acquisition of subsidiaries is included in the line item goodwill, which is subject to impairment tests annually or more frequently if events or changes in circumstances indicate that it might be impaired and is stated at cost less accumulated impairment losses. Gains and losses related to the sale of an entity include the carrying value of goodwill related to the entity sold.

This intangible asset is assigned to cash-generating units with the purpose of testing impairment losses. It is allocated based on cash-generating units expected to obtain benefits from the business combination from which the aforementioned goodwill acquired arose.

3.21 Intangible assets other than goodwill

Intangible assets other than goodwill mainly relate to water rights, costs for rights of way for electricity lines, software and licensing costs, the development of computer software and mining property and concession rights.

(a) Water rights

Water rights acquired by the Company relate to water from natural sources and are recorded at acquisition cost. The Company separates water rights into:

i) Finite rights with amortization using the straight-line method, and

ii) Indefinite rights, which are not amortized, given that these assets represent rights granted in perpetuity to the Company, which are subject to an annual impairment assessment.

(b) Rights of way for electric lines

As required for the operation of industrial plants, the Company has paid rights of way in order to install wires for the different electric lines on third party land. Amounts paid are capitalized at the date of the agreement and amortized in the statement of income, according to the life of the right of way.

(c) Computer software

Licenses for IT programs acquired are capitalized based on their acquisition and customization costs. These costs are amortized over their estimated useful lives. The useful lives of IT programs are defined by their contracts or rights.

Expenses related to the development or maintenance of IT programs are recognized as an expense as and when incurred. Costs directly related to the production of unique and identifiable IT programs controlled by the Group, and which will probably generate economic benefits that are higher than its costs during more than a year, are recognized as intangible assets. Direct costs include the expenses of employees who develop information technology software and general expenses in accordance with corporate charges received.

The costs of development for IT programs are recognized as assets are amortized over their estimated useful lives.

(d) Mining property and concession rights

The Company holds mining property and concession rights from the Chilean and Western Australian Governments. Property rights from the State of Chile are usually obtained at no initial cost (other than the payment of mining patents and minor recording expenses) and once the rights on these concessions have been obtained, they are retained by the Company while annual patents are paid. Such patents, which are paid annually, are recorded as prepaid assets and amortized over the following twelve months. Amounts attributable to mining concessions acquired from third parties that are not from the Chilean Government are recorded at acquisition cost within intangible assets.

 29

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

The finite useful life of mining properties is calculated using the productive unit method, except for the mining properties owned by Corfo, which have been leased to the Company and grant it the right to exclusively exploit them until December 31, 2030.

Minimum and maximum amortization lives or rates of intangible assets:

Estimated useful life or amortization rate	Minimum Life or Rate	Maximum Life or Rate
Water rights	5 years	Indefinite
Rights of way	Indefinite	Indefinite
Corfo Mining properties	7 years	7 years
Mining rights	Unit-production method
Intellectual property	9 years	9 years
IT programs	3 years	9 years

3.22 Research and development expenses

Research and development expenses are charged to profit or loss in the period in which the expenditure was incurred.

3.23 Exploration and evaluation expenses

The Company holds mining concessions for exploration and exploitation of ore, the Company gives the following treatment to expenses associated:

Once the rights have been obtained, the Company records the disbursements directly associated with the exploration and evaluation of the deposit in execution as property, plant and equipment (construction in progress) at its cost. These disbursements include the following items: geological surveys, drilling, borehole extraction and sampling, activities related to the technical assessment and commercial viability of the extraction, and in general, any disbursement directly related to specific projects where the objective is to find ore resources. If the technical studies determine that the ore grade is not economically viable, the asset is directly charged to profit and loss. If determined otherwise, the asset described above is associated with the extractable ore tonnage which is amortized as it is used.

(a) Limestone and metallic exploration

These assets are included in Other Non-Current Non-Financial Assets, and the portion related to the area to be exploited in the year is reclassified to Inventories, if applicable. Costs related to metal exploration are charged to profit or loss in the period in which they are recognized if the project assessed doesn’t qualify as advanced exploration otherwise, these are amortized during the development stage.

(b) Exploration and evaluation at the Mt. Holland Project

Mount Holland exploration and evaluation expenditure is included in Property, plant and equipment, specifically in Construction in Progress.

 30

Notes to the Consolidated Interim Financial Statements 
June 30, 2023  

3.24 Impairment of non-financial assets

Assets subject to depreciation and amortization are also subject to impairment testing, provided that an event or change in the circumstances indicates that the amounts in the accounting records may not be recoverable, an impairment loss is recognized for the excess of the book value of the asset over its recoverable amount.

For assets other than goodwill, the Group annually assesses whether there is any indication that a previously recognized impairment loss may no longer exist or may have decreased. Should such indications exist, the recoverable amount is estimated.

The recoverable amount of an asset is the higher between the fair value of an asset or cash generating unit less costs of sales and its value in use, and is determined for an individual asset unless the asset does not generate any cash inflows that are clearly independent from other assets or groups of assets.

In evaluating value in use, estimated future cash flows are discounted using a pre-tax discount rate that reflects current market assessment, the value of money over time and the specific asset risks.

Impairment losses from continuing operations are recognized with a debit to profit or loss in the categories of expenses associated with the impaired asset function.

For assets other than goodwill, a previously recognized impairment loss is only reversed if there have been changes in the estimates used to determine the asset’s recoverable amount since the last time an impairment loss was recognized. If this is the case, the carrying value of the asset is increased to its recoverable amount. This increased amount cannot exceed the carrying value that would have been determined, net of depreciation, if an asset impairment loss had not been recognized in prior years. This reversal is recognized with a credit to profit or loss.

Assets with indefinite lives are assessed for impairment annually.

3.25 Minimum dividend

As required by Chilean law and regulations, the dividend policy is decided upon from time to time by the Board of Directors and is announced at the Annual Ordinary Shareholders’ Meeting, which is generally held in April of each year. Shareholder’s approval of the dividend policy is not required. However, each year the Board must submit the declaration of the final dividend or dividends in respect of the preceding year, consistent with the then-established dividend policy, to the Annual Ordinary Shareholders’ Meeting for approval. As required by the Chilean Companies Act, unless otherwise decided by unanimous vote of the holders of issued shares, the Company must distribute a cash dividend in an amount equal to at least 30% of our consolidated net income for that year (determined in accordance with CMF regulations), unless and to the extent there is a deficit in retained earnings. (See Note 20.5).

 31

Notes to the Consolidated Interim Financial Statements
June 30, 2023  

3.26 Earnings per share

The basic earnings per share amounts are calculated by dividing the profit for the year attributable to the ordinary owners of the parent by the weighted average number of ordinary shares outstanding during the year.

	For the period from January to June of the year				For the period from April to June  of the year
Earnings per Share	2023		2022		2023		2022
Profit attributable to the owners of the parent (ThUS$)		1,330,122		1,655,380		580,227		859,261
Weighted average number of shares		285,638,456		285,638,456		285,638,456		285,638,456
Basic earnings per share (US$)		4.6567		5.7954		2.0313		3.0082
Profit attributable to the owners of the parent (ThUS$)		1,330,122		1,655,380		580,227		859,261
Weighted average number of shares		285,638,456		285,638,456		285,638,456		285,638,456
Diluted earnings per share (US$)		4.6567		5.7954		2.0313		3.0082
Serie A common share		142,819,552		142,819,552		142,819,552		142,819,552
Serie B common share		142,818,904		142,818,904		142,818,904		142,818,904
Total weighted average number of share		285,638,456		285,638,456		285,638,456		285,638,456

The Company has no instruments that could potentially dilute earnings per share for the three and six months ended June 30, 2023 and 2022.

3.27 Other provisions

Provisions are recognized when:

· The Company has a present, legal or constructive obligation as the result of a past event.

· It is more likely than not that certain resources must be used, to settle the obligation.

· A reliable estimate can be made of the amount of the obligation.

In the event that the provision or a portion of it is reimbursed, the reimbursement is recognized as a separate asset solely if there is certainty of income.

In the consolidated statement of income, the expense for any provision is presented net of any reimbursement.

Should the effect of the value of money over time be significant, provisions are discounted using a discount rate before tax that reflects the liability’s specific risks. When a discount rate is used, the increase in the provision over time is recognized as a finance cost.

The Company’s policy is to maintain provisions to cover risks and expenses based on a better estimate to deal with possible or certain and quantifiable responsibilities from current litigation, compensations or obligations, pending expenses for which the amount has not yet been determined, collaterals and other similar guarantees for which the Company is responsible. These are recorded at the time the responsibility or the obligation that determines the compensation or payment is generated.

3.28 Obligations related to employee termination benefits and pension commitments

Obligations towards the Company’s employees comply with the provisions of the collective bargaining agreements in force, which are formalized through collective employment agreements and individual employment contracts, except for the United States which is detailed in Note 18.4.

These obligations are measured using actuarial calculations, according to the projected unit credit method which considers such assumptions as the mortality rate, employee turnover, interest rates, retirement dates, effects related to increases in employees’ salaries, as well as the effects on variations in services derived from variations in the inflation rate.

 32

Notes to the Consolidated Interim Financial Statements 
June 30, 2023  

Actuarial gains and losses that may be generated by variations in defined, pre-established obligations are directly recorded in “Other Comprehensive Income”.

Actuarial losses and gains have their origin in deviations between the estimate and the actual behavior of actuarial assumptions or in the reformulation of established actuarial assumptions.

The Company’s subsidiary SQM North America has established pension plans for its retired employees that are calculated by measuring the projected obligation using a net salary progressive rate net of adjustments for inflation, mortality and turnover assumptions, deducting the resulting amounts at present value. The net balance of this obligation is presented under the “Non-Current Provisions for Employee Benefits” (refer to Note 18.4).

3.29 Compensation plans

Compensation plans implemented through benefits provided in share-based payments settled in cash are recognized in the financial statements at their fair value, in accordance with IFRS 2. Changes in the fair value of options granted are recognized with a charge to payroll in the results for the period (see Note 18.6).

3.30 Revenue recognition

Revenue includes the fair value of considerations received or receivable for the sale of goods and services during the performance of the Company’s activities. Revenue is presented net of value added tax, estimated returns, rebates and discounts and after the elimination of sales among subsidiaries.

Revenues are recognized when the specific conditions for each income stream are met, as follows:

(a)      Sale of goods

The sale of goods is recognized when the Company has delivered products to the customer, and there is no obligation pending compliance that could affect the acceptance of products by the customer. The delivery does not occur until products have been shipped to the customer or confirmed as received by the customer, and the related risks of obsolescence and loss have been transferred to the customer and the customer has accepted the products in accordance with the conditions established in the sale, when the acceptance period has ended, or when there is objective evidence that those criteria required for acceptance have been met.

Sales are recognized in consideration of the price set in the sales agreement, net of volume discounts and estimated returns at the date of the sale. Volume discounts are evaluated in consideration of annual foreseen purchases and in accordance with the criteria defined in agreements.

(b)     Sale of services

Revenue associated with the rendering of services is recognized considering the degree of completion of the service as of the date of presentation of the consolidated classified statement of financial position, provided that the result from the transaction can be estimated reliably.

(c)      Income from dividends

Income from dividends is recognized when the right to receive the payment is established.

3.31 Finance income and finance costs

Finance income is mainly composed of interest income from financial instruments such as term deposits and mutual fund deposits. Interest income is recognized in profit or loss at amortized cost, using the effective interest rate method.

Finance costs are mainly composed of interest on bank borrowing, interest on bonds issued less interest capitalized for borrowing costs for the acquisition, construction or production or qualifying assets. Borrowing costs and bonds issued are also recognized in profit or loss using the effective interest rate method.

 33

Notes to the Consolidated Interim Financial Statements 
June 30, 2023  

3.32 Current income tax and deferred

Corporate income tax for the year is determined as the sum of current and deferred income taxes from the different consolidated companies.

Current taxes are based on the application of the various types of taxes attributable to taxable income for the period. The Company periodically assesses the positions taken in the determination of taxes with respect to situations in which the applicable tax regulation is subject to interpretation and considers whether it is probable that a tax authority will accept an uncertain tax treatment. A provision is created if it is probable that a payment will be required to a taxation authority. The Company measures its tax balances based on the most probable amount or expected value, depending on which method provides a better prediction of the resolution of uncertainty.

Differences between the book value of assets and liabilities and their tax basis generate the balance of deferred tax assets or liabilities, which are calculated using the tax rates expected to be applicable when the assets and liabilities are realized.

In conformity with current tax regulations, the provision for corporate income tax and taxes on mining activity is recognized on an accrual basis, presenting the net balances of accumulated monthly tax provisional payments for the fiscal period and associated credits. The balances of these accounts are presented in current income taxes recoverable or current taxes payable, as applicable.

Income tax and variations in deferred tax assets or liabilities that are not the result of business combinations are recorded in income or equity, considering the origin of the gains or losses which have generated them.

Deferred tax assets are recognized to the extent that future taxable profits are expected to absorb them.

With respect to deductible temporary differences associated with investments in subsidiaries, associated companies and interest in joint ventures, deferred tax assets are recognized solely provided that it is more likely than not that the temporary differences will be reversed in the near future and that there will be taxable income with which they may be used. The deferred taxes related to items directly recognized in equity is recorded with effect on other comprehensive income.

Deferred tax assets and liabilities are offset if there is a legally receivable right of offsetting tax assets against tax liabilities and the deferred tax is related to the same tax entity and authority.

The recognized deferred tax assets refer to the amount of income tax to recover in future periods, related to:

a) deductible temporary differences;

b) compensation for losses obtained in prior periods, which have not yet been subject to tax deduction; and

c) compensation for unused credits from prior periods.

The Company recognizes deferred tax assets when it has the certainty that they can be offset with tax income from subsequent periods, unused tax losses or credits to date, but only when this availability of future tax income is probable and can be used for offsetting these unused tax losses or credits.

The recognized deferred tax liabilities refer to the amount of income tax to pay in a future period, related to taxable temporary differences.

The Company does not recognize deferred tax liabilities in all cases of taxable temporary differences associated with investments in subsidiaries, branches and associates, or with joint ventures, because based on the standard, the two following conditions both apply:

(i) the parent company, investor or shareholder is capable of controlling the moment of the reversal of temporary differences; and

(ii) it is probable that the temporary difference will not be reversed in the foreseeable future.

 34

Notes to the Consolidated Interim Financial Statements 
June 30, 2023  

Moreover, the Company does not recognize deferred tax assets for all the deductible temporary differences that originate from investments in subsidiaries, branches and associates, or from joint ventures, because it is unlikely that they meet the following requirements:

(i) temporary differences are reversed in the foreseeable future; and

(ii) there is taxable profit available against which temporary differences can be used.

3.33 Operating segment reporting

IFRS 8 requires that companies adopt a management approach to disclose information on the operations generated by its operating segments. In general, this is the information that management uses internally for the evaluation of segment performance and making the decision on how to allocate resources for this purpose.

An operating segment is a group of assets and operations responsible for providing products or services subject to risks and performance that are different from those of other business segments. A geographical segment is responsible for providing products or services in a given economic environment subject to risks and performance that are different from those of other segments operating in other economic environments.

Allocation of assets and liabilities, to each segment is not possible given that these are associated with more than one segment, except for depreciation, amortization and impairment of assets, which are directly allocated in accordance with the criteria established in the costing process for product inventories to the corresponding segments.

3.34 Primary accounting criteria, estimates and assumptions

Management is responsible for the information contained in these consolidated annual accounts, which expressly indicate that all the principles and criteria included in IFRS, as issued by the IASB, have been applied in full.

In preparing the consolidated financial statements of the Company and its subsidiaries, management has made significant judgments and estimates to quantify certain assets, liabilities, revenues, expenses and commitments included therein. Basically, these estimates refer to:

· Estimated useful lives are determined based on current facts and past experience and take into consideration the expected physical life of the asset, the potential for technological obsolescence, and regulations. (See Notes 3.21, 15 and 16).

· Impairment losses of certain assets - Goodwill and intangible assets that have an indefinite useful life are not amortized and are assessed for impairment on an annual basis, or more frequently if the events or changes in circumstances indicate that these may have deteriorated Other assets, including property, plant and equipment, exploration assets, goodwill and intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that their carrying amounts exceed their recoverable amounts. If an impairment assessment is required, the assessment of fair value or value in use often requires estimates and assumptions such as discount rates, exchange rates, commodity prices, future capital requirements and future operating performance. Changes in such estimates could impact the recoverable values of these assets. Estimates are reviewed regularly by management (See Notes 15 and 16).

· Assumptions used in calculating the actuarial amount of pension-related and severance indemnity payment benefit commitments (See Note 18).

· Contingencies – The amount recognized as a provision, including legal, contractual, constructive and other exposures or obligations, is the best estimate of the consideration required to settle the related liability, including any related interest charges, considering the risks and uncertainties surrounding the obligation. In addition, contingencies will only be resolved when one or more future events occur or fail to occur. Therefore, the assessment of contingencies inherently involves the exercise of significant judgment and estimates of the outcome of future events. The Company assesses its liabilities and contingencies based upon the best information available, relevant tax laws and other appropriate requirements (See Note 21). If the Company is unable to rationally estimate the obligation or concluded no loss is probable but it is reasonably possible that a loss may be incurred, no provision is recorded but disclosed in the notes to the consolidated financial statements.

 35

Notes to the Consolidated Interim Financial Statements 
June 30, 2023  

· Volume determination for certain in-process and finished products is based on topographical measurements and technical studies that cover the different variables (density for bulk inventories and density and porosity for the remaining stock, among others), and related allowance.

· Estimates for obsolescence provisions to ensure that the carrying value of inventory is not in excess of the net realizable Inventory valuation. (See Note 11).

Even though these estimates have been made on the basis of the best information available on the date of preparation of these consolidated financial statements, certain events may occur in the future and oblige their amendment (upwards or downwards) over the next few years, which would be made prospectively.

3.35 Government grants

The Company recognizes an unconditional government grant in the income statement as part of other income when the associated cash flows are received.

 36

Notes to the Consolidated Interim Financial Statements 
June 30, 2023  

Note 4 Financial risk management

4.1 Financial risk management policy

The Company’s financial risk management policy is focused on safeguarding the stability and sustainability of the Company and its subsidiaries with regard to all such relevant financial uncertainty components.

The Company’s operations are subject to certain financial risk factors that may affect its financial position or results. The most significant risk exposures are market risk, liquidity risk, currency risk, credit risk, and interest rate risk, among others.

There could also be additional risks, which are either unknown or known but not currently deemed to be significant, which could also affect the Company’s business operations, its business, financial position, or profit or loss.

The financial risk management structure includes identifying, determining, analyzing, quantifying, measuring and controlling these events. Management and in particular, Finance Management, is responsible for constantly assessing the financial risk.

4.2 Risk Factors

(a) Credit risk

A global economic contraction may have potentially negative effects on the financial assets of the Company, which are primarily made up of financial investments and trade receivables, and the impact on of our customers could extend the payment terms of the Company’s receivables by increasing its exposure to credit risk. Although measures are taken to minimize the risk, this global economic situation could mean losses with adverse material effects on the business, financial position or profit and loss of the Company’s operations.

Trade receivables: to mitigate credit risk, the Company maintains active control of collection and requires the use of credit insurance. Credit insurance covers the risk of insolvency and unpaid invoices corresponding to 80% of all receivables with third parties. The credit risk associated with receivables is analyzed in Note 13.2 b) and the related accounting policy can be found in Note 3.6.

Bank promissory notes: These are negotiable promissory notes issued by a bank payable upon maturity at the request of customers to guarantee collection. These notes are accepted based on the credit quality of the issuing banks.

 37

Notes to the Consolidated Interim Financial Statements  
June 30, 2023

Financial institution	Financial assets	Rating			As of June 30,  2023
		Moody´s	S&P	Fitch	ThUS$
Agricultural Bank of China	Bank notes	P-1	A-1	-	199
Bank of China	Bank notes	P-1	A-1	F1+	112
Bank of Communications	Bank Notes	P-1	A-2	-	92
Bank of JiangSu	Bank Notes	P-2	-	-	66
Bank of NingBo	Bank Notes	P-2	-	-	1,668
Bankof Shanghai	Bank Notes	P-2	-	-	5
China CITIC Bank	Bank notes	P-2	A-2	-	660
China Construction Bank Corporation	Bank notes	-	A-1	-	179
China Everbright Bank	Bank notes	(P)P-2	A-2	-	20
China Guangfa Bank	Bank notes	P-3	A-3	-	70
China Merchants	Bank notes	-	A-2	-	260
China Minsheng Bank	Bank notes	-	A-3	-	170
China Zheshang Bank	Bank notes	-	A-3	-	252
Citibank	Bank notes	P-1	A-1	F1+	14
HuaXia Bank	Bank notes	-	A-3	-	48
Industrial & Commercial Bank of China Limited	Bank notes	P-1	A-1	-	311
Industrial Bank	Bank notes	P-2	-	-	9,264
Nanyang Commercial Bank	Bank notes	P-2	-	-	28
Ping An Bank	Bank notes	P-2	A-2	-	7
Shanghai Pudong Development Bank	Bank notes	P-2	A-2	-	195
Shanghai Rural Commercial Bank	Bank notes	-	A-2	-	18
Standard Chartered Bank	Bank notes	-	A-2	F1	41
Others	Bank notes	-	-	-	6,443
Total					20,122

Financial institution	Financial assets	Rating			As of December 31,  2022
		Moody´s	S&P	Fitch	ThUS$
Agricultural Bank of China	Bank notes	P-1	A-1	F1+	10,334
Bank of China	Bank notes	P-1	A-1	F1+	27,936
Bank of Jiujiang	Bank notes	P-2	-	-	1,964
Bank of Ningbo	Bank notes	P-2	-	-	3,148
Others	Bank notes	-	-	-	1,887
Total					45,269

Concentrations of credit risk with regard to trade receivables are reduced, owing to the Company’s large number of clients and their distribution around the globe.

No significant modifications have been made during the period to risk models or parameters used in comparison to June 30, 2023, and no modifications have been made to contractual cash flows that have been significant during this period. In December 2022, cash flows received from insurance claims were included in the determination of the allowance for doubtful accounts as compared with prior periods. The effect of this change was not significant to the overall financial statements as of December 31, 2022.

Financial investments: correspond to time deposits whose maturity date is greater than 90 days and less than 360 days from the date of investment, so they are not exposed to excessive market risks. The counterparty risk in implementation of financial operations is assessed on an ongoing basis for all financial institutions in which the Company holds financial investments.

 38

Notes to the Consolidated Interim Financial Statements  
June 30, 2023

The credit quality of financial assets that are not past due or impaired can be evaluated by reference to external credit ratings (if they are available) or historical information on counterparty late payment rates:

Financial institution	Financial assets	Rating			As of June 30, 2023
		Moody´s	S&P	Fitch	ThUS$
Banco Crédito e Inversiones	Time deposits	P-1	A-2	F2	77,770
Banco Santander- Santiago	Time deposits	P-1	A-2	-	6,507
Itaú Corpbanca	Time deposits	P-2	A-2	-	355,407
Scotiabank Sud Americano	Time deposits	-	-	F1+	199,923
JP Morgan US dollar Liquidity Fund Institutional	Investment fund	Aaa-mf	AAAm	AAAmmf	442,009
Legg Mason - Western Asset Institutional cash reserves	Investment fund	-	AAAm	AAAmmf	447,986
Total					1,529,602

Financial institution	Financial assets	Rating			As of June 30, 2023
		Moody´s	S&P	Fitch	ThUS$
Banco Crédito e Inversiones	Time deposits	P-1	A-2	F2	60,094
Banco Santander	Time deposits	P-1	A-2	-	351,408
Banco Itaú Corpbanca	Time deposits	P-2	A-2	-	114
Scotiabank Sud Americano	Time deposits	-	-	F1+	150,998
Total					562,614

Financial institution	Financial assets	Rating			As of December 31, 2022
		Moody´s	S&P	Fitch	ThUS$
Banco Crédito e Inversiones	Time deposits	-	A-2	F2	150,578
Banco Itaú Corpbanca	Time deposits	P-2	A-2	-	284,915
Banco Santander - Santiago	Time deposits	P-1	A-2	-	124,689
Scotiabank Chile	Time deposits	-	-	F1+	416,026
Sumitomo Mitsui Banking	Time deposits	P-1	-	-	122,631
Banco de Chile	Time deposits	-	A-1	-	602
JP Morgan US dollar Liquidity Fund Institutional	Investment fund	Aaa-mf	AAAm	AAAmmf	435,485
Legg Mason - Western Asset Institutional cash reserves	Investment fund	-	AAAm	AAAmmf	590,661
Total					2,125,587

Financial institution	Financial assets	Rating			As of December 31, 2022
		Moody´s	S&P	Fitch	ThUS$
Banco Crédito e Inversiones	Time deposits	-	A-2	F2	187,707
Banco Itaú Corpbanca	Time deposits	P-2	A-2	-	15,048
Banco Santander - Santiago	Time deposits	P-1	A-2	-	51,444
Banco Estado	Time deposits	P-1	A-1	-	85,055
Scotiabank Chile	Time deposits	-	-	F1+	250,362
Banco de Chile	Time deposits	-	A-1	-	150,259
Sumitomo Mitsui Banking	Time deposits	P-1	-	-	210,292
Total					950,167

 39

Notes to the Consolidated Interim Financial Statements  
June 30, 2023

(b) Exchange risk

The functional currency of the company is the US dollar, due to its influence on the determination of price levels, its relation to the cost of sales and considering that a significant part of the Company’s business is conducted in this currency. However, the global nature of the Company’s business generates an exposure to exchange rate variations of several currencies with the US dollar. Therefore, the Company maintains hedge contracts to mitigate the exposure generated by its main mismatches (net between assets and liabilities) in currencies other than the US dollar against the exchange rate variation, updating these contracts periodically depending on the amount of mismatching to be covered in these currencies. Occasionally, subject to the approval of the Board, the Company ensures short-term cash flows from certain specific line items in currencies other than the US dollar.

A significant portion of the Company’s costs, especially salary payments, is associated with the Peso. Therefore, an increase or decrease in its exchange rate with the US dollar will provoke a respective decrease or increase to these accounting costs, which would be reflected in the Company’s profit and loss. By the second quarter of 2023, approximately US$433 million accumulated in expenses are associated with the Peso.

As of June 30, 2023, the Company held derivative instruments classified as hedges of foreign exchange risks associated with 100% of all the bond obligations denominated in UF, for a net asset fair value of US$56.73 million, this significant variation is explained primarily by the USD/CLP exchange rate observed at the end of the period. As of December 31, 2022, this value corresponds to a net liability amounting US$ 11.73 million.

Furthermore, on of June 30, 2023, the Company held derivative instruments classified as hedges of foreign exchange risks associated with 100% of all nominative term deposits in UF and in pesos, at a net liabilities fair value of US 5.54 million. As of December 31, 2022, a net assets fair value was recognized for an amount of US$29.98 million of net liabilities.

The Company contracted derivatives classified as foreign exchange hedges for all the expected disbursements in Australian dollars for the Mt Holland project (See note 9.5), to hedge its exposure to cash flow variations. The fair value of this hedge was a net asset of US$ 2.96 million as of June 30, 2023.

The Company had the following derivative contracts as of June 30, 2023 (at the absolute value of the sum of their notional values), to hedge the difference between its assets and liabilities: US$ 108.20 million CLP/US dollar derivative contracts, US$ 24.51 million Euro/US dollar derivative contracts, US$ 19.76 million in South African rand/US dollar derivative contracts, US$ 579.87 million in Chinese renminbi/US dollar derivative contracts, US$ 76.52 million in Australian dollar/US dollar derivative contracts and US$ 6.96 million in other currencies..

These derivative contracts are held with domestic and foreign banks, which have the following credit ratings as of June 30, 2023.

Financial institution	Financial assets		Rating
		Moody´s	S&P	Fitch
Banco Estado	Derivative	P-1	A-1	-
Merrill Lynch International	Derivative	-	A-1	-
JP Morgan	Derivative	P-1	A-2	F1+
Morgan Stanley	Derivative	P-1	A-2	F1
The Bank of Nova Scotia	Derivative	P-1	A-1	F1+
Banco Itaú Corpbanca	Derivative	P-2	A-2	-
Goldman Sachs	Derivative	P-1	A-2	F1

 40

Notes to the Consolidated Interim Financial Statements June 30, 2023

(c) Interest rate risk

Interest rate fluctuations, primarily due to the uncertain future behavior of markets, may have a material impact on the financial results of the Company. Significant increases in the rate could make it difficult to access financing at attractive rates for the Company’s investment projects.

The Company maintains current and non-current financial debt at fixed rates and SOFR rate plus spread.

As of June 30, 2023, the Company has 8.9% of its financial liabilities subject to variations in the SOFR rate.

(d) Liquidity risk

Liquidity risk relates to the funds needed to comply with payment obligations. The Company’s objective is to maintain financial flexibility through a comfortable balance between fund requirements and cash flows from regular business operations, bank borrowings, bonds, short term investments and marketable securities, among others. For this purpose, the Company keeps a high liquidity ratio¹, which enables it to cover current obligations with clearance. (As of June 30, 2023, this was 2.39 and 2.29 for December 31, 2022).

The Company has an important capital expense program which is subject to change over time.

On the other hand, world financial markets go through periods of contraction and expansion that are unforeseeable in the long-term and may affect The Company’s access to financial resources. Such factors may have a material adverse impact on the Company’s business, financial position and results of operations.

The Company constantly monitors the matching of its obligations with its investments, taking due care of maturities of both, from a conservative perspective, as part of this financial risk management strategy. As of June 30, 2023, the Company had unused, available revolving credit facilities with banks, for a total of US$951 million.

Cash and cash equivalents are invested in highly liquid mutual funds with an AAA risk rating.

	Nature of undiscounted cash flows
As of June 30, 2023 (Figures expressed in millions of US dollars)	Carrying amount		Less than 1 year		1 to 5 years		Over 5 years		Total
Bank borrowings		1,125.93		839.04		268.21		69.87		1,177.12
Unsecured obligations		2,280.73		102.6		756		2,795.22		3,653.82
Sub total		3,406.66		941.64		1,024.21		2,865.09		4,830.94
Hedging liabilities		15.12		10.75		19.99		-		30.74
Derivative financial instruments		1.8		1.8		-		-		1.8
Sub total		16.92		12.55		19.99		-		32.54
Current and non-current lease liabilities		64.19		15.98		47.26		5.8		69.04
Trade accounts payable and other accounts payable		545.29		545.29		-		-		545.29
Total		4,033.06		1,515.46		1,091.46		2,870.89		5,477.81

¹ All current assets divided by all current liabilities.

41

Notes to the Consolidated Interim Financial Statements June 30, 2023

	Nature of undiscounted cash flows
As of December 31, 2022 (Figures expressed in millions of US dollars)	Carrying amount		Less than 1 year		1 to 5 years		Over 5 years		Total
Bank borrowings		330.80		144.83		220.33		-		365.16
Unsecured obligations		2,550.60		405.17		616.66		2,935.15		3,956.98
Sub total		2,881.40		550.00		836.99		2,935.15		4,322.14
Hedging liabilities		62.53		40.76		20.43		12.68		73.87
Derivative financial instruments		5.82		5.82		-		-		5.82
Sub total		68.35		46,58		20,43		12.68		79.69
Current and non-current lease liabilities		61,73		13.94		36.33		27.85		78.12
Trade accounts payable and other accounts payable		374.79		374.79		-		-		374.79
Total		3,386.27		985.31		893.75		2,975.68		4,854.74

As of June 30, 2023, the nominal value of the agreed cash flows in US dollars of the CCS contracts were ThUS$ 499,737 (ThUS$ 512,236 as of December 31, 2022).

4.3 Financial risk measurement

The Company documents and maintains methods for qualitatively measuring the effectiveness and efficiency of financial risk management strategies. These methods are consistent with SQM Group’s risk management profile.

42

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 5 Separate information on the main office, parent entity and joint action agreements

5.1 Parent’s stand-alone assets and liabilities

Parent’s stand-alone assets and liabilities	As of June 30, 2023			As of December 31, 2022
	ThUS$			ThUS$
Assets		8,481,925			8,430,376
Liabilities		(3,567,672	)		(3,533,744	)
Equity		4,914,253			4,896,632

5.2 Parent entity

Pursuant to Article 99 of the Securities Market Law, the CMF may determine that a company does not have a controlling entity in accordance with the distribution and dispersion of its ownership. On November 30, 2018, the CMF issued the ordinary letter No. 32,131 whereby it determined that the Pampa Group do not exert decisive power over the management of the Company since it does not have a predominance in the ownership that allows it to make management decisions. Therefore, the CMF has determined not to consider Pampa Group the controlling entity of the Company and that the Company does not have a controlling entity given its current ownership structure.

 43

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 6 Board of Directors, Senior Management and Key management personnel

6.1 Remuneration of the Board of Directors and Senior Management

(a) Board of directors

SQM S.A. is managed by a Board of Directors which is composed of 8 directors, who are elected for a three-year period. The Board of Directors was elected during the ordinary shareholders’ meeting held on April 26, 2023, which included the election of 2 independent directors. Subsequent to such election, the following is the integration of the Company's committees:

- Directors’ Committee: This committee is comprised by Gina Ocqueteau Tacchini, Antonio Gil Nievas and Ashley Ozols and fulfills the functions established in Article 50 bis of Chilean Law on publicly-held corporations. This committee takes on the role of the audit committee in accordance with the US-based Sarbanes Oxley law.

- The Company’s Health, Safety and Environment Committee: This committee is comprised of Antonio Schneider, Patricio Contesse Fica and Gonzalo Guerrero Yamamoto.

- Corporate Governance Committee: This committee is comprised of Hernán Büchi Buc, Patricio Contesse Fica and Xu Tieying.

During the periods covered by these financial statements, there are no pending receivable and payable balances between the Company, its directors or members of Senior Management, other than those related to remuneration, fee allowances and profit-sharing. There were no transactions between the Company, its directors and senior management in the period between January and June 2023, except for the one identified in Note 12 in the period between January and June 2022 between the Company and director Gonzalo Guerrero.

(b) Board of Directors’ Compensation

Board members’ compensation for 2022, that is from April 26, 2022 to April 26, 2023, was determined by the Annual General Shareholders Meeting held on April 26, 2022. It is as follows:

(i) The payment of a fixed, gross and monthly amount of UF 800 in favor of the Chairman of the Board of Directors, of UF 700 in favor of the vice-president of the board of directors and of UF 600 in favor of the remaining six directors and regardless of the number of Board of Directors’ Meetings held or not held during the related month.

(ii) A variable gross amount payable to the Chairman and Vice President of the board of directors equivalent to 0.12% of the net liquid income earned by the Company in the respective business year for each; and

(iii) A variable gross amount payable to each Company director, excluding the Chairman and Vice President of the board of directors, equivalent to 0.06% of the net liquid income earned in the respective business year.

To calculate the variable compensation amount for 2022, net earnings from 2022 will be considered, up to a maximum of 110% of the 2021 net earnings.

Compensation of the Board for 2023, that is from April 26, 2023 to April 26, 2024, was determined by the Annual General Shareholders Meeting held on April 26, 2023. It is as follows:

(i) The payment of a fixed, gross and monthly amount of UF 800 in favor of the Chairman of the Board of Directors, of UF 700 in favor of the vice-president of the board of directors and of UF 600 in favor of the remaining six directors and regardless of the number of Board of Directors’ Meetings held or not held during the related month.

(ii) A variable gross amount payable to the Chairman and Vice President of the board of directors equivalent to 0.12% of the net liquid income that the Company effectively obtains during the respective business year for each; and

(iii) A variable gross amount payable in local currency to each Company director, excluding the Chairman and Vice President of the Company, equivalent to 0.06% of the net liquid income that the Company effectively obtains during the respective business year.

Profit for the 2023 fiscal year will be considered for the calculation of variable compensation for 2023. The amount of variable compensation for 2023 will be capped at 110% of the amount paid to the Company’s directors for variable compensation in 2022.

 44

Notes to the Consolidated Interim Financial Statements
June 30, 2023

These fixed and variable amounts for both periods shall not be challenged and those expressed in percentage terms shall be paid immediately after the respective annual general shareholders meeting approves the financial statements, the annual report, the account inspectors report and the external auditors report for the respective year.

Accordingly, the compensation and profit sharing paid to members of the Directors' Committee and the directors as of June 30, 2023, amounted to ThUS$ 6,003 and as of June 30, 2022 to ThUS$ 5,290.

(c) Directors’ Committee compensation

Compensation for the Board of Directors is the same for both 2022 and 2023, as follows:

(i) The payment of a fixed, gross and monthly amount of UF 200 in favor of each of the 3 directors who were members of the Directors’ Committee, regardless of the number of meetings of the Directors’ Committee that have or have not been held during the month concerned.

(ii) The payment in domestic currency and in favor of each of the 3 directors of a variable and gross amount equivalent to 0.02% of total net profit from the respective business year.

To calculate the variable compensation amount for 2022, the net income from 2022 will be considered, up to a maximum of 110% of the 2021 net income.

Profit for the 2023 fiscal year will be considered for the calculation of variable compensation for 2023. The amount of variable compensation for 2023 will be capped at 110% of the amount paid to the Company’s directors for variable compensation in 2022.

These fixed and variable amounts for both periods shall not be challenged and those expressed in percentage terms shall be paid immediately after the respective annual general shareholders meeting approves the financial statements, the annual report, the account inspectors report and the external auditors report for the respective year.

(d) Health, Safety and Environmental Matters Committee:

The remuneration of this committee for the 2022 period was composed of the payment of a fixed, gross, monthly amount of UF 100 for each of the 3 directors on the committee regardless of the number of meetings it has held. For the 2023 period, this remuneration remains unchanged.

(e) Corporate Governance Committee

The remuneration for this committee for the 2022 period was composed of the payment of a fixed, gross, monthly amount of UF 100 for each of the 3 directors on the committees regardless of the number of meetings it has held. For the 2023 period, this remuneration remains unchanged.

(f) Guarantees constituted in favor of the directors

No guarantees have been constituted in favor of the directors.

(g) Senior management compensation:

(i) This includes monthly fixed salary and variable performance bonuses. (See Note 6.2)

(ii) The Company has an annual bonus plan based on goal achievement and individual contribution to the Company’s results. These incentives are structured as a minimum and maximum number of gross monthly salaries and are paid once a year.

(iii) In addition, there are retention bonuses for its executives (see Note 18.6)

(h) Guarantees pledged in favor of the Company’s management

No guarantees have been pledged in favor of the Company’s management.

 45

Notes to the Consolidated Interim Financial Statements
June 30, 2023

(i)         Pensions, life insurance, paid leave, shares in earnings, incentives, disability loans, other than those mentioned in the above points.

The Company’s Management and Directors do not receive or have not received any benefit during the ended June 30, 2023 and the year ended December 31, 2022 or compensation for the concept of pensions, life insurance, paid time off, profit sharing, incentives, or benefits due to disability other than those mentioned in the preceding points.

6.2 Key management personnel compensation

As of June 30, 2023 and 2022, the number of the key management personnel is 156 and 136, respectively.

Key management personnel compensation	For the period ended June 30, 2023		For the period ended June 30, 2022
	ThUS$		ThUS$
Key management personnel compensation		24,637		18,293

Please also see the description of the compensation for executives in Note 18.6.

 46

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 7 Background on companies included in consolidation and non-controlling interests

7.1 Background on companies included in consolidation

The following tables detail general information as of June 30, 2023 and 2022 on the companies in which the group exercises control: 

			Country of	Functional	Ownership Interest
Subsidiaries	TAX ID No.	Address	Incorporation	Currency	Direct	Indirect	Total
SQM Nitratos S.A.	96.592.190-7	El Trovador 4285, Las Condes	Chile	Dollar	99.9999	0.0001	100.0000
SQM Potasio S.A.	96.651.060-9	El Trovador 4285, Las Condes	Chile	Dollar	99.9999	0.0001	100.0000
Serv. Integrales de Tránsito y Transf. S.A.	79.770.780-5	Arturo Prat 1060, Tocopilla	Chile	Dollar	0.0003	99.9997	100.0000
Isapre Norte Grande Ltda.	79.906.120-1	Aníbal Pinto 3228, Antofagasta	Chile	Peso	1.0000	99.0000	100.0000
Ajay SQM Chile S.A.	96.592.180-K	Av. Pdte. Eduardo Frei 4900, Santiago	Chile	Dollar	51.0000	-	51.0000
Almacenes y Depósitos Ltda.	79.876.080-7	El Trovador 4285, Las Condes	Chile	Peso	1.0000	99.0000	100.0000
SQM Salar S.A.	79.626.800-K	El Trovador 4285, Las Condes	Chile	Dollar	18.1800	81.8200	100.0000
SQM Industrial S.A.	79.947.100-0	El Trovador 4285, Las Condes	Chile	Dollar	99.0470	0.9530	100.0000
Exploraciones Mineras S.A.	76.425.380-9	El Trovador 4285, Las Condes	Chile	Dollar	0.2691	99.7309	100.0000
Sociedad Prestadora de Servicios de Salud Cruz del Norte S.A.	76.534.490-5	Aníbal Pinto 3228, Antofagasta	Chile	Peso	-	100.0000	100.0000
Soquimich Comercial S.A.	79.768.170-9	El Trovador 4285, Las Condes	Chile	Dollar	-	60.6383	60.6383
Comercial Agrorama Ltda. (1)	76.064.419-6	El Trovador 4285, Las Condes	Chile	Dollar	-	60.6383	60.6383
Comercial Hydro S.A.	96.801.610-5	El Trovador 4285, Las Condes	Chile	Dollar	-	100.0000	100.0000
Agrorama S.A.	76.145.229-0	El Trovador 4285, Las Condes	Chile	Dollar	-	60.6383	60.6383
Orcoma Estudios SPA	76.359.919-1	Apoquindo 3721 OF 131, Las Condes	Chile	Dollar	100.0000	-	100.0000
Orcoma SPA	76.360.575-2	Los Militares 4290, Las Condes	Chile	Dollar	100.0000	-	100.0000
SQM MaG SpA	76.686.311-9	Los Militares 4290, Las Condes	Chile	Dollar	-	100.0000	100.0000
Sociedad Contractual Minera Búfalo	77.114.779-8	Los Militares 4290, Las Condes	Chile	Dollar	99.9000	0.1000	100.0000
SQM North America Corp.	Foreign	2727 Paces Ferry Road, Building Two, Suite 1425, Atlanta, GA	United States of America	Dollar	40.0000	60.0000	100.0000
RS Agro Chemical Trading Corporation A.V.V.	Foreign	Caya Ernesto O. Petronia 17, Orangestad	Aruba	Dollar	98.3333	1.6667	100.0000
Nitratos Naturais do Chile Ltda.	Foreign	Al. Tocantis 75, 6° Andar, Conunto 608 Edif. West Gate, Alphaville Barureri, CEP 06455-020, Sao Paulo	Brazil	Dollar	-	100.0000	100.0000
SQM Corporation N.V.	Foreign	Pietermaai 123, P.O. Box 897, Willemstad, Curacao	Curacao	Dollar	0.0002	99.9998	100.0000
SQM Ecuador S.A.	Foreign	Av. José Orrantia y Av. Juan Tanca Marengo Edificio Executive Center Piso 2 Oficina 211	Ecuador	Dollar	0.00401	99.9960	100.0000
SQM Brasil Ltda.	Foreign	Al. Tocantis 75, 6° Andar, Conunto 608 Edif. West Gate, Alphaville Barureri, CEP 06455-020, Sao Paulo	Brazil	Dollar	0.5300	99.470	100.0000
SQMC Holding Corporation.	Foreign	2727 Paces Ferry Road, Building Two, Suite 1425, Atlanta	United States of America	Dollar	0.1000	99.9000	100.0000
SQM Japan Co. Ltd.	Foreign	From 1st Bldg 207, 5-3-10 Minami- Aoyama, Minato-ku, Tokio	Japan	Dollar	0.1597	99.8403	100.0000

 47

Notes to the Consolidated Interim Financial Statements
June 30, 2023

			Country of	Functional	Ownership Interest
Subsidiaries	TAX ID No.	Address	Incorporation	Currency	Direct	Indirect	Total
SQM Europe N.V.	Foreign	Houtdok-Noordkaai 25a B-2030 Amberes	Belgium	Dollar	0.5800	99.4200	100.0000
SQM Indonesia S.A.	Foreign	Perumahan Bumi Dirgantara Permai, Jl Suryadarma Blok Aw No 15 Rt 01/09 17436 Jatisari Pondok Gede	Indonesia	Dollar	-	80.0000	80.0000
North American Trading Company	Foreign	2727 Paces Ferry Road, Building Two, Suite 1425, Atlanta, GA	United States of America	Dollar	-	100.0000	100.0000
SQM Virginia LLC	Foreign	2727 Paces Ferry Road, Building Two, Suite 1425, Atlanta, GA	United States of America	Dollar	-	100.0000	100.0000
SQM Comercial de México S.A. de C.V.	Foreign	Av. Moctezuma 144-4 Ciudad del Sol. CP 45050, Zapopan, Jalisco México	Mexico	Dollar	0.0100	99.9900	100.0000
SQM Investment Corporation N.V.	Foreign	Pietermaai 123, P.O. Box 897, Willemstad, Curacao	Curacao	Dollar	1.0000	99.0000	100.0000
Royal Seed Trading Corporation A.V.V.	Foreign	Caya Ernesto O. Petronia 17, Orangestad	Aruba	Dollar	1.6700	98.3300	100.0000
SQM Lithium Specialties Limited Partnership	Foreign	2727 Paces Ferry Road, Building Two, Suite 1425, Atlanta, GA	United States of America	Dollar	-	100.0000	100.0000
Comercial Caimán Internacional S.A. (2)	Foreign	Edificio Plaza Bancomer	Panama	Dollar	-	100.0000	100.0000
SQM France S.A.	Foreign	ZAC des Pommiers 27930   FAUVILLE	France	Dollar	-	100.0000	100.0000
Administración y Servicios Santiago S.A. de C.V.	Foreign	Av. Moctezuma 144-4 Ciudad del Sol, CP 45050, Zapopan, Jalisco México	Mexico	Dollar	-	100.0000	100.0000
SQM Nitratos México S.A. de C.V.	Foreign	Av. Moctezuma 144-4 Ciudad del Sol, CP 45050, Zapopan, Jalisco México	Mexico	Dollar	-	100.0000	100.0000
Soquimich European Holding B.V.	Foreign	Luna Arena, Herikerbergweg 238 1101 CM Amsterdan	Holland	Dollar	-	100.0000	100.0000
SQM Iberian S.A.	Foreign	Provenza 251 Principal 1a CP 08008, Barcelona	Spain	Dollar	-	100.0000	100.0000
SQM África Pty Ltd.	Foreign	Tramore House, 3 Wterford Office Park, Waterford Drive, 2191 Fourways, Johannesburg	South Africa	Dollar	-	100.0000	100.0000
SQM Oceanía Pty Ltd.	Foreign	Level 9, 50 Park Street, Sydney NSW 2000, Sydney	Australia	Dollar	-	100.0000	100.0000
SQM Beijing Commercial Co. Ltd.	Foreign	Room 1001C, CBD International Mansion N 16 Yong An Dong Li, Jian Wai Ave Beijing 100022, P.R.	China	Dollar	-	100.0000	100.0000
SQM Thailand Limited	Foreign	Unit 2962, Level 29, N° 388, Exchange Tower Sukhumvit Road, Klongtoey Bangkok	Thailand	Dollar	-	99.9980	99.9980
SQM Colombia SAS	Foreign	Cra 7 No 32 – 33 piso 29 Pbx: (571) 3384904 Fax: (571) 3384905 Bogotá D.C. – Colombia.	Colombia	Dollar	-	100.0000	100.0000
SQM Australia PTY	Foreign	Level 16, 201 Elizabeth Street Sydney	Australia	Dollar	-	100.0000	100.0000
SQM International N.V.	Foreign	Houtdok-Noordkaai 25a B-2030 Amberes	Belgium	Dollar	0.5800	99.4200	100.0000
SQM (Shanghai) Chemicals Co. Ltd.	Foreign	Room 3802, 38F, No. 300 Middle Huaihai Road, Huangpu District, Shanghai, 200021 China	China	Dollar	-	100.0000	100.0000
SQM Korea LLC	Foreign	Suite 22, Kyobo Building, 15th Floor, 1 Jongno Jongno-gu, Seoul, 03154 South Korea	South Korea	Dollar	-	100.0000	100.0000
SQM Holland B.V.	Foreign	Herikerbergweg 238, 1101 CM Amsterdam Zuidoost	Holland	Dollar	-	100.0000	100.0000

(1) SQM has control over Comercial Agrorama Ltda.´s management.

(2) Comercial Caiman Internacional S.A. is liquidated at June 30, 2023.

 48

Notes to the Consolidated Interim Financial Statements
June 30, 2023

7.2 Assets, liabilities and profit of consolidated subsidiaries as of and for the period ended June 30, 2023.

	Assets				Liabilities						Net profit			Comprehensive
Subsidiaries	Currents		Non-currents		Currents		Non-currents		Revenue		(loss)			income (loss)
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
SQM Nitratos S.A.		574,358		75,704		455,816		13,154		120,257		17,319			17,342
SQM Potasio S.A.		204,247		3,376,421		423,335		18,736		5,058		857,400			856,205
Serv. Integrales de Tránsito y Transf. S.A.		2,869		32,252		11,822		7,086		11,709		(338	)		(385	)
Isapre Norte Grande Ltda.		979		1,184		1,091		239		2,656		65			72
Ajay SQM Chile S.A.		49,140		2,003		28,933		733		36,506		3,139			3,139
Almacenes y Depósitos Ltda.		227		75		-		-		-		(3	)		89
SQM Salar S.A.		3,944,562		1,883,830		2,528,383		298,632		3,254,834		983,313			980,654
SQM Industrial S.A.		1,296,809		1,422,644		721,520		129,487		635,415		194,262			191,562
Exploraciones Mineras S.A.		7,966		22,710		72		-		-		105			105
Sociedad Prestadora de Servicios de Salud Cruz del Norte S.A.		381		396		369		416		1,868		(113	)		(155	)
Soquimich Comercial S.A.		97,735		12,975		33,891		10,187		45,470		1,636			1,637
Comercial Agrorama Ltda.		795		522		2,566		11		624		174			174
Comercial Hydro S.A.		4,750		-		1		378		17		56			56
Agrorama S.A.		7		-		4,784		3		92		43			45
Orcoma SpA		400		13,377		11,407		63		-		(3	)		(3	)
Orcoma Estudio SpA		7,341		2		2,698		-		-		2			2
SQM MaG SPA		1,790		429		573		6		1,840		271			271
Sociedad Contractual Minera Búfalo		1,282		31,868		33,554		-		-		(439	)		(439	)
SQM North America Corp.		244,505		22,147		215,936		1,514		263,069		5,792			5,792
RS Agro Chemical Trading Corporation A.V.V.		5,155		-		138		-		-		(11	)		(11	)
Nitratos Naturais do Chile Ltda.		-		130		2,985		444		-		(88	)		(88	)
SQM Corporation N.V.		290		128,464		3,643		-		-		19,978			19,978
SQM Ecuador S.A.		48,175		1,078		41,889		62		27,339		(947	)		(947	)
SQM Brasil Ltda.		330		1		240		2,343		-		(135	)		(135	)
Subtotal		6,494,093		7,028,212		4,525,646		483,494		4,406,754		2,081,478			2,074,960

 49

Notes to the Consolidated Interim Financial Statements
June 30, 2023

	Assets				Liabilities						Net profit			Comprehensive
Subsidiaries	Currents		Non-currents		Currents		Non-currents		Revenue		(loss)			income (loss)
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
SQMC Holding Corporation L.L.P.		34,581		22,191		1,747		-		-		1,977			1,977
SQM Japan Co. Ltd.		78,263		155		75,373		200		102,391		(176	)		(176	)
SQM Europe N.V.		1,116,811		4,414		747,982		3,404		1,830,352		72,427			72,427
SQM Indonesia S.A.		3		-		1		-		-		-			-
North American Trading Company		154		145		-		-		-		-			-
SQM Virginia LLC		14,794		14,336		14,794		-		-		(4	)		(4	)
SQM Comercial de México S.A. de C.V.		203,636		9,792		121,507		1,722		186,625		6,123			6,123
SQM Investment Corporation N.V.		13,989		380,794		6,015		-		-		58,285			58,285
Royal Seed Trading Corporation A.V.V.		35		-		18,946		-		-		(17	)		(17	)
SQM Lithium Specialties LLP		15,742		3		1,264		-		-		(4	)		(4	)
SQM France S.A.		345		6		114		-		-		-			-
Administración y Servicios Santiago S.A. de C.V.		158		-		434		-		-		(36	)		(36	)
SQM Nitratos México S.A. de C.V.		121		-		18		-		-		12			12
Soquimich European Holding B.V.		17,888		491,799		515		-		-		76,720			76,720
SQM Iberian S.A.		94,624		8,845		77,298		160		72,532		(3,517	)		(3,517	)
SQM Africa Pty Ltd.		71,127		3,462		55,940		1,732		36,790		1,304			1,304
SQM Oceania Pty Ltd.		4,612		-		2,090		-		3,001		135			135
SQM Beijing Commercial Co. Ltd.		1,762		-		12		-		-		(370	)		(370	)
SQM Thailand Limited		3,032		-		33		-		-		-			-
SQM Colombia SAS		24,651		201		27,929		10		16,381		(4,277	)		(4,277	)
SQM International NV		33,503		637		9,020		-		74,570		4,549			4,549
SQM Shanghai Chemicals Co. Ltd.		2,175,666		105		1,596,958		-		1,613,060		187,987			187,987
SQM Australia Pty Ltd.		121,963		695,389		372,435		30,695		-		(2,689	)		(1,636	)
SQM Korea LLC		500,288		750		491,982		-		109,851		7,957			7,957
SQM Holland B.V.		11,049		13,802		463		-		11,865		(586	)		(586	)
Subtotal		4,538,797		1,646,826		3,622,870		37,923		4,057,418		405,800			406,853
Total		11,032,890		8,675,038		8,148,516		521,417		8,464,172		2,487,278			2,481,813

 50

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Assets and, liabilities of consolidated subsidiaries as of December 31, 2022 and profit of consolidated subsidiaries for the period ended June 30, 2022. 

	Assets				Liabilities						Net profit			Comprehensive
Subsidiaries	Currents		Non-currents		Currents		Non-currents		Revenue		(loss)			income (loss)
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
SQM Nitratos S.A.		742,605		72,565		631,097		15,128		100,025		10,944			10,951
SQM Potasio S.A.		341,563		2,758,231		429,406		20,204		5,702		1,729,230			1,729,348
Serv. Integrales de Tránsito y Transf. S.A.		3,076		32,528		11,516		7,490		15,759		2,733			2,721
Isapre Norte Grande Ltda.		884		843		795		208		1,987		127			103
Ajay SQM Chile S.A.		46,352		1,872		29,233		652		28,969		1,142			1,142
Almacenes y Depósitos Ltda.		213		58		-		-		-		(31	)		(135	)
SQM Salar S.A.		4,139,349		1,602,383		3,134,517		291,499		4,793,687		2,010,543			2,010,690
SQM Industrial S.A.		1,668,102		1,112,516		1,033,464		71,824		1,142,943		629,769			629,604
Exploraciones Mineras S.A.		7,906		22,710		118		-		-		90			90
Sociedad Prestadora de Servicios de Salud Cruz del Norte S.A.		478		369		389		321		1,511		19			17
Soquimich Comercial S.A.		124,820		12,164		59,897		10,059		60,935		7,457			7,457
Comercial Agrorama Ltda.		677		504		2,513		8		812		140			149
Comercial Hydro S.A.		4,746		-		1		402		15		1			1
Agrorama S.A.		32		-		4,546		3		78		9			6
Orcoma SpA		55		11,478		9,155		68		-		(7	)		(7	)
Orcoma Estudio SpA		7,338		2		2,698		-		-		34			34
SQM MaG SPA		2,074		448		1,147		5		1,852		95			95
Sociedad Contractual Minera Búfalo		511		28,211		28,683		4		-		1			1
SQM North America Corp.		261,489		22,322		238,699		1,701		260,013		4,703			4,703
RS Agro Chemical Trading Corporation A.V.V.		5,155		-		126		-		-		(11	)		(11	)
Nitratos Naturais do Chile Ltda.		-		128		2,918		411		-		(58	)		(58	)
SQM Corporation N.V.		923		109,021		4,264		-		-		30,596			30,596
SQM Perú S.A.		-		-		-		-		-		3			3
SQM Ecuador S.A.		57,619		872		49,913		62		24,725		681			681
SQM Brasil Ltda.		234		1		246		2,276		-		(129	)		(129	)
Subtotal		7,416,201		5,789,226		5,675,341		422,325		6,439,013		4,428,081			4,428,052

 51

Notes to the Consolidated Interim Financial Statements
June 30, 2023

	Assets				Liabilities						Net profit			Comprehensive
Subsidiaries	Currents		Non-currents		Currents		Non-currents		Revenue		(loss)			income (loss)
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
SQMC Holding Corporation L.L.P.		32,353		21,758		1,061		-		-		1,910			1,910
SQM Japan Co. Ltd.		196,663		172		193,594		220		181,080		(306	)		(306	)
SQM Europe N.V.		1,665,896		2,405		1,369,211		1,678		1,724,999		114,541			114,541
SQM Indonesia S.A.		3		-		-		-		-		-			-
North American Trading Company		155		145		-		-		-		-			-
SQM Virginia LLC		14,797		14,339		14,798		-		-		(1	)		(1	)
SQM Comercial de México S.A. de C.V.		259,825		7,588		181,924		1,413		220,567		21,286			21,286
SQM Investment Corporation N.V.		13,971		323,174		6,048		871		-		88,715			88,715
Royal Seed Trading Corporation A.V.V.		34		-		18,929		-		-		(18	)		(18	)
SQM Lithium Specialties LLP		15,745		3		1,264		-		-		-			-
Comercial Caimán Internacional S.A.		251		-		1,122		-		-		(2	)		(2	)
SQM France S.A.		345		6		114		-		-		-			-
Administración y Servicios Santiago S.A. de C.V.		140		-		380		-		-		(11	)		(11	)
SQM Nitratos México S.A. de C.V.		107		-		16		-		-		1			1
Soquimich European Holding B.V.		16,490		416,130		511		-		-		119,197			119,197
SQM Iberian S.A.		111,137		6,717		88,328		-		72,621		4,823			4,823
SQM Africa Pty Ltd.		113,764		1,226		99,253		124		55,926		3,728			3,728
SQM Oceania Pty Ltd.		9,107		-		6,720		-		2,644		482			482
SQM Beijing Commercial Co. Ltd.		2,179		-		59		-		-		(414	)		(414	)
SQM Thailand Limited		3,032		-		33		-		-		(124	)		(124	)
SQM Colombia SAS		41,881		234		40,906		18		21,253		730			730
SQM International NV		34,899		680		15,008		-		39,461		2,659			2,659
SQM Shanghai Chemicals Co. Ltd.		1,588,292		142		1,197,608		-		1,231,256		39,051			39,051
SQM Australia Pty Ltd.		119,130		542,465		216,917		28,870		-		(10,176	)		(10,176	)
SQM Korea LLC		103,024		544		102,469		-		76,982		14,190			14,190
SQM Holland B.V.		9,627		13,676		1,563		-		26,684		2,027			2,027
Subtotal		4,352,847		1,351,404		3,557,836		33,194		3,653,473		402,288			402,288
Total		11,769,048		7,140,630		9,233,177		455,519		10,092,486		4,830,369			4,830,340

 52

Notes to the Consolidated Interim Financial Statements
June 30, 2023

7.3 Non-controlling interests

	% of interests in the ownership held by			Profit (loss) attributable to non-controlling interests for the period ended				Equity, non-controlling interests for the period ended					Dividends paid to non-controlling interests for the period ended
Subsidiary	non-controlling interests			June 30, 2023		June 30, 2022		June 30, 2023		June 30, 2022			June 30, 2023		June 30, 2022
				ThUS$		ThUS$		ThUS$		ThUS$			ThUS$		ThUS$
SQM Potasio S.A.		0.0000001	%		-		-		-		-			-		-
Ajay SQM Chile S.A.		49.00000	%		1,538		559		10,524		8,941			-		-
Soquimich Comercial S.A.		39.36168	%		644		2,936		26,227		26,888			644		2,934
Comercial Agrorama Ltda. (3)		30.00000	%		-		42		1		(495	)		-		-
SQM Indonesia S.A.		20.00000	%		-		-		-		1			-		-
SQM Thailand Limited		0.00200	%		-		-		-		-			-		-
Total					2,182		3,537		36,752		35,335			644		2,934

(3) As of December 31, 2022, a 30% non-controlling interest was acquired by Comercial Hydro S.A., a Company subsidiary.

 53

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 8 Equity-accounted investees

8.1 Investments in associates recognized according to the equity method of accounting

As of June 30, 2023, and December 31, 2022, in accordance with criteria established in Note 2: 

	Equity-accounted investees				Share in profit (loss) of associates accounted for using the equity method				Share in other comprehensive income of associates accounted for using the equity method					Share in total other comprehensive income of associates accounted for using the equity method
Associates	As of June 30, 2023		As of December 31, 2022		For the period ended June 30, 2023		For the period ended June 30, 2022		For the period ended June 30, 2023		For the period ended June 30, 2022			For the period ended June 30, 2023		For the period ended June 30, 2022
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$		ThUS$
Ajay North America		18,193		17,654		2,440		2,978		-		-			2,440		2,978
Ajay Europe SARL		6,960		8,624		2,246		3,231		261		(1,180	)		2,507		2,051
Azure Minerals Limited		13,480		-		-		-		-		-			-		-
Total		38,633		26,278		4,686		6,209		261		(1,180	)		4,947		5,029

 54

Notes to the Consolidated Interim Financial Statements
June 30, 2023

				Share of ownership			Dividends received for the periods ending
Associate	Description of the nature of the relationship	Address	Country of incorporation	in associates			June 30, 2023		June 30, 2022
							ThUS$		ThUS$
Abu Dhabi Fertilizer Industries WWL	Distribution and commercialization of specialty plant nutrients in the Middle East.	PO Box 71871, Abu Dhabi	Emiratos Árabes		37	%		-		3,000
Ajay North America	Production and distribution of iodine and iodine derivatives.	1400 Industry RD Power Springs GA 30129	United States of America		49	%		2,006		543
Ajay Europe SARL	Production and distribution of iodine and iodine derivatives.	Z.I. du Grand Verger BP 227 53602 Evron Cedex	France		50	%		4,686		1,254
Azure Minerals Limited	Mineral exploration in nickel, cobalt, gold and copper deposits	Level 1, 34 Colin Street West Perth, WA 6005	Australia		19.99	%		-		-
Total								6,692		4,797

 55

Notes to the Consolidated Interim Financial Statements
June 30, 2023

8.2 Assets, liabilities, revenue and expenses of associates

	As of June 30, 2023				For the period ended June 30, 2023
	Assets		Liabilities				Other comprehensive	Comprehensive
Associate	Current	Non-current	Current	Non-current	Revenue	Net income (loss)	income	income
	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$
Ajay North America	29,000	16,194	8,061	2	33,416	4,979	-	4,979
Ajay Europe SARL	32,208	2,075	20,364	-	42,765	4,492	7	4,499
Total	61,208	18,269	28,425	2	76,181	9,471	7	9,478

	As of December 31, 2022				For the period ended June 30, 2022
	Assets		Liabilities				Other comprehensive		Comprehensive
Associate	Current	Non-current	Current	Non-current	Revenue	Net income (loss)	income		income
	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$		ThUS$
Ajay North America	30,455	15,972	10,395	2	34,644	6,078	-		6,078
Ajay Europe SARL	33,742	1,992	18,486	-	35,091	6,462	(29	)	6,433
Total	64,197	17,964	28,881	2	69,735	12,540	(29	)	12,511

 56

Notes to the Consolidated Interim Financial Statements
June 30, 2023

8.3 Disclosures regarding interests in associates

(a) Transactions for the period ended June 30, 2023:

● During the first quarter of 2023, the Company made an investment of ThUS$13,480 to acquire a 19.99% interest in Azure Minerals Limited (a company listed on the Australian Stock Exchange). SQM and Azure have entered into an acquisition agreement under which SQM has the right to acquire 25% of all lithium products in which Azure has an interest on commercially competitive market terms.

● During the second quarter of 2023, the Company received dividends from Abu Dhabi Fertilizer Industries WWL totaling ThUS$ 633, which were presented under “Other gains (losses).

(b) Transactions for the period ended June 30, 2022

● During February 2022, the Company received dividends of ThUS$ 3,000 from Abu Dhabi Fertilizer Industries WWL which triggered a income of ThUS$ 523 recorded in the line item other (losses), corresponding to the excess over the account receivable recognized in December 2021.

 57

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 9 Joint Ventures

9.1 Investment in joint ventures accounted for under the equity method of accounting.

	Equity-accounted investees		Share in profit (loss) of joint ventures accounted for using the equity method			Share on other comprehensive income of joint ventures accounted for using the equity method			Share on total other comprehensive income of joint ventures accounted for using the equity method
Joint Venture	As of June 30, 2023	As of December 31, 2022	For the period ended June 30, 2023		For the period ended June 30, 2022	For the period ended June 30, 2023	For the period ended June 30, 2022		For the period ended June 30, 2023		For the period ended June 30, 2022
	ThUS$	ThUS$	ThUS$		ThUS$	ThUS$	ThUS$		ThUS$		ThUS$
SQM Vitas Fzco.	19,582	20,793	(7,658	)	7,530	1,717	724		(5,941	)	8,254
Pavoni & C. Spa	7,710	7,315	303		438	81	(286	)	384		152
Covalent Lithium Pty Ltd. (*)	-	-	-		-	1,104	69		1,104		69
Total	27,292	28,108	(7,355	)	7,968	2,902	507		(4,453	)	8,475

(*) Equity method investments with a negative value are presented under “Other non-current provisions” and total ThUS$ 1,910.

 58

Notes to the Consolidated Interim Financial Statements
June 30, 2023

The following companies were included in the consolidation: 

	Equity-accounted investees		Share in profit (loss) of joint ventures accounted for using the equity method			Share on other comprehensive income of joint ventures accounted for using the equity method, for the period ended		Share on total other comprehensive income of joint ventures accounted for using the equity method for the period ended
Joint Venture	As of June 30, 2023	As of December 31, 2022	For the period ended June 30, 2023		For the period ended June 30, 2022	For the period ended June 30, 2023	For the period ended June 30, 2022	For the period ended June 30, 2023		For the period ended June 30, 2022
	ThUS$	ThUS$	ThUS$		ThUS$	ThUS$	ThUS$	ThUS$		ThUS$
SQM Vitas Brasil Agroindustria (1)	12,685	14,667	(4,413	)	5,132	-	724	(4,413	)	5,856
SQM Vitas Perú S.A.C. (1)	2,030	1,340	(3,326	)	2,373	-	-	(3,326	)	2,373
Total	14,715	16,007	(7,739	)	7,505	-	724	(7,739	)	8,229

(1) These companies are subsidiaries of:

SQM Vitas Fzco. 

						Dividends received for the period ending
Joint venture	Description of the nature of the relationship	Domicile	Country of incorporation	Share of interest in ownership		June 30, 2023	June 30, 2022
						ThUS$	ThUS$
SQM Vitas Fzco.	Production and commercialization of specialty plant, animal nutrition and industrial hygiene.	Jebel ALI Free Zone P.O. Box 18222, Dubai	United Arab Emirates	50	%	-	-
Pavoni & C. Spa	Production of specialty fertilizers and others for distribution in Italy and other countries.	Corso Italia 172, 95129 Catania (CT), Sicilia	Italy	50	%	-	-
Covalent Lithium Pty Ltd.	Development and operation of the Mt Holland Lithium project, which will include the construction of a lithium extraction and refining mine.	L18, 109 St Georges Tce Perth WA 6000 |PO Box Z5200 St Georges Tce Perth WA 6831	Australia	50	%	-	-
SQM Vitas Brasil Agroindustria (1)	Production and trading of specialty vegetable and animal nutrition and industrial hygiene.	Via Cndeias, Km. 01 Sem Numero, Lote 4, Bairro Cia Norte, Candeias, Bahia.	Brazil	49.99	%	-	-
SQM Vitas Perú S.A.C. (1)	Production and trading of specialty vegetable and animal nutrition and industrial hygiene	Av. Juan de Arona 187, Torre B, Oficina 301-II, San Isidro, Lima	Peru	50	%	-	-
Total						-	-

 59

Notes to the Consolidated Interim Financial Statements
June 30, 2023

9.2 Assets, liabilities, revenue and expenses from joint ventures

	As of June 30, 2023				For the period ended June 30, 2023
	Assets		Liabilities			Net income		Other comprehensive	Comprehensive
Joint Venture	Current	Non-current	Current	Non-current	Revenue	(loss)		income	income
	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$		ThUS$	ThUS$
SQM Vitas Fzco. (*)	9,778	-	46	-	-	159		-	159
SQM Vitas Brasil Agroindustria (*)	49,641	7,127	28,900	-	47,210	(8,828	)	1,086	(7,742	)
SQM Vitas Perú S.A.C. (*)	39,268	7,095	36,130	118	21,228	(6,651	)	-	(6,651	)
Pavoni & C. Spa (*)	13,590	6,428	10,221	789	12,942	607		87	694
Covalent Lithium Pty Ltd.	5,547	2,838	4,737	4,372	-	1,982		2,105	4,087
Total	117,824	23,488	80,034	5,279	81,380	(12,731	)	3,278	(9,453	)

	As of December 31, 2022				For the period ended June 30, 2022
	Assets		Liabilities			Net income		Other comprehensive		Comprehensive
Joint Venture	Current	Non-current	Current	Non-current	Revenue	(loss)		income		income
	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$		ThUS$		ThUS$
SQM Vitas Fzco. (*)	9,618	-	49	-	-	15,059		-		15,059
SQM Vitas Brasil Agroindustria (*)	73,045	6,111	45,894	-	85,544	10,267		1,770		12,037
SQM Vitas Perú S.A.C. (*)	59,196	7,285	49,596	117	33,711	4,746		-		4,746
Pavoni & C. Spa (*)	11,516	6,358	8,853	802	11,193	877		(314	)	563
Covalent Lithium Pty Ltd.	2,077	3,088	7,062	3,017	-	(1,511	)	-		(1,511	)
Total	155,452	22,842	111,454	3,936	130,448	29,438		1,456		30,894

(*) The financial figures figures exclude consolidation adjustments (unrealized gains and losses).

 60

Notes to the Consolidated Interim Financial Statements
June 30, 2023

9.3 Other Joint Venture disclosures

	Cash and cash equivalents		Other current financial liabilities		Other non-current financial liabilities
Joint Venture	As of June 30, 2023	As of December 31, 2022	As of June 30, 2023	As of December 31, 2022	As of June 30, 2023	As of December 31, 2022
	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$
SQM Vitas Fzco.	3,910	3,866	-	-	-	-
SQM Vitas Brasil Agroindustria	6,314	3,820	14,462	9,753	-	-
SQM Vitas Perú S.A.C.	918	2,208	-	82	118	117
Pavoni & C. Spa	1,153	1,088	2,721	4,951	-	-
Covalent Lithium Pty Ltd.	2,042	1,931	232	494	-	-
Total	14,337	12,913	17,415	15,280	118	117

	Depreciation and amortization expense for the period ending					Interest expense for the period ending				Income tax benefit (expense) for the period ending
Joint Venture	June 30, 2023			June 30, 2022		June 30, 2023		June 30, 2022		June 30, 2023		June 30, 2022
	ThUS$			ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
SQM Vitas Fzco.	-		-			-		-		-		-
SQM Vitas Brasil Agroindustria	-			(86	)	(359	)	(66	)	-		(853	)
SQM Vitas Perú S.A.C.	(179	)		(89	)	(78	)	(79	)	31		(1,039	)
Pavoni & C. Spa	(43	)		(43	)	(270	)	(124	)	(310	)	(259	)
Covalent Lithium Pty Ltd.	(108	)		(71	)	(8	)	(12	)	-		-
Total	(330	)		(289	)	(715	)	(281	)	(279	)	(2,151	)

 61

Notes to the Consolidated Interim Financial Statements
June 30, 2023

9.4 Disclosure of interests in joint ventures

a) Transactions for the period ended June 30, 2023

● As of June 30, 2023, there are no transactions to disclose.

b) Transactions for the period ended June 30, 2022

● As of June 30, 2022, there are no transactions to disclose.

9.5 Joint Operations

In 2017, together with our subsidiary SQM Australia Pty, we entered into an agreement to acquire 50% of the assets of the Mt Holland lithium project in Western Australia. The Mt Holland Lithium Project consist, to design, construct and operate a mine, concentrator and refinery to produce lithium hydroxide.

On February 17, 2021, the Board of Directors approved the investment in the Mount Holland lithium project in Western Australia. SQM’s share of the project investment is expected to be approximately US$700 million, between 2021 and 2025. The feasibility study confirms an expected initial production capacity of 50,000 metric tons of lithium hydroxide during the second half of 2024.

As of June 30, 2023, a total of US$607.8 million has been contributed to the Mt Holland lithium project. The revised investment budget for this project considers an outstanding investment balance of US$223 million.

 62

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 10 Cash and cash equivalents

10.1 Types of cash and cash equivalents

As of June 30, 2023, and December 31, 2022, cash and cash equivalents are detailed as follows:

Cash	As of June 30, 2023	As of December 31, 2022
	ThUS$	ThUS$
Cash on hand	36	43
Cash in banks	533,132	529,606
Total Cash	533,168	529,649

Cash equivalents	As of June 30, 2023	As of December 31, 2022
	ThUS$	ThUS$
Short-term deposits, classified as cash equivalents	639,607	1,099,441
Short-term investments, classified as cash equivalents	889,995	1,026,146
Total cash equivalents	1,529,602	2,125,587
Total cash and cash equivalents	2,062,770	2,655,236

10.2 Short-term investments, classified as cash equivalents

As of June 30, 2023, and December 31, 2022, the short-term investments classified as cash and cash equivalents relate to mutual funds (investment liquidity funds) for investments in:

Institution	As of June 30, 2023	As of December 31, 2022
	ThUS$	ThUS$
Legg Mason - Western Asset Institutional Cash Reserves	447,986	590,661
JP Morgan US dollar Liquidity Fund Institutional	442,009	435,485
Total	889,995	1,026,146

Short-term investments are highly liquid mutual funds that are basically invested in short-term fixed rate notes in the U.S. market.

10.3 Amount restricted cash balances

The Company has granted a guarantee consisting of financial instruments, specified in deposits, custody and administration to Banco de Chile, for its subsidiary Isapre Norte Grande Ltda., in compliance with the provisions of the Superintendence of Health, which regulates social security health institutions.

According to the regulations of the Superintendence of Health, this guarantee is for the total payable to its affiliates and medical providers. Banco de Chile reports the current value of the guarantee to the Superintendence of Health and Isapre Norte Grande Ltda. on a daily basis.

As of June 30, 2023, and December 31, 2022 pledged assets are as follows:

Restricted cash balances	As of June 30,  2023	As of December 31,  2022
	ThUS$	ThUS$
Isapre Norte Grande Ltda.	1,005	717
Total	1,005	717

63

Notes to the Consolidated Interim Financial Statements
June 30, 2023

10.4 Short-term deposits, classified as cash equivalents

The detail at the end of each balance date is as follows:

Receiver of the deposit	Type of deposit	Original Currency	Interest   Rate		Placement date	Expiration date	Principal	Interest accrued to-date	As of June 30, 2023
							ThUS$	ThUS$	ThUS$
Banco Crédito e Inversiones	Fixed term	Peso	0.95	%	06-05-2023	07-27-2023	74,655	615	75,270
Itaú Corpbanca	Fixed term	Peso	0.96	%	06-05-2023	07-27-2023	49,770	412	50,182
Itaú Corpbanca	Fixed term	Peso	0.96	%	06-02-2023	07-27-2023	99,637	922	100,559
Itaú Corpbanca	Fixed term	Peso	0.97	%	05-25-2023	07-17-2023	100,919	1,201	102,120
Itaú Corpbanca	Fixed term	Peso	0.97	%	05-26-2023	07-17-2023	100,878	1,168	102,046
Scotiabank Sud Americano	Fixed term	Peso	0.96	%	06-08-2023	07-27-2023	79,183	579	79,762
Scotiabank Sud Americano	Fixed term	Peso	0.96	%	06-12-2023	07-27-2023	30,237	184	30,421
Scotiabank Sud Americano	Fixed term	Peso	0.97	%	06-08-2023	07-27-2023	89,081	659	89,740
Itaú Corpbanca	Fixed term	Dollar	0.52	%	06-29-2023	08-02-2023	500	-	500
Banco Crédito e Inversiones	Fixed term	Dollar	0.10	%	06-30-2023	07-07-2023	1,000	-	1,000
Banco Crédito e Inversiones	Fixed term	Dollar	0.26	%	06-30-2023	07-17-2023	1,500	-	1,500
Banco Santander	Fixed term	Dollar	0.52	%	06-28-2023	07-31-2023	4,000	1	4,001
Banco Santander	Fixed term	Dollar	0.47	%	06-08-2023	07-07-2023	500	2	502
Banco Santander	Fixed term	Dollar	0.25	%	06-16-2023	07-03-2023	2,000	4	2,004
Total							633,860	5,747	639,607

64

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Receiver of the deposit	Type of deposit	Original Currency	Interest Rate		Placement date	Expiration date	Principal	Interest accrued to-date	As of December 31, 2022
							ThUS$	ThUS$	ThUS$
Banco Crédito e Inversiones	Fixed term	Peso	0.95	%	11-17-2022	01-25-2023	42,998	609	43,607
Banco Crédito e Inversiones	Fixed term	Peso	0.94	%	12-15-2022	01-25-2023	100,817	537	101,354
Itaú Corpbanca	Fixed term	Peso	0.96	%	12-06-2022	01-05-2023	41,421	343	41,764
Itaú Corpbanca	Fixed term	Peso	0.96	%	12-12-2022	01-25-2023	100,660	644	101,304
Itaú Corpbanca	Fixed term	Peso	0.95	%	11-17-2022	01-25-2023	32,248	458	32,706
Itaú Corpbanca	Fixed term	Peso	0.95	%	11-16-2022	01-25-2023	73,831	1,070	74,901
Itaú Corpbanca	Fixed term	Peso	0.96	%	12-13-2022	01-25-2023	30,146	183	30,329
Santander	Fixed term	Peso	0.95	%	12-16-2022	01-25-2023	103,288	523	103,811
Santander	Fixed term	Peso	0.94	%	12-06-2022	01-05-2023	20,710	168	20,878
Scotiabank Sud Americano	Fixed term	Peso	0.96	%	12-12-2022	01-25-2023	50,330	322	50,652
Scotiabank Sud Americano	Fixed term	Peso	0.98	%	12-13-2022	01-25-2023	100,487	621	101,108
Scotiabank Sud Americano	Fixed term	Peso	0.96	%	12-13-2022	01-25-2023	70,341	428	70,769
Scotiabank Sud Americano	Fixed term	Peso	0.97	%	12-14-2022	01-25-2023	100,258	584	100,842
Scotiabank Sud Americano	Fixed term	Dollar	0.38	%	11-21-2022	01-25-2023	82,000	424	82,424
Sumitomo Mitsui Banking	Fixed term	Dollar	0.38	%	11-21-2022	01-25-2023	122,000	631	122,631
Banco Crédito e Inversiones	Fixed term	Dollar	0.42	%	12-06-2022	01-06-2023	2,000	7	2,007
Banco Crédito e Inversiones	Fixed term	Dollar	0.44	%	12-01-2022	01-03-2023	1,500	6	1,506
Banco Crédito e Inversiones	Fixed term	Peso	0.22	%	12-30-2022	01-06-2023	2,103	1	2,104
Banco de Chile	Fixed term	Dollar	0.95	%	12-12-2022	02-14-2023	600	2	602
Itaú Corpbanca	Fixed term	Dollar	1.02	%	12-13-2022	02-16-2023	500	2	502
Itaú Corpbanca	Fixed term	Dollar	0.46	%	11-30-2022	01-03-2023	1,000	4	1,004
Itaú Corpbanca	Fixed term	Dollar	0.42	%	12-06-2022	01-06-2023	700	2	702
Itaú Corpbanca	Fixed term	Dollar	1.07	%	12-21-2022	02-27-2023	1,700	3	1,703
Scotiabank Sud Americano	Fixed term	Dollar	0.66	%	12-07-2022	01-27-2023	1,000	3	1,003
Scotiabank Sud Americano	Fixed term	Dollar	0.64	%	11-16-2022	01-03-2023	2,500	15	2,515
Scotiabank Sud Americano	Fixed term	Dollar	0.72	%	12-28-2022	02-13-2023	2,200	1	2,201
Scotiabank Sud Americano	Fixed term	Dollar	0.96	%	12-30-2022	03-03-2023	500	-	500
Scotiabank Sud Americano	Fixed term	Dollar	0.58	%	11-22-2022	01-03-2023	1,500	8	1,508
Scotiabank Sud Americano	Fixed term	Dollar	0.38	%	12-16-2022	01-13-2023	1,500	3	1,503
Scotiabank Sud Americano	Fixed term	Dollar	0.87	%	12-22-2022	02-16-2023	1,000	1	1,001
Total							1,091,838	7,603	1,099,441

65

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 11 Inventories

The composition of inventory at each period-end is as follows:

Type of inventory	As of June 30, 2023	As of December 31,  2022
	ThUS$	ThUS$
Raw material	39,341	27,035
Production supplies	76,932	68,426
Products-in-progress	768,172	590,946
Finished product	969,755	1,097,874
Total	1,854,200	1,784,281

As of June 30, 2023, the Company held caliche stockpiles, solutions in solar ponds and intermediary salts amounting ThUS$ 538,595 and as of December 31, 2022 was ThUS$ 513,209 (including products in progress). As of June 30, 2023, bulk inventories recognized within work in progress were ThUS$ 190,022, while as of December 31, 2022 this value amounted to ThUS$ 122,284.

As of June 30, 2023 and December 31, 2022, bulk inventories recognized within finished goods were ThUS$ 178,434 and ThUS$ 198,796, respectively.

As of June 30, 2023 and December 2022, recognized inventory allowances recognized, amounted to ThUS$ 123,977 and ThUS$ 104,057, respectively. For finished and in-process products, recognized allowances include the provision associated with the lower value of stock (considers lower realizable value, uncertain future use, reprocessing costs of off-specification products, etc.), provision for inventory differences and the provision for potential errors in the determination of inventories (e.g., errors in topography, grade, moisture, etc.). (See Note 3.15).

For raw materials, supplies, materials and parts, the lower value provision was associated to the proportion of defective materials and potential differences.

The breakdown of inventory allowances is detailed as follows:

Type of inventory	As of June 30, 2023	As of December 31,  2022
	ThUS$	ThUS$
Raw material and supplies for production	5,956	4,186
Products-in-progress	96,784	83,499
Finished product	21,237	16,372
Total	123,977	104,057

The Company has not pledged inventory as collateral for the periods indicated above.

66

Notes to the Consolidated Interim Financial Statements
June 30, 2023

As of June 30, 2023, and December 31, 2022, movements in provisions are detailed as follows:

Conciliation	As of June 30,  2023		As of December 31,  2022
	ThUS$		ThUS$
Beginning balance	104,057		75,892
Increase in provision for lower value	19,956		29,693
Additional provision for differences in inventories	1,082		(161	)
Provision used	(1,118	)	(1,367	)
Total changes	19,920		28,165
Final balance	123,977		104,057

For further details, see accounting policy for inventory measurement in Note 3.15

67

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 12 Related party disclosures

12.1 Related party disclosures

Balances pending at period-end are not guaranteed, accrue no interest and are settled in cash, no guarantees have been delivered or received for trade and other receivables due from related parties or trade and other payables due to related parties.

12.2 Relationships between the parent and the entity

Pursuant to Article 99 of Law of the Securities Market Law, the CMF may determine that a company does not have a controlling entity in accordance with the distribution and dispersion of its ownership. On November 30, 2018, the CMF issued the ordinary letter No. 32,131 whereby it determined that Pampa Group, do not exert decisive power over the management of the Company since it does not have a predominance in the ownership that allows it to make management decisions. Therefore, the CMF has determined not to consider Pampa Group as the controlling entity of the Company and that the Company does not have a controlling entity given its current ownership structure.

68

Notes to the Consolidated Interim Financial Statements
June 30, 2023

12.3 Detailed identification of related parties and subsidiaries

As of June 30, 2023 and December 31, 2022, the detail of entities that are identified as subsidiaries or related parties of the SQM Group is as follows:

Tax ID No	Name	Country of origin	Functional currency	Nature
Foreign	Nitratos Naturais Do Chile Ltda.	Brazil	Dollar	Subsidiary
Foreign	SQM North America Corp.	United States	Dollar	Subsidiary
Foreign	SQM Europe N.V.	Belgium	Dollar	Subsidiary
Foreign	Soquimich European Holding B.V.	Netherlands	Dollar	Subsidiary
Foreign	SQM Corporation N.V.	Curacao	Dollar	Subsidiary
Foreign	SQM Comercial De México S.A. de C.V.	Mexico	Dollar	Subsidiary
Foreign	North American Trading Company	United States	Dollar	Subsidiary
Foreign	Administración y Servicios Santiago S.A. de C.V.	Mexico	Dollar	Subsidiary
Foreign	SQM Perú S.A. (2)	Peru	Dollar	Subsidiary
Foreign	SQM Ecuador S.A.	Ecuador	Dollar	Subsidiary
Foreign	SQM Nitratos Mexico S.A. de C.V.	Mexico	Dollar	Subsidiary
Foreign	SQMC Holding Corporation L.L.P.	United States	Dollar	Subsidiary
Foreign	SQM Investment Corporation N.V.	Curacao	Dollar	Subsidiary
Foreign	SQM Brasil Limitada	Brazil	Dollar	Subsidiary
Foreign	SQM France S.A.	France	Dollar	Subsidiary
Foreign	SQM Japan Co. Ltd.	Japan	Dollar	Subsidiary
Foreign	Royal Seed Trading Corporation A.V.V.	Aruba	Dollar	Subsidiary
Foreign	SQM Oceania Pty Limited	Australia	Dollar	Subsidiary
Foreign	Rs Agro-Chemical Trading Corporation A.V.V.	Aruba	Dollar	Subsidiary
Foreign	SQM Indonesia S.A.	Indonesia	Dollar	Subsidiary
Foreign	SQM Virginia L.L.C.	United States	Dollar	Subsidiary
Foreign	Comercial Caimán Internacional S.A. (3)	Panama	Dollar	Subsidiary
Foreign	SQM África Pty. Ltd.	South Africa	Dollar	Subsidiary
Foreign	SQM Colombia SAS	Colombia	Dollar	Subsidiary
Foreign	SQM Internacional N.V.	Belgium	Dollar	Subsidiary
Foreign	SQM (Shanghai) Chemicals Co. Ltd.	China	Dollar	Subsidiary
Foreign	SQM Lithium Specialties LLC	United States	Dollar	Subsidiary
Foreign	SQM Iberian S.A.	Spain	Dollar	Subsidiary
Foreign	SQM Beijing Commercial Co. Ltd.	China	Dollar	Subsidiary
Foreign	SQM Thailand Limited	Thailand	Dollar	Subsidiary
Foreign	SQM Australia PTY	Australia	Dollar	Subsidiary
Foreign	SQM Holland B.V.	Netherlands	Dollar	Subsidiary
Foreign	SQM Korea LLC	South Korea	Dollar	Subsidiary
96.801.610-5	Comercial Hydro S.A.	Chile	Dollar	Subsidiary
96.651.060-9	SQM Potasio S.A.	Chile	Dollar	Subsidiary
96.592.190-7	SQM Nitratos S.A.	Chile	Dollar	Subsidiary
96.592.180-K	Ajay SQM Chile S.A.	Chile	Dollar	Subsidiary
79.947.100-0	SQM Industrial S.A.	Chile	Dollar	Subsidiary
79.906.120-1	Isapre Norte Grande Ltda.	Chile	Peso	Subsidiary
79.876.080-7	Almacenes y Depósitos Ltda.	Chile	Peso	Subsidiary

69

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Tax ID No	Name	Country of origin	Functional currency	Nature
79.770.780-5	Servicios Integrales de Tránsitos y Transferencias S.A.	Chile	Dollar	Subsidiary
79.768.170-9	Soquimich Comercial S.A.	Chile	Dollar	Subsidiary
79.626.800-K	SQM Salar S.A.	Chile	Dollar	Subsidiary
76.534.490-5	Sociedad Prestadora de Servicios de Salud Cruz del Norte S.A.	Chile	Peso	Subsidiary
76.425.380-9	Exploraciones Mineras S.A.	Chile	Dollar	Subsidiary
76.064.419-6	Comercial Agrorama Ltda.	Chile	Peso	Subsidiary
76.145.229-0	Agrorama S.A.	Chile	Peso	Subsidiary
76.359.919-1	Orcoma Estudios SPA	Chile	Dollar	Subsidiary
76.360.575-2	Orcoma SPA	Chile	Dollar	Subsidiary
76.686.311-9	SQM MaG SpA	Chile	Dollar	Subsidiary
77.114.779-8	Sociedad Contractual Minera Búfalo	Chile	Dollar	Subsidiary
Foreign	Abu Dhabi Fertilizer Industries WWL	Arab Emirates	Arab Emirates dirham	Associate
Foreign	Ajay North America	United States	Dollar	Associate
Foreign	Ajay Europe SARL	France	Euro	Associate
Foreign	Kore Potash PLC	United Kingdom	Dollar	Associate
Foreign	SQM Vitas Fzco.	Arab Emirates	Arab Emirates dirham	Joint venture
Foreign	Covalent Lithium Pty Ltd.	Australia	Dollar	Joint venture
Foreign	Pavoni & C, SPA	Italy	Euro	Joint venture
96.511.530-7	Sociedad de Inversiones Pampa Calichera	Chile	Dollar	Other related parties
96.529.340-K	Norte Grande S.A.	Chile	Peso	Other related parties
Foreign	SQM Vitas Brasil Agroindustria (1)	Brazil	Brazilian real	Other related parties
Foreign	SQM Vitas Perú S.A.C. (1)	Peru	Dollar	Other related parties

(1) These Companies are subsidiaries of the joint venture SQM Vitas Fzco.

(2) This Company was liquidated in December 2022.

(3) This Company was liquidated in March 2023.

70

Notes to the Consolidated Interim Financial Statements
June 30, 2023

The following other related parties correspond to mining contractual corporations.

Tax ID No.	Name	Country of origin	Functional currency	Relationship
N/A	Sociedad Contractual Minera Pampa Unión	Chile	Peso	Other related parties

Below is a list of transactions with clients and suppliers with whom a relationship with key Company personnel was identified:

Tax ID No	Name	Country of origin	Nature
76.389.727-3	Sociedad Periodística El Libero	Chile	Other related parties
90.193.000-7	El Mercurio S.A.P.	Chile	Other related parties
92.580.000-7	Empresa Nacional de Telecomunicaciones S.A.	Chile	Other related parties
96.806.980-2	Entel PCS Telecomunicaciones S.A.	Chile	Other related parties
97.004.000-5	Banco de Chile	Chile	Other related parties
99.012.000-5	Compañía de Seguros de Vida Consorcio Nacional	Chile	Other related parties
10.581.580-8	Gonzalo Guerrero Yamamoto	Chile	Other related parties
65.204.189-2	Fundación para el desarrollo social	Chile	Other related parties
82.135.600-8	Instituto Chileno administración empresas	Chile	Other related parties

71

Notes to the Consolidated Interim Financial Statements
June 30, 2023

12.4 Detail of related parties and related party transactions

Transactions between the Company and its subsidiaries, associated businesses, joint ventures and other related parties are part of the Company's common transactions. Their conditions are those customary for this type of transactions in respect of terms and market prices. Maturity terms for each case vary by virtue of the transaction giving rise to them.

As of June 30, 2023 and 2022, the detail of significant transactions with related parties is as follows:

Tax ID No	Name	Nature	Country of origin	Transaction	As of June 30, 2023			As of June 30,  2022
					ThUS$			ThUS$
Foreign	Ajay Europe S.A.R.L.	Associate	France	Sale of products		23,706			24,791
Foreign	Ajay Europe S.A.R.L.	Associate	France	Dividends		4,686			1,254
Foreign	Ajay North America LL.C.	Associate	United States of America	Sale of products		17,856			20,152
Foreign	Ajay North America LL.C.	Associate	United States of America	Dividends		2,006			543
Foreign	Abu Dhabi Fertilizer Industries WWL	Associate	Emiratos Árabes	Dividends		-			3,000
Foreign	SQM Vitas Brasil Agroindustria	Other related parties	Brazil	Sale of products		22,917			62,406
Foreign	SQM Vitas Perú S.A.C.	Other related parties	Peru	Sale of products		5,251			25,425
Foreign	Pavoni & CPA	Joint venture	Italy	Sale of products		2,582			2,701
Chile	Banco de Chile	Other related parties	Chile	Service Provider		(2,312	)		(2,041	)
Chile	Norte Grande S.A.	Other related parties	Chile	Service Provider		(9	)		35
Chile	El Mercurio S.A.P.	Other related parties	Chile	Service Provider		(652	)		(40	)
Chile	Compañía de Seguros de Vida Consorcio Nacional	Other related parties	Chile	Service Provider		(8	)		(8	)
Chile	Entel PCS Telecomunicaciones S.A.	Other related parties	Chile	Service Provider		(22	)		(76	)
Chile	Gonzalo Guerrero Yamamoto	Other related parties	Chile	Service Provider		-			(12	)
Chile	Empresa Nacional de Telecomunicaciones	Other related parties	Chile	Service Provider		(623	)		(677	)
Chile	Instituto Chileno administración empresas	Other related parties	Chile	Service Provider		(28	)		(50	)
Chile	Fundación para el desarrollo social	Other related parties	Chile	Service Provider		-			(7	)

72

Notes to the Consolidated Interim Financial Statements
June 30, 2023

12.5 Trade receivables due from related parties, current:

Tax ID No	Name	Nature	Country of origin	Currency	As of   June 30,  2023		As of December 31, 2022
					ThUS$		ThUS$
Foreign	Ajay Europe S.A.R.L.	Associate	France	Euro		12,953		7,967
Foreign	Ajay North America LL.C.	Associate	United States of America	Dollar		6,635		8,354
96.511.530-7	Soc. de Inversiones Pampa Calichera	Other related parties	Chile	Dollar		5		5
Foreign	SQM Vitas Brasil Agroindustria	Other related parties	Brazil	Dollar		12,069		32,054
Foreign	SQM Vitas Perú S.A.C.	Other related parties	Peru	Dollar		29,014		31,081
Foreign	SQM Vitas Fzco.	Joint venture	United Arab Emirates	United Arab Emirates Dirham		232		232
Foreign	Pavoni & C. SpA	Joint venture	Italy	Euro		2,029		888
Foreign	Covalent Lithium Pty Ltd.	Joint venture	Australia	Australian dollar		-		1,041
Total						62,937		81,622

As of June 30, 2023 and December 31, 2022, receivables are net of provision for ThUS$ 1,006 and ThUS$ 1,378, respectively.

12.6 Current trade payables due to related:

Tax ID No	Name	Nature	Country of origin	Currency	As of June 30,  2023		As of December 31,  2022
					ThUS$		ThUS$
Foreign	Covalent Lithium Pty Ltd.	Joint venture	Australia	Dollar		1,689		-
Total						1,689		-

12.7 Other disclosures:

Note 6 describes the remuneration of the board of directors, administration and key management personnel.

73

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 13 Financial instruments

13.1 Types of other current and non-current financial assets

Description of other financial assets	As of June 30,  2023		As of December 31,  2022
	ThUS$		ThUS$
Financial assets at amortized cost (1)		562,614		950,167
Derivative financial instruments
- For hedging		16,230		7,014
- Non-hedging (2)		11,886		4,174
Total other current financial assets		590,730		961,355
Financial assets at fair value through other comprehensive income		9,229		9,497
Derivative financial instruments
- For hedging		47,119		22,606
Other financial assets at amortized cost		23		23
Total other non-current financial assets		56,371		32,126

Institution	As of June 30,  2023		As of December 31,  2022
	ThUS$		ThUS$
Banco de Crédito e Inversiones		60,094		187,707
Banco Santander (3)		351,408		51,444
Banco Itaú CorpBanca		114		15,048
Banco Estado		-		85,055
Banco de Chile		-		150,259
Scotiabank Sud Americano		150,998		250,362
Sumitomo Mitsui Banking		-		210,292
Total		562,614		950,167

(1) Corresponds to term deposits whose maturity date is greater than 90 days and less than 360 days from the investment date constituted in the aforementioned financial institutions.

(2) Correspond to forwards and options that were not classified as hedging instruments (See detail in Note 13.3).

(3) As of June 30, 2023, and December 31, 2022, no margin calls were recorded.

74

Notes to the Consolidated Interim Financial Statements
June 30, 2023

13.2 Trade and other receivables

	As of June 30, 2023						As of December 31, 2022
Trade and other receivables	Current		Non-current		Total		Current		Non-current		Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Trade receivables, current		866,234		-		866,234		1,002,223		-		1,002,223
Prepayments, current		65,314		-		65,314		38,709		-		38,709
Other receivables, current		23,262		2,383		25,645		16,648		2,091		18,739
Guarantee deposits (1)		29,908		-		29,908		29,840		-		29,840
Total trade and other receivables		984,718		2,383		987,101		1,087,420		2,091		1,089,511

See discussion about credit risk in Note 4.2.

	As of June 30, 2023							As of December 31, 2022
Trade and other receivables	Gross receivables		Impairment provision for doubtful receivables			Trade receivables, net		Gross receivables		Impairment provision for doubtful receivables			Trade receivables, net
	ThUS$		ThUS$			ThUS$		ThUS$		ThUS$			ThUS$
Receivables related to credit operations, current		872,948		(6,714	)		866,234		1,006,982		(4,759	)		1,002,223
Prepayments, current		66,098		(784	)		65,314		39,493		(784	)		38,709
Other receivables, current		26,853		(3,591	)		23,262		19,920		(3,272	)		16,648
Guarantee deposits (1)		29,908		-			29,908		29,840		-			29,840
Other receivables, non-current		2,383		-			2,383		2,091		-			2,091
Total trade and other receivables		998,190		(11,089	)		987,101		1,098,326		(8,815	)		1,089,511

(1) During the third quarter of 2022, the Company signed an agreement for an option to potentially acquire a battery-grade lithium hydroxide monohydrate plant with a production capacity of approximately 20,000 tons per year from lithium sulfate salts. In addition, the transaction secures rights to adjacent land for future expansion.

The acquisition cost totals CNY 869 million (ThUS$ 119,575) from which a deposit was paid in advance amounting CNY 204.5 million (ThUS$ 29,322) The disbursement of the remaining amounts is subject to compliance with various conditions during the third quarter of 2023. The Company´s payments would be backed by various guarantees granted by the seller and any failure to fulfil the conditions required by the contract would be considered a material breach of contract, giving the Company the right to demand the restitution of the amounts already paid.

75

Notes to the Consolidated Interim Financial Statements
June 30, 2023

(a) Renegotiated portfolio

As of June 30, 2023, and December 31, 2022 the detail of the renegotiated portfolio is as follows:

As of June 30, 2023
Portfolio analysis
Past due segments	Number of customers with non-renegotiated portfolio		Gross non-renegotiated portfolio ThUS$		Number of customers with renegotiated portfolio		Gross renegotiated portfolio ThUS$
Current		1,096		856,714		2		306
1 - 30 days		66		5,369		6		462
31 - 60 days		34		3,006		6		91
61 - 90 days		7		1,361		6		217
91 - 120 days		-		806		2		200
121 - 150 days		2		213		1		83
151 - 180 days		1		1		1		137
181 - 210 days		4		10		-		-
211 - 250 days		4		101		-		-
>250 days		143		3,489		52		382
Total		1,357		871,070		76		1,878

As of December 31, 2022
Portfolio analysis
Past due segments	Number of customers with non-renegotiated portfolio		Gross non-renegotiated portfolio ThUS$		Number of customers with renegotiated portfolio		Gross renegotiated portfolio ThUS$
Current		997		967,853		12		276
1 - 30 days		149		30,116		4		71
31 - 60 days		25		1,352		2		105
61 - 90 days		2		2,632		3		704
91 - 120 days		10		235		-		-
121 - 150 days		1		84		-		-
151 - 180 days		2		180		1		7
181 - 210 days		4		67		2		27
211 - 250 days		7		192		3		54
>250 days		76		2,726		55		301
Total		1,273		1,005,437		82		1,545

76

Notes to the Consolidated Interim Financial Statements
June 30, 2023

(b) Impairment provision for doubtful receivables

As of June 30, 2023
	Trade accounts receivable days past due																	Trade
Trade and other receivables	Current			1 to 30 days			31 to 60 days			61 to 90 days			Over 90 days			Trade		receivables due from related parties
																ThUS$		ThUS$
Expected Loss Rate on		0	%		4	%		3	%		12	%		80	%		-		-
Total Gross Book Value		857,019			5,830			3,098			1,578			5,423			872,948		63,943
Impairment Estimate		1,866			236			82			189			4,341			6,714		1,006

As of December 31, 2022
	Trade accounts receivable days past due																	Trade
Trade and other receivables	Current			1 to 30 days			31 to 60 days			61 to 90 days			Over 90 days			Trade		receivables due from related parties
																ThUS$		ThUS$
Expected Loss Rate on		0	%		1	%		7	%		6	%		81	%		-		-
Total Gross Book Value		968,129			30,187			1,457			3,336			3,873			1,006,982		83,000
Impairment Estimate		948			391			108			186			3,126			4,759		1,378

As of June 30, 2023, and December 31, 2022, movements in provisions are as follows:

Provisions	As of June 30, 2023		As of December 31,  2022
	ThUS$		ThUS$
Impairment provision of Accounts receivable at the beginning of the year		10,193		14,716
Increase (decrease) impairment of accounts receivable		1,620		(3,369	)
Difference in exchange rate		282		(1,154	)
Impairment provision of Accounts Receivable Provision at the end of the year		12,095		10,193
(1) Trade and other Receivables Provision		6,714		4,759
(2) Current Other Receivables Provision		4,375		4,056
(3) Trade receivables with related parties, current Provision		1,006		1,378
Impairment provision of Accounts Receivable Provision		12,095		10,193
Renegotiated receivables		352		356
Non-renegotiated receivables		11,743		9,837

77

Notes to the Consolidated Interim Financial Statements
June 30, 2023

13.3 Hedging assets and liabilities

The balance represents derivative financial instruments measured at fair value which have been classified as hedges for exchange and interest rate risks relating to the total obligations with the public associated with bonds in UF and investments in Chilean pesos. (See more detail in Note 4.2 b).

As of June 30, 2023	Assets	Liabilities	Total Realized	Hedging Reserve in Gross Equity (1)
Type of Instrument: Cross currency interest rate swaps and Forwards
Cash flow hedge derivatives
Short term	16,230	10,646	-	-
Long term	45,600	-	-	-
Subtotal	61,830	10,646	49,799	1,385
Type of Instrument: Forwards
Non-hedging derivatives disbursement SQM Australia Pty
Long term	1,519	4,477	-	(2,958	)
Subtotal	1,519	4,477	-	(2,958	)
Underlying Investments Hedge	63,349	15,123	49,799	(1,573	)
Type of Instrument: Forwards/Options
Non-hedge derivatives with effect on income
Short term	11,886	1,798	-	-
Underlying Investments Hedge	11,886	1,798	44,091	-
Total Instruments	75,235	16,921	93,890	(1,573	)

As of December 31, 2022	Assets	Liabilities	Total Realized		Hedging Reserve in Gross Equity (1)
Type of Instrument: Cross currency interest rate swaps and Forwards
Cash flow hedge derivatives
Short term	7,014	42,754	-		-
Long term	15,467	19,772	-		-
Subtotal	22,481	62,526	(12,939	)	(27,106	)
Type of Instrument: Forwards
Non-hedging derivatives disbursement SQM Australia Pty
Long term	7,139	-	-		7,139
Subtotal	7,139	-	-		7,139
Underlying Investments Hedge	29,620	62,526	(12,939	)	(19,967	)
Type of Instrument: Forwards/Options
Non-hedge derivatives with effect on income
Short term	4,174	5,816	-		-
Underlying Investments Hedge	4,174	5,816	38,653		-
Total Instruments	33,794	68,342	25,714		(19,967	)

(1) See underlying hedges in Note 4.2 letters b) and d) and movement of cash flow hedge reserve in Note 20.4.

78

Notes to the Consolidated Interim Financial Statements June 30, 2023

The balances in the column “Total Realized” consider the intermediate effects of the contracts that were in place between January 1 and June 30, 2023, and January 1 and December 31, 2022.

Reconciliation of asset and liability hedging derivatives	As of December 31, 2022			Cash Flow			Income statement		Equity and Others			As of June 30, 2023
Hedge-to-debt derivatives		(10,061	)		780			36,704		29,303			56,726
Hedging derivatives to investment		(29,984	)		-			22,492		1,950			(5,542	)
Non-hedging derivatives disbursement SQM Australia Pty asset		7,139			1,259			-		(6,879	)		1,519
Non-hedging derivatives disbursement SQM Australia Pty liability		-			1,503			-		(5,980	)		(4,477	)
Non-hedging derivatives		(1,643	)		(32,361	)		44,092		-			10,088

Derivative contract maturities are detailed as follows:

Series	Contract amount		Currency		Maturity date
	ThUS$
H		98,773		UF	01/05/2024
O		58,748		UF	02/01/2030
P		134,228		UF	01/15/2028
Q		106,933		UF	06/01/2030

Effectiveness

The Company uses CCS, Forwards and IRSW to hedge the potential financial risk associated with exchange rate and interest rate volatility. The objective is to hedge the exchange rate and inflation financial risks associated with bond obligations, exchange rate financial risks associated with investments in Chilean pesos, exchange rate financial risk associated with projects under construction in Australian dollars and interest rate financial risk associated with bank loans. Hedges are documented and qualitatively assessed to demonstrate their effectiveness based on a comparison of their critical terms.

The hedges used by the Company as of the reporting date are highly effective given that the amounts, currencies, exchange dates and rates of the hedged item and the hedge are aligned, maintaining a close economic relationship.

13.4 Financial liabilities

Other current and non-current financial liabilities

As of June 30, 2023 and December 31, 2022, the detail is as follows:

	As of June 30, 2023						As of December 31, 2022
Other current and non-current financial liabilities	Currents		Non-Current		Total		Currents		Non-Current		Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Liabilities at amortized cost
Bank borrowings		825,931		294,965		1,120,896		130,840		197,522		328,362
Unsecured obligations		42,681		2,209,226		2,251,907		343,589		2,176,994		2,520,513
Derivative financial instruments
For hedging		10,646		4,477		15,123		42,754		19,772		62,526
Non-Hedging		1,798		-		1,798		5,816		-		5,816
Total		881,056		2,508,668		3,389,724		522,999		2,394,218		2,917,217

79

Notes to the Consolidated Interim Financial Statements June 30, 2023

a) Bank borrowings, current:

As of June 30, 2023, the detail of this caption is as follows:

Debtor			Creditor			Currency or	Payment
Tax ID No.	Company	Country	Tax ID No.	Financial institution	Country	adjustment index	of interest	Repayment	Effective rate		Nominal rate
93.007.000-9	SQM S.A.	Chile	O-E	Bank of Nova Scotia	United States of America	Dollar	Upon maturity	12-20-2023	5.75	%	6.68	%
93.007.000-9	SQM S.A.	Chile	O-E	Banco Santander/Kexim	Spain/Korea	Dollar	Upon maturity	12-21-2023	5.71	%	6.42	%
93.007.000-9	SQM S.A.	Chile	97.036.000-K	Banco Santander	Chile	Dollar	Upon maturity	05-17-2024	5.95	%	5.95	%
93.007.000-9	SQM S.A.	Chile	97.018.000-1	Scotiabank Chile	Chile	Dollar	Upon maturity	05-30-2024	6.19	%	6.19	%
93.007.000-9	SQM S.A.	Chile	97.030.000-7	Banco Estado	Chile	Dollar	Upon maturity	02-20-2024	6.18	%	6.18	%
93.007.000-9	SQM S.A.	Chile	97.030.000-7	Banco Estado	Chile	Dollar	Upon maturity	06-10-2024	6.19	%	6.19	%
93.007.000-9	SQM S.A.	Chile	97.006.000-6	BCI	Chile	Dollar	Upon maturity	04-18-2024	6.01	%	6.01	%
93.007.000-9	SQM S.A.	Chile	97.006.000-6	BCI	Chile	Dollar	Upon maturity	10-23-2023	5.84	%	5.84	%
93.007.000-9	SQM S.A.	Chile	97.006.000-6	BCI	Chile	Dollar	Upon maturity	05-24-2024	6.17	%	6.17	%
79.947.100-0	SQM Industrial S.A.	Chile	97.004.000-5	Banco de Chile	Chile	Dollar	Upon maturity	05-16-2024	5.85	%	5.85	%
79.626.800-K	SQM Salar S.A.	Chile	97.018.000-1	Scotiabank Chile	Chile	Dollar	Upon maturity	05-17-2024	6.07	%	6.07	%
79.626.800-K	SQM Salar S.A.	Chile	97.018.000-1	Scotiabank Chile	Chile	Dollar	Upon maturity	05-30-2024	6.19	%	6.19	%
79.626.800-K	SQM Salar S.A.	Chile	97.030.000-7	Banco Estado	Chile	Dollar	Upon maturity	07-24-2023	5.92	%	5.92	%
79.626.800-K	SQM Salar S.A.	Chile	97.030.000-7	Banco Estado	Chile	Dollar	Upon maturity	06-10-2024	6.19	%	6.19	%
79.626.800-K	SQM Salar S.A.	Chile	97.004.000-5	Banco de Chile	Chile	Dollar	Upon maturity	05-16-2024	5.85	%	5.85	%
79.626.800-K	SQM Salar S.A.	Chile	97.004.000-5	Banco de Chile	Chile	Dollar	Upon maturity	06-21-2024	6.25	%	6.25	%

80

Notes to the Consolidated Interim Financial Statements June 30, 2023

Debtor	Creditor	Nominal amounts as of June 30, 2023						Current amounts as of June 30, 2023
Company	Financial institution	Up to 90 days		90 days to 1 year		Total		Up to 90 days		90 days to 1 year		Subtotal		Borrowing costs		Total
		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
SQM S.A.	Scotiabank Cayman		-		-		-		-		-		-		-		-
SQM S.A.	Bank of Nova Scotia		-		-		-		-		371		371		-		371
SQM S.A.	Banco Santander		-		120,000		120,000		-		120,734		120,734		-		120,734
SQM S.A.	Banco Santander/Kexim		-		-		-		-		160		160		-		160
SQM S.A.	Scotiabank Chile		-		25,000		25,000		-		25,107		25,107		-		25,107
SQM S.A.	Banco Estado		-		15,000		15,000		-		15,095		15,095		-		15,095
SQM S.A.	Banco Estado		-		20,000		20,000		-		20,062		20,062		-		20,062
SQM S.A.	BCI		-		100,000		100,000		-		101,102		101,102		-		101,102
SQM S.A.	BCI		-		100,000		100,000		-		101,071		101,071		-		101,071
SQM S.A.	BCI		-		50,000		50,000		-		50,249		50,249		-		50,249
SQM Industrial S.A.	Banco de Chile		-		30,000		30,000		-		30,180		30,180		-		30,180
SQM Salar S.A.	Scotiabank Chile		-		50,000		50,000		-		50,312		50,312		-		50,312
SQM Salar S.A.	Scotiabank Chile		-		50,000		50,000		-		50,215		50,215		-		50,215
SQM Salar S.A.	Banco Estado		70,000		-		70,000		70,760		-		70,760		-		70,760
SQM Salar S.A.	Banco Estado		-		80,000		80,000		-		80,248		80,248		-		80,248
SQM Salar S.A.	Banco de Chile		-		40,000		40,000		-		40,241		40,241		-		40,241
SQM Salar S.A.	Banco de Chile		-		70,000		70,000		-		70,024		70,024		-		70,024
Total			70,000		750,000		820,000		70,760		755,171		825,931		-		825,931

81

Notes to the Consolidated Interim Financial Statements June 30, 2023

As of December 31, 2022

Debtor

Creditor

Currency or

Payment

Tax ID No.

Company

Country

Tax ID No.

Financial institution

Country

adjustment index

of interest

Repayment

Effective rate

Nominal rate

93.007.000-9

SQM S.A.

Chile

O-E

Scotiabank Cayman

United States of America

Dollar

Upon maturity

05-30-2023

0.97

%

5.22

%

93.007.000-9

SQM S.A.

Chile

97.023.000-9

Itaú

Chile

Dollar

Upon maturity

01-05-2023

4.50

%

4.50

%

93.007.000-9

SQM S.A.

Chile

97.030.000-7

Banco Estado

Chile

Dollar

Upon maturity

01-05-2023

4.59

%

4.59

%

Debtor	Creditor	Nominal amounts as of December 31, 2022						Current amounts as of December 31, 2022
Company	Financial institution	Up to 90 days		90 days to 1 year		Total		Up to 90 days		90 days to 1 year		Subtotal		Borrowing costs			Total
		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
SQM S.A.	Scotiabank Cayman		-		70,000		70,000		-		70,393		70,393		(149	)		70,244
SQM S.A.	Itaú		20,000		-		20,000		20,062		-		20,062		-			20,062
SQM S.A.	Banco Estado		40,000		-		40,000		40,128		-		40,128		-			40,128
SQM S.A.	Scotiabank		-		-		-		406		-		406		-			406
Total			60,000		70,000		130,000		60,596		70,393		130,989		(149	)		130,840

b) Unsecured obligations, current:

As of June 30, 2023, the detail of current unsecured interest-bearing obligations is composed of promissory notes and bonds, as follows:

Debtor								Periodicity
Tax ID No.	Company	Country	Number of registration or ID of the instrument		Series	Maturity date	Currency or adjustment index	Payment of interest	Repayment	Effective rate			Nominal rate
93.007.000-9	SQM S.A.	Chile		-	ThUS$250	07/28/2023	US$	Semiannual	Upon maturity		1.00	%		4.38	%
93.007.000-9	SQM S.A.	Chile		-	ThUS$450	11/07/2023	US$	Semiannual	Upon maturity		2.60	%		4.25	%
93.007.000-9	SQM S.A.	Chile		-	ThUS$400	07/22/2023	US$	Semiannual	Upon maturity		3.72	%		4.25	%
93.007.000-9	SQM S.A.	Chile		-	ThUS$700	09/10/2023	US$	Semiannual	Upon maturity		3.38	%		3.50	%
93.007.000-9	SQM S.A.	Chile		564	H	07/05/2023	UF	Semiannual	Semiannual		1.61	%		4.90	%
93.007.000-9	SQM S.A.	Chile		699	O	08/01/2023	UF	Semiannual	Upon maturity		1.76	%		3.80	%
93.007.000-9	SQM S.A.	Chile		563	P	07/15/2023	UF	Semiannual	Upon maturity		1.56	%		3.25	%
93.007.000-9	SQM S.A.	Chile		700	Q	12/01/2023	UF	Semiannual	Upon maturity		2.50	%		3.45	%

Effective rates of bonds in Pesos and UF are expressed and calculated in Dollars based on the flows agreed in Cross Currency Swap Agreements.

82

Notes to the Consolidated Interim Financial Statements June 30, 2023

			Nominal amounts as of June 30, 2023						Carrying amounts of maturities as of June 30, 2023
Company	Country	Series	Up to 90 days		90 days to 1 year		Total		Up to 90 days		90 days to 1 year		Subtotal		Borrowing costs			Total
			ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
SQM S.A.	Chile	ThUS$250		4,618		-		4,618		4,618		-		4,618		(433	)		4,185
SQM S.A.	Chile	ThUS$450		-		2,816		2,816		-		2,816		2,816		(677	)		2,139
SQM S.A.	Chile	ThUS$400		7,461		-		7,461		7,461		-		7,461		(235	)		7,226
SQM S.A.	Chile	ThUS$700		7,486		-		7,486		7,486		-		7,486		(555	)		6,931
SQM S.A.	Chile	H		19,067		-		19,067		19,067		-		19,067		(172	)		18,895
SQM S.A.	Chile	O		1,052		-		1,052		1,052		-		1,052		(82	)		970
SQM S.A.	Chile	P		1,996		-		1,996		1,996		-		1,996		(12	)		1,984
SQM S.A.	Chile	Q		-		372		372		-		372		372		(21	)		351
Total				41,680		3,188		44,868		41,680		3,188		44,868		(2,187	)		42,681

As of December 31, 2022

Debtor								Periodicity
Tax ID No.	Company	Country	Number of registration or ID of the instrument		Series	Maturity date	Currency or adjustment index	Payment of interest	Repayment	Effective rate			Nominal rate
93.007.000-9	SQM S.A.	Chile		-	ThUS$250	01/28/2023	US$	Semiannual	Upon maturity		1.17	%		4.38	%
93.007.000-9	SQM S.A.	Chile		-	ThUS$300	04/03/2023	US$	Semiannual	Upon maturity		0.56	%		3.63	%
93.007.000-9	SQM S.A.	Chile		-	ThUS$450	05/07/2023	US$	Semiannual	Upon maturity		3.01	%		4.25	%
93.007.000-9	SQM S.A.	Chile		-	ThUS$400	01/22/2023	US$	Semiannual	Upon maturity		3.79	%		4.25	%
93.007.000-9	SQM S.A.	Chile		-	ThUS$700	03/10/2023	US$	Semiannual	Upon maturity		3.44	%		3.50	%
93.007.000-9	SQM S.A.	Chile		564	H	01/05/2023	UF	Semiannual	Semiannual		1.23	%		4.90	%
93.007.000-9	SQM S.A.	Chile		699	O	02/01/2023	UF	Semiannual	Upon maturity		1.89	%		3.80	%
93.007.000-9	SQM S.A.	Chile		563	P	01/15/2023	UF	Semiannual	Upon maturity		1.72	%		3.25	%
93.007.000-9	SQM S.A.	Chile		700	Q	06/01/2023	UF	Semiannual	Upon maturity		2.63	%		3.45	%

Effective rates of bonds in Pesos and UF are expressed and calculated in Dollars based on the flows agreed in Cross Currency Swap Agreements.

83

Notes to the Consolidated Interim Financial Statements June 30, 2023

			Nominal amounts as of December 31, 2022						Carrying amounts of maturities as of December 31, 2022
Company	Country	Series	Up to 90 days		90 days to 1 year		Total		Up to 90 days		90 days to 1 year		Subtotal		Borrowing costs			Total
			ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
SQM S.A.	Chile	ThUS$250		4,648		-		4,648		4,648		-		4,648		(433	)		4,215
SQM S.A.	Chile	ThUS$300		-		302,658		302,658		-		302,658		302,658		(170	)		302,488
SQM S.A.	Chile	ThUS$450		-		2,869		2,869		-		2,869		2,869		(679	)		2,190
SQM S.A.	Chile	ThUS$400		7,508		-		7,508		7,508		-		7,508		(237	)		7,271
SQM S.A.	Chile	ThUS$700		-		7,554		7,554		-		7,554		7,554		(555	)		6,999
SQM S.A.	Chile	H		17,566		-		17,566		17,566		-		17,566		(172	)		17,394
SQM S.A.	Chile	O		965		-		965		965		-		965		(82	)		883
SQM S.A.	Chile	P		1,830		-		1,830		1,830		-		1,830		(12	)		1,818
SQM S.A.	Chile	Q		-		351		351		-		351		351		(20	)		331
Total				32,517		313,432		345,949		32,517		313,432		345,949		(2,360	)		343,589

84

Notes to the Consolidated Interim Financial Statements June 30, 2023

c) Classes of bank borrowings, non-current

The following table shows the details of bank borrowings as of June 30, 2023:

Debtor

Creditor

Tax ID No.

Company

Country

Tax ID No.

Financial institution

Country

Currency or adjustment index

Type of amortization

Effective rate

Nominal rate

93.007.000-9

SQM S.A.

Chile

O-E

Bank of Nova Scotia

Canada

USD

Upon maturity

5.98

%

6.68

%

93.007.000-9

SQM S.A.

Chile

O-E

Banco Santander/Kexim

Spain/Korea

USD

Upon maturity

4.58

%

6.42

%

Debtor	Creditor	Nominal non-current maturities as of June 30, 2023								Carrying amounts of maturities as of June 30, 2023
Company	Financial institution	Between 1 and 2		Between 2 and 3		Between 3 and 4		Total		Between 1 and 2		Between 2 and 3		Between 3 and 4		Subtotal		Costs of obtaining loans			Total
		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
SQM S.A.	Bank of Nova Scotia		-		200,000		-		200,000		-		200,000		-		200,000		(2,067	)		197,933
SQM S.A.	Banco Santander/Kexim		-		-		100,000		100,000		-		-		100,000		100,000		(2,968	)		97,032
Total			-		200,000		100,000		300,000		-		200,000		100,000		300,000		(5,035	)		294,965

As of December 31, 2022

Debtor

Creditor

Tax ID No.

Company

Country

Tax ID No.

Financial institution

Country

Currency or adjustment index

Type of amortization

Effective rate

Nominal rate

93.007.000-9

SQM S.A.

Chile

O-E

Scotiabank Cayman

United States of America

USD

Upon maturity

2.33

%

3.19

%

93.007.000-9

SQM S.A.

Chile

O-E

Scotiabank

Canada

USD

Upon maturity

5.10

%

6.08

%

Debtor	Creditor	Nominal non-current maturities as of December 31, 2022								Carrying amounts of maturities as of December 31, 2022
Company	Financial institution	Between 1 and 2		Between 2 and 3		Between 3 and 4		Total		Between 1 and 2		Between 2 and 3		Between 3 and 4		Subtotal		Costs of obtaining loans			Total
		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
SQM S.A.	Scotiabank Cayman		-		-		-		-		-		-		-		-		-			-
SQM S.A.	Scotiabank		-		200,000		-		200,000		-		200,000		-		200,000		(2,478	)		197,522
Total			-		200,000		-		200,000		-		200,000		-		200,000		(2,478	)		197,522

85

Notes to the Consolidated Interim Financial Statements June 30, 2023

d) Unsecured obligations, non-current

The following table shows the details of “unsecured debentures that accrue non-current interest” as of June 30, 2023:

Debtor							Periodicity
Tax ID No.	Company	Country	Number of registration or ID of the instrument	Series	Maturity date	Currency or adjustment index	Payment of interest	Repayment	Effective rate			Nominal rate
93.007.000-9	SQM S.A.	Chile	-	ThUS$250	01/28/2025	US$	Semiannual	Upon maturity		4.24	%		4.38	%
93.007.000-9	SQM S.A.	Chile	-	ThUS$450	05/07/2029	US$	Semiannual	Upon maturity		4.14	%		4.25	%
93.007.000-9	SQM S.A.	Chile	-	ThUS$400	01/22/2050	US$	Semiannual	Upon maturity		4.23	%		4.25	%
93.007.000-9	SQM S.A.	Chile	-	ThUS$700	09/10/2051	US$	Semiannual	Upon maturity		3.45	%		3.50	%
93.007.000-9	SQM S.A.	Chile	564	H	01/05/2030	UF	Semiannual	Semiannual		4.76	%		4.90	%
93.007.000-9	SQM S.A.	Chile	699	O	02/01/2033	UF	Semiannual	Upon maturity		3.69	%		3.80	%
93.007.000-9	SQM S.A.	Chile	563	P	01/15/2028	UF	Semiannual	Upon maturity		3.24	%		3.25	%
93.007.000-9	SQM S.A.	Chile	700	Q	06/01/2038	UF	Semiannual	Upon maturity		3.54	%		3.45	%

	Nominal non-current maturities as of June 30, 2023												Carrying amounts of maturities as of June 30, 2023
Series	Over 1 year to 2		Over 2 years to 3		Over 3 Years to 4		Over 4 Years to 5		Over 5 years		Total		Over 1 year to 2		Over 2 years to 3		Over 3 Years to 4		Over 4 Years to 5		Over 5 years		Subtotal		Bond issuance costs			Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
ThUS$250		250,000		-		-		-		-		250,000		250,000		-		-		-		-		250,000		(253	)		249,747
ThUS$450		-		-		-		-		450,000		450,000		-		-		-		-		450,000		450,000		(3,329	)		446,671
ThUS$400		-		-		-		-		400,000		400,000		-		-		-		-		400,000		400,000		(5,996	)		394,004
ThUS$700		-		-		-		-		700,000		700,000		-		-		-		-		700,000		700,000		(15,064	)		684,936
H		-		-		-		-		98,222		98,222		-		-		-		-		98,222		98,222		(948	)		97,274
O		-		-		-		-		67,528		67,528		-		-		-		-		67,528		67,528		(700	)		66,828
P		-		-		-		-		135,055		135,055		-		-		-		-		135,055		135,055		(46	)		135,009
Q		-		-		-		-		135,055		135,055		-		-		-		-		135,055		135,055		(298	)		134,757
Total		250,000		-		-		-		1,985,860		2,235,860		250,000		-		-		-		1,985,860		2,235,860		(26,634	)		2,209,226

86

Notes to the Consolidated Interim Financial Statements June 30, 2023

As of December 31, 2022

Debtor								Periodicity
Tax ID No.	Company	Country	Number of registration or ID of the instrument		Series	Maturity date	Currency or adjustment index	Payment of interest	Repayment	Effective rate			Nominal rate
93.007.000-9	SQM S.A.	Chile		-	ThUS$250	01/28/2025	US$	Semiannual	Upon maturity		4.08	%		4.38	%
93.007.000-9	SQM S.A.	Chile		-	ThUS$450	05/07/2029	US$	Semiannual	Upon maturity		4.10	%		4.25	%
93.007.000-9	SQM S.A.	Chile		-	ThUS$400	01/22/2050	US$	Semiannual	Upon maturity		4.19	%		4.25	%
93.007.000-9	SQM S.A.	Chile		-	ThUS$700	09/10/2051	US$	Semiannual	Upon maturity		3.42	%		3.50	%
93.007.000-9	SQM S.A.	Chile		564	H	01/05/2030	UF	Semiannual	Semiannual		4.76	%		4.90	%
93.007.000-9	SQM S.A.	Chile		699	O	02/01/2033	UF	Semiannual	Upon maturity		3.69	%		3.80	%
93.007.000-9	SQM S.A.	Chile		563	P	01/15/2028	UF	Semiannual	Upon maturity		3.24	%		3.25	%
93.007.000-9	SQM S.A.	Chile		700	Q	06/01/2038	UF	Semiannual	Upon maturity		3.43	%		3.45	%

	Nominal non-current maturities as of December 31, 2022												Carrying amounts of maturities as of December 31, 2022
Series	Over 1 year to 2		Over 2 years to 3		Over 3 Years to 4		Over 4 Years to 5		Over 5 years		Total		Over 1 year to 2		Over 2 years to 3		Over 3 Years to 4		Over 4 Years to 5		Over 5 years		Subtotal		Bond issuance costs			Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$			ThUS$
ThUS$250		-		-		250,000		-		-		250,000		-		-		250,000		-		-		250,000		(469	)		249,531
ThUS$450		-		-		-		-		450,000		450,000		-		-		-		-		450,000		450,000		(3,666	)		446,334
ThUS$400		-		-		-		-		400,000		400,000		-		-		-		-		400,000		400,000		(6,112	)		393,888
ThUS$700		-		-		-		-		700,000		700,000		-		-		-		-		700,000		700,000		(15,341	)		684,659
H		-		-		-		-		96,967		96,967		-		-		-		-		96,967		96,967		(1,034	)		95,933
O		-		-		-		-		61,536		61,536		-		-		-		-		61,536		61,536		(741	)		60,795
P		-		-		-		-		123,072		123,072		-		-		-		-		123,072		123,072		(52	)		123,020
Q		-		-		-		-		123,073		123,073		-		-		-		-		123,073		123,073		(309	)		122,764
Total		-		-		250,000		-		1,954,648		2,204,648		-		-		250,000		-		1,954,648		2,204,648		(27,724	)		2,176,924

87

Notes to the Consolidated Interim Financial Statements June 30, 2023

e) Additional information

Bonds

The details of each issuance are as follows:

(i) Series “H” bonds

On January 5, 2009, the Company placed the Series H bond for UF 4,000,000 equivalent to ThUS$ 139,216 at an annual interest rate of 4.9%, with a term of 21 years and amortizations of principal beginning in July, 2019.

During 2021, amortization of principal amounted to UF 363,636.36, equivalent to ThUS$ 14,870 with an associated cross currency swap hedge loss of ThUS$ 760.For more details on restrictions. See Note 20.1.

During 2022, amortization of principal amounted to UF 363,636.36, equivalent to ThUS$ 13,117 with an associated cross currency swap hedge loss of ThUS$ 993.

During 2023, amortization of principal amounted to UF 181,818.18, equivalent to ThUS$ 7,478 with an associated cross currency swap hedge gain of Th US$442.

As of June 30, 2023, and 2022, the Company has made the following payments with a charge to the Series H bonds and their associated CCS hedging:

Payments made	As of  June 30,  2023		As of  June 30,   2022
	ThUS$		ThUS$
Payments of interest, Series H bonds		2,715		2,724
CCS Coverage		660		1,101

(ii) Series “O” bonds

On February 14, 2012, the Company issued “Series O” for UF 1,500,000 (ThUS$ 69,901) at a term of 21 years with a single payment at the maturity of the term and an annual interest rate of 3.80%. See more details with respect a restriction in Note 20.1.

As of June 30, 2023, and 2022, the Company has made the following payments with a charge to Series O bonds and their associated CCS hedging:

Payments made	As of   June 30,   2023		As of  June 30,  2022
	ThUS$		ThUS$
Payment of interest, Series O bonds		1,239		1,097
CCS Coverage		136		246

88

Notes to the Consolidated Interim Financial Statements June 30, 2023

(iii) Single series bonds, third issue ThUS $ 300

On April 3, 2013, the Company issued a non-secured bond in the United States with a value of US$ 300 million. pursuant to Rule 144-A and Regulation S of the SEC. The bond is for a 10-year term with an annual coupon rate of 3.625%.

As of June 30, 2023, and 2022, no payments have been made.

Payments made	As of  June 30,  2023		As of  June 30,  2022
	ThUS$		ThUS$
Payment of interest		5,438		5,438

(iv) Single series bonds, fourth issuance ThUS $250

On October 23, 2014, the Company issued unsecured bonds amounting ThUS$ 250,000 in international markets, pursuant to Rule 144-A and Regulation S of the Securities and Exchange Commission. These bonds mature in 2025 and have annual interest rate of 4.375%.

As of June 30, 2023, and 2022, the following payments have been made:

Payments made	As of  June 30,  2023		As of  June 30,  2022
	ThUS$		ThUS$
Payment of interest		5,469		5,469

(v) Series “P” bonds

The Company on January 15, 2018 issued the placement on the stock market of the Series “P” bond (the “Bonds” Series P) with a value of UF 3,000,000, with a charge to the 10 years Bonds Line registered in the CMF Securities Registry under number 563.

The bonds Series P (i) mature on January 15, 2028; (ii) will accrue on the unpaid principal, expressed in UF, at an annual interest rate of 3.25% from January 15, 2018; and (iii) can be early redeemed by the Company starting from the date of placement, that was, as of April 5, 2018.

As of June 30, 2023, and 2022, the following payments and their associated CCS have been made:

Payments made	As of  June 30,  2023		As of  June 30,  2022
	ThUS$		ThUS$
Payment of interest series P		2,067		1,843
CCS Coverage		1,439		1,663

89

Notes to the Consolidated Interim Financial Statements June 30, 2023

(vi) Series Q bonds

On June 1, 2018, the issuance of Series Q bonds was authorized in the general stock market for the amount of UF 3,000,000, which were registered in the Securities Registry of your Commission on February 14, 2019 under number 700.

The bonds Series Q (i) mature on the first day of June 2038; (ii) will earn an interest rate of 3.45% per annum on the outstanding capital, expressed in UF, from June 1, 2018 thereon; and (iii) may be early redeemed by the Company starting from the placement date, that was, as of November 8, 2018.

On November 8, 2018, all the Series Q Bonds have been placed and sold to Euroamerica S.A. for a total amount of $ 83,567,623,842, which was paid in full and in cash by Euroamerica S.A. to the Company.

As of June 30, 2023, and 2022, no payments have been made.

Payments made	As of  June 30,  2023		As of  June 30, 2022
	ThUS$		ThUS$
Payment of interest		2,278		2,035
Cobertura CCS		668		911

(vii) Single series fifth issue bonds ThUS$ 450

On May 2, 2019, the CMF was informed that the Company issued and placed unsecured bonds for ThUS$ 450,000 pursuant to Rule 144-A and Regulation S of the Securities and Exchange Commission on international markets. These bonds will mature in 2029 and carry an interest rate of 4.25% per annum.

As of June 30, 2023, and 2022, no payments have been made:

Payments made	As of  June 30,  2023		As of  June 30,  2022
	ThUS$		ThUS$
Payment of interest		9,563		9,563

(viii) Single series sixth issue bonds ThUS $ 400

On January 16, 2020, the Company has placed unsecured bonds in international markets for US$ 400 million, pursuant to Rule 144-A and Regulation S of the Securities and Exchange Commission, at an annual interest rate of 4.250% and a maturity in the year 2050.

As of June 30, 2023, and 2022, the following payments have been made:

Payments made	As of  June 30,  2023		As of  June 30,  2022
	ThUS$		ThUS$
Payment of interest		8,500		8,500

90

Notes to the Consolidated Interim Financial Statements June 30, 2023

(ix) Single series seventh issue bonds ThUS $ 700

On September 13, 2021, the Company has placed unsecured bonds in international markets for US$ 700 million, pursuant to Rule 144-A and Regulation S of the Securities and Exchange Commission, at an annual interest rate of 3.50% and a maturity in the year 2051.

As of June 30, 2023, and 2022, the following payments have been made:

Payments made	As of  June 30,  2023		As of  June 30,  2022
	ThUS$		ThUS$
Payment of interest		12,250		11,569

91

Notes to the Consolidated Interim Financial Statements
June 30, 2023

13.5 Trade and other payables

a) Details trade and other payables

	As of June 30, 2023						As of December 31, 2022
Details trade and other payables	Current		Non-current		Current		Current		Non-current		Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Accounts payable		311,044		-		311,044		358,711		-		358,711
Other accounts payable		227,324		-		227,324		1,438		-		1,438
Prepayments from customers		6,918		-		6,918		14,640		-		14,640
Total		545,286		-		545,286		374,789		-		374,789

As of June 30, 2023, and December 31, 2022, the balance of current and past due accounts payable is made up as follows:

Suppliers current on all payments

	Amounts according to payment periods as of June 30, 2023
											366 and
	Up to 30		31 - 60		61 - 90		91 - 120		121 - 365		more
Type of Supplier	Days		days		Days		days		days		days		Total
													ThUS$
Goods		202,723		1,774		810		10		-		-		205,317
Services		84,966		941		57		16		149		-		86,129
Others		24,098		50		-		-		-		-		24,148
Total		311,787		2,765		867		26		149		-		315,594

	Amounts according to payment periods as of December 31, 2022
											366 and
	Up to 30		31 - 60		61 - 90		91 - 120		121 - 365		more
Type of Supplier	Days		days		Days		days		days		days		Total
													ThUS$
Goods		239,108		786		877		339		-		-		241,110
Services		91,499		1,270		73		-		65		-		92,907
Others		34,325		-		-		-		-		-		34,325
Total		364,932		2,056		950		339		65		-		368,342

 92

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Suppliers past due on payments

	Amounts according to payment periods as of June 30, 2023
											366 and
	Up to 30		31 - 60		61 - 90		91 - 120		121 - 365		more
Type of Supplier	Days		days		Days		days		days		days		Total
													ThUS$
Goods		230		41		212		15		11		-		509
Services		1,595		92		10		7		108		-		1,812
Others		10		11		-		-		26		-		47
Total		1,835		144		222		22		145		-		2,368

	Amounts according to payment periods as of December 31, 2022
											366 and
	Up to 30		31 - 60		61 - 90		91 - 120		121 - 365		more
Type of Supplier	Days		days		Days		days		Days		days		Total
													ThUS$
Goods		1,294		135		64		24		1,363		-		2,880
Services		1,548		174		20		1		196		-		1,939
Others		136		27		-		-		27		-		190
Total		2,978		336		84		25		1,586		-		5,009

Purchase commitments held by the Company are recognized as liabilities when the goods and services are received by the Company. As of June 30, 2023, the Company has purchase orders amounting to ThUS$ 237,050 and ThUS$ 191,319 as of December 31, 2022.

 93

Notes to the Consolidated Interim Financial Statements
June 30, 2023

13.6 Financial asset and liability categories

a) Financial Assets

	As of June 30, 2023						As of December 31, 2022
Description of financial assets	Current		Non-current		Total		Current		Non-current		Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Cash and cash equivalent		2,062,770		-		2,062,770		2,655,236		-		2,655,236
Trade receivables due from related parties at amortized cost		62,937		-		62,937		81,622		-		81,622
Financial assets measured at amortized cost		562,614		23		562,637		950,167		23		950,190
Trade and other receivables		984,718		2,383		987,101		1,087,420		2,091		1,089,511
Total financial assets measured at amortized cost		3,673,039		2,406		3,675,445		4,774,445		2,114		4,776,559
Financial instruments for hedging purposes		16,230		-		16,230		7,014		-		7,014
Financial instruments held for trading		11,886		-		11,886		4,174		-		4,174
Financial assets classified as available for sale at fair value through equity		-		9,229		9,229		-		9,497		9,497
Total financial assets at fair value		28,116		9,229		37,345		11,188		9,497		20,685
Total financial assets		3,701,155		11,635		3,712,790		4,785,633		11,611		4,797,244

 94

Notes to the Consolidated Interim Financial Statements
June 30, 2023

b) Financial Liabilities

	As of June 30, 2023						As of December 31, 2022
Description of financial liabilities	Current		Non-current		Total		Current		Non-current		Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
For hedging purposes through equity		10,646		4,477		15,123		42,754		19,772		62,526
Held for trading at fair value through profit or loss		1,798		-		1,798		5,816		-		5,816
Financial liabilities at fair value		12,444		4,477		16,921		48,570		19,772		68,342
Bank loans		825,931		294,965		1,120,896		130,840		197,522		328,362
Unsecured obligations		42,681		2,209,226		2,251,907		343,589		2,176,924		2,520,513
Lease Liabilities		14,371		49,816		64,187		12,149		49,585		61,734
Trade and other payables		545,286		-		545,286		374,789		-		374,789
Total financial liabilities at amortized cost		1,428,269		2,554,007		3,982,276		861,367		2,424,031		3,285,398
Total financial liabilities		1,440,713		2,558,484		3,999,197		909,937		2,443,803		3,353,740

 95

Notes to the Consolidated Interim Financial Statements
June 30, 2023

13.7 Fair value measurement of finance assets and liabilities

The fair value hierarchy is detailed as follows:

(a) Level 1: The fair value of financial instruments traded in active markets (such as publicly traded derivatives, and equity securities) is based on quoted market prices at the end of the reporting period. The quoted market price used for financial assets held by the Company is the current bid price. These instruments are included in level 1.

(b) Level 2: The fair value of financial instruments that are not traded in an active market (for example, over-the-counter derivatives) is determined using valuation techniques which maximize the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2.

(c) Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for unlisted equity securities.

 96

Notes to the Consolidated Interim Financial Statements
June 30, 2023

	As of June 30, 2023			Fair value hierarchy
Fair value measurement of assets and liabilities	Carrying Amount at Amortized Cost	Fair value (disclosure purposes)	Fair Amount registered	Level 1	Level 2	Level 3
	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$
Financial Assets
Cash and cash equivalents	2,062,770	2,062,770	-	2,062,770	-	-
Other current financial assets
- Time deposits	562,614	562,614	-	-	562,614	-
- Derivative financial instruments
- Forwards	11,795	-	11,795	-	11,795	-
- Options	91	-	91	-	91	-
- Hedging assets	1,119	-	1,119	-	1,119	-
- Swaps	15,111	-	15,111	-	15,111	-
Non-current accounts receivable	2,383	2,383	-	-	-	-
Other non-current financial assets:
- Other	223	223	-	-	223	-
- Equity instruments	-	-	9,029	9,029	-	-
- Hedging assets – Swaps	-	-	47,119	47,119	-	-
Other current financial liabilities
- Bank borrowings	825,931	825,931	-	-	825,931	-
- Derivative instruments	-	-	-	-	-	-
- Forwards	-	-	1,511	-	1,511	-
- Options	-	-	287	-	287	-
- Hedging liabilities – Swaps	-	-	3,986	-	3,986	-
- Swaps hedges, investments	-	-	6,660	-	6,660	-
- Unsecured obligations	42,681	42,681	-	-	42,681	-
Other non-current financial liabilities
- Bank borrowings	294,965	294,965	-	-	294,965	-
- Unsecured obligations	2,209,226	2,209,226	-	-	2,209,226	-
- Non-current hedging liabilities	-	-	4,477	-	4,477	-

 97

Notes to the Consolidated Interim Financial Statements
June 30, 2023

	As of December 31, 2022			Fair value hierarchy
Fair value measurement of assets and liabilities	Carrying Amount at Amortized Cost	Fair value (disclosure purposes)	Fair Amount registered	Level 1	Level 2	Level 3
	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$
Financial Assets
Cash and cash equivalents	2,655,236	2,655,236	-	2,655,236	-	-
Other current financial assets
- Time deposits	950,167	950,167	-	-	950,167	-
- Derivative financial instruments
- Forwards	-	-	3,704	-	3,704	-
- Options	-	-	470	-	470	-
- Hedging assets	-	-	7,014	-	7,014	-
- Swaps	-	-	-	-	-	-
Non-current accounts receivable	2,091	2,091	-	-	-	-
Other non-current financial assets:
- Other	23	23	-	-	23	-
- Equity instruments	-	-	9,497	9,497	-	-
- Hedging assets – Swaps	-	-	22,606	22,606	-	-
Other current financial liabilities
- Bank borrowings	130,840	130,840	-	-	130,840	-
- Derivative instruments	-	-	-	-	-	-
- Forwards	-	-	4,848	-	4,848	-
- Options	-	-	968	-	968	-
- Hedging liabilities – Swaps	-	-	42,754	-	42,754	-
- Swaps hedges, investments	-	-	-	-	-	-
- Unsecured obligations	343,589	343,589	-	-	343,589	-
Other non-current financial liabilities
- Bank borrowings	197,522	196,598	-	-	196,598	-
- Unsecured obligations	2,176,924	2,476,924	-	-	2,476,924	-
- Non-current hedging liabilities	-	-	19,772	-	19,772	-

 98

Notes to the Consolidated Interim Financial Statements
June 30, 2023

13.8 Reconciliation of net debt and lease liabilities.

This section presents an analysis of net debt plus lease liabilities and their movements for each of the reported periods. The table below presents net debt ass described in Note 20.1. plus current and non-current lease liabilities to complete its analysis.

Net debt	As of June 30, 2023			As of December 31, 2022
	ThUS$			ThUS$
Cash and cash equivalents		2,062,770			2,655,236
Other current financial assets		590,730			961,355
Other non-current financial hedge assets		47,119			22,606
Other current financial liabilities		(881,056	)		(522,999	)
Lease liabilities, current		(14,371	)		(12,149	)
Other non-current financial liabilities		(2,508,668	)		(2,394,218	)
Non-current Lease liabilities		(49,816	)		(49,585	)
Total		(753,292	)		660,246

				From cash flow									Not from cash flow
Cash and cash equivalents	As of December 31, 2022			Amounts from loans			Amounts from interests			Other cash income/expenses			Income statement			Equity and others			As of June 30, 2023
	ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$
Obligations with the public and bank loans		(2,848,875	)		(482,522	)		59,032			3,111			(103,549	)		-			(3,372,803	)
Current and non-current lease liabilities		(61,734	)		7,659			804			-			(10,916	)		-			(64,187	)
Financial instruments derived from hedging		(29,984	)		-			-			-			22,492			1,950			(5,542	)
Derivatives for investment hedges SQM Australia liability		-			-			-			1,503			-			(5,980	)		(4,477	)
Current and Non-Current Financial Liabilities		(2,940,593	)		(474,863	)		59,836			4,614			(91,973	)		(4,030	)		(3,447,009	)
Cash and cash equivalents		2,655,236			-			(8,595	)		(591,473	)		7,602			-			2,062,770
Debt Hedging Derivative Financial Instruments		(10,061	)		(422	)		1,202			-			36,704			29,303			56,726
Non-hedging Derivatives on Other Financial Assets		(1,643	)		-			-			(32,361	)		44,092			-			10,088
Deposits that do not qualify as cash and cash equivalents		950,168			-			(22,239	)		(379,350	)		14,035			-			562,614
Derivatives for investment hedges SQM Australia asset		7,139			-			-			1,259			-			(6,879	)		1,519
Total		660,246			(475,285	)		30,204			(997,311	)		10,460			18,394			(753,292	)

 99

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 14    Right-of-use assets and lease liabilities

14.1 Right-of-use assets

Reconciliation of changes in right-of-use assets as of June 30, 2023, net value	Land			Buildings			Other property, plant and equipment		Transport equipment			Machinery, plant and equipment			Total
	ThUS$			ThUS$			ThUS$		ThUS$			ThUS$			ThUS$
Opening Balance		18,320			17,839			-		1,805			22,903			60,867
Additions		-			6,174			-		-			5,608			11,782
Depreciation expenses		(6	)		(2,068	)		-		(492	)		(4,041	)		(6,607	)
Transfer to property, plant and equipment		(333	)		-			-		-			(442	)		(775	)
Other increases (decreases)		(228	)		(1,586	)		-		-			228			(1,586	)
Total changes		(567	)		2,520			-		(492	)		1,353			2,814
Closing balance		17,753			20,359			-		1,313			24,256			63,681

Reconciliation of changes in right-of-use assets as of December 31, 2022, net value	Land			Buildings			Other property, plant and equipment		Transport equipment			Machinery, plant and equipment			Total
	ThUS$			ThUS$			ThUS$		ThUS$			ThUS$			ThUS$
Opening Balance		17,353			20,951			-		2,578			11,726			52,608
Additions		1,599			736			-		186			16,675			19,196
Depreciation expenses		(12	)		(3,846	)		-		(965	)		(4,383	)		(9,206	)
Transfer to property, plant and equipment		(622	)		-					-			(1,114	)		(1,736	)
Other increases / decreases		2			(2	)		-		6			(1	)		5
Total changes		967			(3,112	)		-		(773	)		11,177			8,259
Closing balance		18,320			17,839			-		1,805			22,903			60,867

The Company’s lease activities included the following aspects:

(a) The nature of the Company’s lease activities is related to contracts focused primarily on business operations, mainly rights-of-use to equipment and real estate,

(b) The Company does not estimate any significant future cash outflows that would potentially expose the Company, and these are likewise not reflected in the measurement of lease liabilities, related to concepts such as: (i) Variable lease payments, (ii) Expansion options and termination options, (iii) Guaranteed residual value and (iv) Leases not yet undertaken but committed by the Company.

(c) These are not subject to restrictions or agreements imposed by contracts.

There were no sales transactions with leasebacks in the period.

 100

Notes to the Consolidated Interim Financial Statements
June 30, 2023

14.2 Lease liabilities

	As of June 30, 2023				As of December 31, 2022
Lease liabilities	Current		Non-Current		Current		Non-Current
	ThUS$		ThUS$		ThUS$		ThUS$
Lease liabilities		14,371		49,816		12,149		49,585
Total		14,371		49,816		12,149		49,585

i) Current and non-current lease liabilities

Debtor			Creditor			Contract
						indexation	Type of	Maturity	Effective
Tax ID No.	Company	Country	TAX ID No.	Supplier	Country	unit	amortization	date	rate
79.626.800-K	SQM Salar S.A.	Chile	83.776.000-3	Empresa Constructora Contex Ltda.	Chile	UF	Monthly	03-31-2025	5.39	%
79.626.800-K	SQM Salar S.A.	Chile	76.327.820-4	Maquinaria Astudillo y Hermanos Ltda.	Chile	UF	Monthly	01-08-2026	2.89	%
79.626.800-K	SQM Salar S.A.	Chile	76.005.787-8	Obras y Servicios para la Industria y Minería S.A.	Chile	Peso	Monthly	12-15-2026	2.61	%
79.626.800-K	SQM Salar S.A.	Chile	76.976.580-8	Sociedad Comercial Grandleasing Chile Ltda.	Chile	UF	Monthly	06-01-2026	0.00	%
79.626.800-K	SQM Salar S.A.	Chile	76.327.820-4	Maquinaria Astudillo y Hermanos Ltda.	Chile	Peso	Monthly	11-24-2025	2.89	%
79.626.800-K	SQM Salar S.A.	Chile	76.158.471-5	Sociedad Inmobiliaria Amaru SpA	Chile	UF	Monthly	07-11-2023	2.00	%
79.626.800-K	SQM Salar S.A.	Chile	76.327.820-4	Maquinaria Astudillo y Hermanos Ltda.	Chile	UF	Monthly	06-01-2026	3.26	%
79.626.800-K	SQM Salar S.A.	Chile	76.951.498-8	Inversiones y Gestión New Energy SpA	Chile	UF	Monthly	04-01-2024	0.00	%
79.626.800-K	SQM Salar S.A.	Chile	76.536.499-K	Jungheinrich Rentalift SpA	Chile	UF	Monthly	05-01-2028	2.90	%
79.626.800-K	SQM Salar S.A.	Chile	83.472.500-2	Tattersall Maquinarias S.A.	Chile	UF	Monthly	05-01-2028	2.90	%
79.626.800-K	SQM Salar S.A.	Chile	76.051.171-4	Sociedad Suministradora de Equipos y de Servicios	Chile	Peso	Monthly	01-19-2025	3.56	%
79.626.800-K	SQM Salar S.A.	Chile	76.954.619-7	Inmobiliaria Apoquindo S.A.	Chile	UF	Monthly	01-31-2026	1.47	%
79.947.100-0	SQM Industrial S.A.	Chile	96.856.400-5	El Trovador S.A.	Chile	UF	Monthly	02-08-2030	3.10	%
79.947.100-0	SQM Industrial S.A.	Chile	76.976.580-8	Sociedad Comercial Grandleasing Chile Ltda.	Chile	UF	Monthly	08-26-2024	2.72	%
79.947.100-0	SQM Industrial S.A.	Chile	76.536.499-K	Jungheinrich Réntale SpA	Chile	UF	Monthly	10-07-2024	3.49	%
79.947.100-0	SQM Industrial S.A.	Chile	76.175.835-7	ATCO Sabinco S.A.	Chile	UF	Monthly	05-31-2025	1.02	%
96.592.190-7	SQM Nitratos S.A.	Chile	76.536.499-K	Jungheinrich Rentalift SpA	Chile	UF	Monthly	10-07-2024	3.49	%
79.768.170-9	Soquimich Comercial S.A.	Chile	91.577.000-2	Muelles de Penco S.A.	Chile	UF	Monthly	07-06-2023	1.30	%
79.768.170-9	Soquimich Comercial S.A.	Chile	91.577.000-2	Muelles de Penco S.A.	Chile	UF	Monthly	07-06-2023	1.30	%
79.768.170-9	Soquimich Comercial S.A.	Chile	76.722.280-7	Inmobiliaria Chincui SpA	Chile	UF	Monthly	05-01-2028	3.38	%
79.768.170-9	Soquimich Comercial S.A.	Chile	96.565.580-8	Compañía de Leasing Tattersall S.A.	Chile	UF	Monthly	07-05-2025	2.97	%
79.768.170-9	Soquimich Comercial S.A.	Chile	91.577.000-2	Muelles de Penco S.A.	Chile	UF	Monthly	03-01-2029	4.11	%
79.768.170-9	Soquimich Comercial S.A.	Chile	77.810.750-3	Inmobiliaria Alto Sur Ltda.	Chile	UF	Monthly	11-30-2025	3.10	%
79.768.170-9	Soquimich Comercial S.A.	Chile	96.662.540-0	Container Operators S.A.	Chile	UF	Monthly	12-31-2024	3.26	%

 101

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Debtor			Creditor			Contract
						indexation	Type of	Maturity	Effective
Tax ID No.	Company	Country	TAX ID No.	Supplier	Country	unit	amortization	date	rate
93.007.000-9	SQM S.A.	Chile	76.536.499-K	Jungheinrich Rentalif SpA	Chile	UF	Monthly	10-07-2024	3.49	%
76.359.919-1	Orcoma SpA	Chile	70.017.320-8	Obispado de Iquique	Chile	Peso	Monthly	07-12-2036	6.16	%
76.359.919-1	Orcoma SpA	Chile	73.190.800-1	Comunidad Indígena Aymara Pueblo de Pisiga Choque	Chile	UF	Monthly	07-12-2024	2.53	%
76.359.919-1	Orcoma SpA	Chile	6.848.218-6	Ruth del Carmen Cortez Maturana	Chile	Peso	Monthly	07-12-2031	7.44	%
Foreign	SQM North América Corp.	United States	Foreign	Paces West LL.	United States	Dollar	Monthly	12-31-2027	3.36	%
Foreign	SQM North América Corp.	United States	Foreign	Hawkins Nunmber One, LLC	United States	Dollar	Monthly	08-31-2024	3.33	%
Foreign	SQM North América Corp.	United States	Foreign	Deep South Equipment Company	United States	Dollar	Monthly	03-24-2024	1.33	%
Foreign	SQM North América Corp.	United States	Foreign	Tennant-South	United States	Dollar	Monthly	07-02-2023	1.00	%
Foreign	SQM North América Corp.	United States	Foreign	Deacon Jones CDJR	United States	Dollar	Monthly	03-30-2024	2.81	%
Foreign	SQM North América Corp.	United States	Foreign	Berwyn Partners Inc.	United States	Dollar	Monthly	12-24-2024	1.34	%
Foreign	SQM North América Corp.	United States	Foreign	Myers Ford Co Inc.	United States	Dollar	Monthly	06-25-2024	1.51	%
Foreign	SQM North América Corp.	United States	Foreign	Ford Motor Credit Company	United States	Dollar	Monthly	05-17-2025	4.19	%
Foreign	SQM North América Corp.	United States	Foreign	Porter and Howard INC.	United States	Dollar	Monthly	11-22-2025	5.64	%
Foreign	SQM North América Corp.	United States	Foreign	Hanford Chrysler Dodge Jeep	United States	Dollar	Monthly	07-18-2025	4.44	%
Foreign	SQM Comercial de México S.A. de C.V.	Mexico	Foreign	Onni Ensenada S.A. de C.V.	Mexico	Dollar	Monthly	12-03-2026	3.45	%
Foreign	SQM Comercial de México S.A. de C.V.	Mexico	Foreign	Madol Inmobiliaria S.A. de C.V.	Mexico	Mexican Peso	Monthly	10-31-2023	7.84	%
Foreign	SQM Comercial de México S.A. de C.V.	Mexico	Foreign	Madol Inmobiliaria S.A. de C.V.	Mexico	Mexican Peso	Monthly	10-31-2023	7.84	%
Foreign	SQM Comercial de México S.A. de C.V.	Mexico	Foreign	Almacenajes y maniobras integrales del Golfo S.A.	Mexico	Mexican Peso	Monthly	02-28-2025	6.79	%
Foreign	SQM Comercial de México S.A. de C.V.	Mexico	Foreign	Inmobiliaria Nieblas S.A.	Mexico	Dollar	Monthly	07-31-2024	1.53	%
Foreign	SQM Europe N.V.	Belgium	Foreign	Straatsburgdok N.V.	Belgium	Euro	Monthly	03-31-2027	1.30	%
Foreign	SQM Australia Pty	Australia	Foreign	Eagle Petroleum (WA) Pty Ltd	Australia	Australian dollar	Monthly	06-21-2022	5.00	%
Foreign	SQM Iberian S.A.	Spain	Foreign	Liberia Investments SLU	Europa	Euro	Monthly	03-31-2027	3.25	%
Foreign	SQM Australia Pty	Australia	Foreign	Far East St Georges Terrace Pty	Australia	Australian dollar	Monthly	02-28-2026	5.75	%
Foreign	SQM Australia Pty	Australia	Foreign	Western Australian Land Authority	Australia	Australian dollar	Monthly	08-31-2051	3.55	%
Foreign	SQM Australia Pty	Australia	Foreign	Mining Thiess Pty Ltd.	Australia	Australian dollar	Monthly	08-31-2051	3.55	%
Foreign	SQM Colombia S.A.S.	Colombia	Foreign	Mareauto Colombia S.A.S.	Colombia	Colombian peso	Monthly	12-18-2023	2.01	%
Foreign	SQM Colombia S.A.S.	Colombia	Foreign	Renting Colombia S.A.	Colombia	Colombian peso	Monthly	10-16-2024	2.72	%
Foreign	SQM Colombia S.A.S.	Colombia	Foreign	Renting Colombia S.A.	Colombia	Colombian peso	Monthly	12-27-2024	2.17	%
Foreign	SQM África Pty	South Africa	Foreign	Goscor Finance (Pty) Ltd.	South Africa	Rand	Monthly	11-01-2026	8.51	%
Foreign	SQM África Pty	South Africa	Foreign	ETC Agro África	South Africa	Rand	Monthly	12-31-2027	10.35	%

 102

Notes to the Consolidated Interim Financial Statements
June 30, 2023

(a) As of June 30, 2023, and December 31, 2022, current lease liabilities are analyzed as follows:

Debtor	Creditor	Nominal amounts as of June 30, 2023						Amounts at amortized cost as of June 30, 2023
Company	Supplier	Up to 90 days		90 days to 1 year		Total		Up to 90 days		90 days to 1 year		Total
		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
SQM Salar S.A.	Empresa Constructora Contex Ltda.		540		1,618		2,158		494		1,523		2,017
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.		100		300		400		93		284		377
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.		48		145		193		44		138		182
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.		8		23		31		7		22		29
SQM Salar S.A.	Inversiones y Gestión New Energy SpA		108		253		361		108		253		361
SQM Salar S.A.	Jungheinrich Rentalift SpA		130		391		521		113		345		458
SQM Salar S.A.	Tattersall Maquinarias S.A.		55		164		219		48		145		193
SQM Salar S.A.	Obras y Servicios para la industria y Minera S.A.		294		882		1,176		270		820		1,090
SQM Salar S.A.	Sociedad Comercial Grandleasing Chile Ltda.		20		59		79		20		59		79
SQM Salar S.A.	Sociedad Suministradora de Equipos y de Servicios		2		7		9		2		7		9
SQM Salar S.A.	Sociedad Inmobiliaria Amaru SpA		55		129		184		56		127		183
SQM Salar S.A.	Inmobiliaria Apoquindo S.A.		76		228		304		73		222		295
SQM Industrial S.A.	El Trovador S.A.		466		1,399		1,865		381		1,162		1,543
SQM Industrial S.A.	Sociedad Comercial Grandleasing Chile Ltda.		180		541		721		175		533		708
SQM Industrial S.A.	Jungheinrich Rentalift SpA		29		89		118		28		86		114
SQM Industrial S.A.	ATCO Sabinco S.A.		51		155		206		51		152		203
SQM Nitratos S.A.	Jungheinrich Rentalift SpA		18		55		73		18		53		71
SQM S.A.	Jungheinrich Rentalift SpA		20		59		79		19		58		77
Orcoma SpA	Obispado de Iquique		1		4		5		1		1		2
Orcoma SpA	Comunidad Indígena Aymara Pueblo de Pisiga Choque		1		5		6		1		5		6
Orcoma SpA	Ruth del Carmen Cortez Maturana		1		3		4		1		1		2
Soquimich Comercial S.A.	Muelles de Penco S.A.		56		127		183		50		112		162
Soquimich Comercial S.A.	Muelles de Penco S.A.		15		-		15		15		-		15
Soquimich Comercial S.A.	Inmobiliaria Chincui SPA		157		471		628		134		407		541
Soquimich Comercial S.A.	Compañia de leasing Tattersall S.A.		58		174		232		55		167		222
Soquimich Comercial S.A.	Container Operators S.A.		86		257		343		82		250		332
Soquimich Comercial S.A.	Inmobiliaria Alto Sur Ltda.		16		47		63		15		45		60
SQM North América Corp.	Paces West LL.		58		175		233		50		151		201
SQM North América Corp.	Hawkins Nunmber One, LLC		33		102		135		32		100		132
SQM North América Corp.	Deep South Equipment Company		1		3		4		2		2		4
SQM North América Corp.	Deacon Jones CDJR		2		4		6		2		4		6
SQM North América Corp.	Berwyn Partners Inc.		2		6		8		2		6		8
SQM North América Corp.	Myers Ford Co Inc.		2		5		7		2		5		7
SQM North América Corp.	Ford Motor Credit Company		2		5		7		2		4		6
SQM North América Corp.	Porter and Howard INC		1		4		5		1		3		4
Subtotal			2,692		7,889		10,581		2,447		7,252		9,699

 103

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Debtor	Creditor	Nominal amounts as of June 30, 2023						Amounts at amortized cost as of June 30, 2023
Company	Supplier	Up to 90 days		90 days to 1 year		Total		Up to 90 days		90 days to 1 year		Total
		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
SQM North América Corp.	Hanford Chrysler Dodge Jeep		1		4		5		1		4		5
SQM Comercial de México S.A. de C.V.	Onni Ensenada S.A. de C.V.		99		296		395		88		268		356
SQM Comercial de México S.A. de C.V.	Madol Inmobiliaria S.A. de C.V.		20		6		26		19		8		27
SQM Comercial de México S.A. de C.V.	Madol Inmobiliaria S.A. de C.V.		7		2		9		7		2		9
SQM Comercial de México S.A. de C.V.	Almacenajes y maniobras integrales del Golfo S.A.		136		409		545		122		380		502
SQM Comercial de México S.A. de C.V.	Inmobiliaria Nieblas S.A.		272		816		1,088		268		810		1,078
SQM Europe N.V.	Straatsburgdok N.V.		121		364		485		93		282		375
SQM Australia PTY	Western Australian Land Authority		59		55		114		59		55		114
SQM Australia PTY	Thiess Pty Ltd.		396		1,462		1,858		322		1,223		1,545
SQM Australia PTY	Project JV		22		64		86		20		59		79
SQM Australia PTY	Far East St Georges Terrace Pty		31		94		125		26		83		109
SQM Australia PTY	Project JV		17		50		67		16		48		64
SQM Colombia S.A.S.	Mareauto Colombia S.A.S.		1		2		3		1		2		3
SQM Colombia S.A.S.	Renting Colombia S.A.		2		7		9		2		7		9
SQM Colombia S.A.S.	Renting Colombia S.A.		3		8		11		3		8		11
SQM África Pty	Goscor Finance (Pty) Ltd.		24		24		48		18		20		38
SQM África Pty	ETC Agro África		112		356		468		64		228		292
SQM Iberian S.A.	Liberia Investments SLU		15		46		61		13		43		56
Subtotal			1,338		4,065		5,403		1,142		3,530		4,672
Total			4,030		11,954		15,984		3,589		10,782		14,371

 104

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Debtor	Creditor	Nominal amounts as of December 31, 2022						Amounts at amortized cost as of December 31, 2022
Company	Supplier	Up to 90 days		90 days to 1 year		Total		Up to 90 days		90 days to 1 year		Total
		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
SQM Salar S.A.	Empresa Constructora Contex Ltda.		540		1,619		2,159		482		1,483		1,965
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.		100		300		400		92		280		372
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.		48		145		193		44		136		180
SQM Salar S.A.	Sociedad Inmobiliaria Amaru SpA		49		49		98		49		49		98
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.		8		23		31		7		21		28
SQM Salar S.A.	Inversiones y Gestión New Energy SpA		108		325		433		108		325		433
SQM Salar S.A.	Jungheinrich Rentalift SpA		130		390		520		112		340		452
SQM Salar S.A.	Tattersall Maquinarias S.A.		55		164		219		47		143		190
SQM Salar S.A.	Obras y Servicios para la industria y Minera S.A.		294		882		1,176		267		810		1,077
SQM Salar S.A.	Sociedad Comercial Grandleasing Chile Ltda.		20		59		79		20		59		79
SQM Industrial S.A.	El Trovador S.A.		466		1,399		1,865		376		1,144		1,520
SQM Industrial S.A.	Sociedad Comercial Grandleasing Chile Ltda.		180		540		720		173		526		699
SQM Industrial S.A.	Jungheinrich Rentalift SpA		30		88		118		28		85		113
SQM Nitratos S.A.	Jungheinrich Rentalift SpA		18		55		73		17		52		69
SQM S.A.	Jungheinrich Rentalift SpA		20		59		79		18		55		73
Orcoma SpA	Obispado de Iquique		1		4		5		1		2		3
Orcoma SpA	Comunidad Indígena Aymara Pueblo de Pisiga Choque		1		4		5		1		4		5
Orcoma SpA	Ruth del Carmen Cortez Maturana		1		3		4		1		2		3
Soquimich Comercial S.A.	Muelles de Penco S.A.		84		182		266		77		165		242
Soquimich Comercial S.A.	Muelles de Penco S.A.		43		59		102		44		59		103
Soquimich Comercial S.A.	Inmobiliaria Chincui SPA		157		471		628		131		401		532
Soquimich Comercial S.A.	Compañia de leasing Tattersall S.A.		58		174		232		54		165		219
SQM North America Corp.	Paces West LL.		56		173		229		47		148		195
SQM North America Corp.	Hawkins Nunmber One, LLC		34		100		134		31		97		128
SQM North America Corp.	Deep South Equipment Company		1		4		5		1		4		5
SQM North America Corp.	Tennant- South		1		1		2		2		1		3
SQM North America Corp.	Deacon Jones CDJR		2		6		8		2		6		8
SQM North America Corp.	Berwyn Partners Inc.		2		6		8		2		6		8
SQM North America Corp.	Myers Ford Co Inc.		2		6		8		2		5		7
SQM North America Corp.	Ford Motor Credit Company		2		5		7		2		5		7
SQM North America Corp.	Porter and Howard Inc.		1		4		5		1		3		4
SQM North America Corp.	Hanford Chrysler Dodge Jeep		1		3		4		1		4		5
SQM Comercial de México S.A. de C.V.	Onni Ensenada S.A. de C.V.		99		296		395		86		264		350
SQM Comercial de México S.A. de C.V.	Madol Inmobiliaria S.A. de C.V.		20		46		66		18		44		62
SQM Comercial de México S.A. de C.V.	Madol Inmobiliaria S.A. de C.V.		7		16		23		7		16		23
SQM Europe N.V.	Straatsburgdok N.V.		102		306		408		96		290		386
SQM Australia Pty	Ausco Modular Pty Limited		15		-		15		14		-		14
Subtotal			2,756		7,966		10,722		2,461		7,199		9,660

 105

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Debtor	Creditor	Nominal amounts as of December 31, 2022						Amounts at amortized cost as of December 31, 2022
Company	Supplier	Up to 90 days		90 days to 1 year		Total		Up to 90 days		90 days to 1 year		Total
		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
SQM Australia Pty	Western Australian Land Authority		105		387		492		54		94		148
SQM Australia Pty	Kwinana Refinery Lease - Laydown Area		25		74		99		23		71		94
SQM Australia Pty	Thiess Pty Ltd.		640		1,828		2,468		538		1,573		2,111
SQM Australia Pty	Project JV		22		66		88		19		60		79
SQM Colombia S.A.S.	Mareauto Colombia S.A.S.		1		4		5		1		4		5
SQM Colombia S.A.S.	Renting Colombia S.A.		2		6		8		2		6		8
SQM Colombia S.A.S.	Renting Colombia S.A.		2		7		9		2		7		9
SQM Africa Pty	Goscor Finance (Pty) Ltd.		12		36		48		8		27		35
Subtotal			809		2,408		3,217		647		1,842		2,489
Total			3,565		10,374		13,939		3,108		9,041		12,149

 106

Notes to the Consolidated Interim Financial Statements
June 30, 2023

(b) As of June 30, 2023, and December 31, 2022, the non-current lease liabilities are analyzed as follows:

Debtor	Creditor	Nominal amounts as of June 30, 2023				Amounts at amortized cost as of June 30, 2023
Company	Supplier	1-2 Years	2-3 Years	3-4 Years	Total	1-2 Years	2-3 Years	3-4 Years	Total
		ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$
SQM Salar S.A.	Empresa Constructora Contex Ltda.	1,619	-	-	1,619	1,584	-	-	1,584
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.	634	-	-	634	619	-	-	619
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.	273	-	-	273	268	-	-	268
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.	59	-	-	59	58	-	-	58
SQM Salar S.A.	Jungheinrich Rentalift SpA	1,041	868	-	1,909	1,080	847	-	1,927
SQM Salar S.A.	Tattersall Maquinarias S.A.	439	420	-	859	403	409	-	812
SQM Salar S.A.	Obras y Servicios para la industria y Minera S.A.	1,176	1,176	491	2,843	1,118	1,148	487	2,753
SQM Salar S.A.	Sociedad Comercial Grandleasing Chile Ltda.	79	79	-	158	79	79	-	158
SQM Salar S.A.	Sociedad Suministradora de Equipos de Energía y de Servicios	5	-	-	5	5	-	-	5
SQM Salar S.A.	Inmobiliaria Apoquindo S.A.	228	254	-	482	224	252	-	476
SQM Industrial S.A.	El Trovador S.A.	3,730	5,594	1,243	10,567	3,231	5,232	1,228	9,691
SQM Industrial S.A.	Sociedad Comercial Grandleasing Chile Ltda.	60	-	-	60	60	-	-	60
SQM Industrial S.A.	Jungheinrich Rentalift SpA	39	-	-	39	39	-	-	39
SQM Industrial S.A.	ATCO Sabinco S.A.	171	-	-	171	171	-	-	171
SQM Nitratos S.A.	Jungheinrich Rentalift SpA	24	-	-	24	24	-	-	24
SQM S.A.	Jungheinrich Rentalift SpA	26	-	-	26	26	-	-	26
Orcoma Estudios SpA	Obispado de Iquique	10	14	34	58	5	9	27	41
Orcoma Estudios SpA	Ruth del Carmen Cortez Maturana	8	12	7	27	3	3	16	22
Soquimich Comercial S.A.	Muelles de Penco S.A.	147	79	222	448	133	69	210	412
Soquimich Comercial S.A.	Inmobiliaria Chincui SPA	1,255	1,203	-	2,458	1,138	1,163	-	2,301
Soquimich Comercial S.A.	Compañía de leasing Tattersall S.A.	232	-	-	232	229	-	-	229
Soquimich Comercial S.A.	Container Operators S.A.	232	-	-	232	170	-	-	170
Soquimich Comercial S.A.	Inmobiliaria Alto Sur Ltda.	63	32	-	95	61	32	-	93
SQM North América Corp.	Paces West LL.	486	385	-	871	445	375	-	820
SQM North América Corp.	Hawkins Nunmber One, LLC	23	-	-	23	22	-	-	22
SQM North América Corp.	Berwyn Partners Inc.	4	-	-	4	4	-	-	4
SQM North América Corp.	Ford Motor Credit Company	11	-	-	11	6	-	-	6
SQM North América Corp.	Porter and Howard INC	5	1	-	6	5	1	-	6
SQM North América Corp.	Hanford Chrysler Dodge Jeep	6	-	-	6	5	-	-	5
SQM Comercial de México	Onni Ensenada S.A. de C.V.	789	165	-	954	751	163	-	914
SQM Comercial de México	Almacenajes y maniobras integrales del Golfo S.A.	363	-	-	363	354	-	-	354
Subtotal		13,237	10,282	1,997	25,516	12,320	9,782	1,968	24,070

107

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Debtor	Creditor	Nominal amounts as of June 30, 2023				Amounts at amortized cost as of June 30, 2023
Company	Supplier	1-2 Years	2-3 Years	3-4 Years	Total	1-2 Years	2-3 Years	3-4 Years	Total
		ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$
SQM Comercial de México S.A. de C.V.	Inmobiliaria Nieblas S.A.	91	-	-	91	91	-	-	91
SQM Europe N.V.	Straatsburgdok N.V.	485	485	2,828	3,798	387	399	2,586	3,372
SQM Australia Pty	Thiess Pty Ltd.	2,109	1,320	-	3,429	2,430	-	-	2,430
SQM Australia Pty	Western Australian Land Authority	1,404	16,183	-	17,587	1,404	16,183	-	17,587
SQM Australia Pty	Project JV	39	-	-	39	39	-	-	39
SQM Australia Pty	Far East St Georges Terrace Pty	130	89	-	219	122	89	-	211
SQM Australia Pty	Project JV	67	108	-	175	114	-	-	114
SQM Colombia S.A.S.	Renting Colombia S.A.	4	-	-	4	4	-	-	4
SQM Colombia S.A.S.	Renting Colombia S.A.	7	-	-	7	7	-	-	7
SQM África Pty	Goscor Finance (Pty) Ltd.	24	24	48	96	83	22	-	105
SQM África Pty	ETC Agro África	505	546	895	1,946	360	436	830	1,626
SQM Iberian S.A.	Liberia Investments SLU	61	61	46	168	57	58	45	160
Subtotal		4,926	18,816	3,817	27,559	5,098	17,187	3,461	25,746
Total		18,163	29,098	5,814	53,075	17,418	26,969	5,429	49,816

108

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Debtor	Creditor	Nominal amounts as of December 31, 2022				Amounts at amortized cost as of December 31, 2022
Company	Supplier	1-2 Years	2-3 Years	3-4 Years	Total	1-2 Years	2-3 Years	3-4 Years	Total
		ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$
SQM Salar S.A.	Empresa Constructora Contex Ltda	2,698	-	-	2,698	2,606	-	-	2,606
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.	800	33	-	833	775	33	-	808
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.	370	-	-	370	359	-	-	359
SQM Salar S.A.	Maquinarias Industriales Astudillo Hermanos Ltda.	62	13	-	75	59	13	-	72
SQM Salar S.A.	Inversiones y Gestión New Energy SpA	144	-	-	144	145	-	-	145
SQM Salar S.A.	Jungheinrich Rentalift SpA	1,041	1,041	217	2,299	943	999	215	2,157
SQM Salar S.A.	Tattersall Maquinarias S.A.	439	439	91	969	397	421	91	909
SQM Salar S.A.	Obras y Servicios para la industria y Minera S.A.	1,176	1,176	1,078	3,430	1,104	1,133	1,064	3,301
SQM Salar S.A.	Sociedad Comercial Grandleasing Chile Ltda	79	79	39	197	79	79	40	198
SQM Industrial S.A.	El Trovador S.A.	3,730	5,595	2,176	11,501	3,182	5,152	2,135	10,469
SQM Industrial S.A.	Sociedad Comercial Grandleasing Chile Ltda	420	-	-	420	417	-	-	417
SQM Industrial S.A.	Jungheinrich Rentalift SpA	98	-	-	98	97	-	-	97
SQM Nitratos S.A.	Jungheinrich Rentalift SpA	61	-	-	61	60	-	-	60
SQM S.A.	Jungheinrich Rentalift SpA	66	-	-	66	65	-	-	65
Orcoma Estudios SpA	Obispado de Iquique	10	14	36	60	5	8	29	42
Orcoma Estudios SpA	Comunidad Indígena Aymara Pueblo de Pisiga Choque	4	-	-	4	3	-	-	3
Orcoma Estudios SpA	Ruth del Carmen Cortez Maturana	8	12	10	30	3	3	18	24
Soquimich Comercial S.A.	Muelles de Penco S.A.	170	102	261	533	153	90	244	487
Soquimich Comercial S.A.	Inmobiliaria Chincui SPA	1,255	1,517	-	2,772	1,119	1,455	-	2,574
Soquimich Comercial S.A.	Compañia de leasing Tattersall S.A.	349	-	-	349	340	-	-	340
SQM North America Corp.	Paces West LL.	479	508	-	987	431	491	-	922
SQM North America Corp.	Hawkins Nunmber One, LLC	90	-	-	90	89	-	-	89
SQM North America Corp.	Deep South Equipment Company	1	-	-	1	1	-	-	1
SQM North America Corp.	Deacon Jones CDJR	2	-	-	2	2	-	-	2
SQM North America Corp.	Berwyn Partners Inc.	8	-	-	8	8	-	-	8
SQM North America Corp.	Myers Ford Co Inc.	4	-	-	4	4	-	-	4
SQM North America Corp.	Ford Motor Credit Company	12	-	-	12	9	-	-	9
SQM North America Corp.	Porter and Howard Inc.	5	4	-	9	5	4	-	9
SQM North America Corp.	Hanford Chrysler Dodge Jeep	5	3	-	8	5	3	-	8
SQM Comercial de México S.A. de C.V.	Onni Ensenada S.A. de C.V.	789	362	-	1,151	738	356	-	1,094
SQM Europe N.V.	Straatsburgdok N.V.	888	564	-	1,452	861	559	-	1,420
Subtotal		15,263	11,462	3,908	30,633	14,064	10,799	3,836	28,699

109

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Debtor	Creditor	Nominal amounts as of December 31, 2022				Amounts at amortized cost as of December 31, 2022
Company	Supplier	1-2 Years	2-3 Years	3-4 Years	Total	1-2 Years	2-3 Years	3-4 Years	Total
		ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$	ThUS$
SQM Australia PTY	Kwinana Refinery Lease - Laydown Area	25	-	-	25	24	-	-	24
SQM Australia PTY	Thiess Pty Ltd.	2,231	2,422	-	4,653	2,858	-	-	2,858
SQM Australia PTY	Western Australian Land Authority	1,616	3,162	23,894	28,672	61	1,619	16,102	17,782
SQM Australia PTY	Project JV	83	-	-	83	80	-	-	80
SQM Colombia S.A.S.	Renting Colombia S.A.	7	-	-	7	7	-	-	7
SQM Colombia S.A.S.	Renting Colombia S.A.	11	-	-	11	11	-	-	11
SQM Africa Pty	Goscor Finance (Pty) Ltd.	12	36	48	96	82	42	-	124
Subtotal		3,985	5,620	23,942	33,547	3,123	1,661	16,102	20,886
Total		19,248	17,082	27,850	64,180	17,187	12,460	19,938	49,585

110

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Other lease disclosures

Total lease expenses related to leases that did not qualify under the scope of IFRS 16 were ThUS$ 47,473 and ThUS$ 39,620 for the periods ended June 30, 2023 and 2022. See Note 22.8.

Expenses related to variable payments not included in lease liabilities were ThUS$ 2,213 and ThUS$ 1,375 for the periods ending June 30, 2023 and 2022.

Income from subleases of right-of-use assets were ThUS$ 5 and ThUS$ 72 as of June 30, 2023 and 2022, respectively.

Payments for contractual operating leases are disclosed in Note 4.2 Liquidity Risk.

111

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 15    Intangible assets and goodwill

15.1 Reconciliation of changes in intangible assets and goodwill

As of June 30, 2023
Intangible assets and goodwill	Useful life	Net Value
		ThUS$
IT programs	Finite	3,594
Mining rights	Finite	137,051
Water rights and rights of way	Indefinite	4,911
Water rights	Finite	9,473
Intellectual property	Finite	5,527
Other intangible assets	Finite	80
Intangible assets other than goodwill		160,636
Goodwill	Indefinite	958
Total Intangible Asset		161,594

As of December 31, 2022
Intangible assets and goodwill	Useful life	Net Value
		ThUS$
IT programs	Finite	3,249
Mining rights	Finite	140,873
Water rights and rights of way	Indefinite	4,909
Water rights	Finite	11,369
Intellectual property	Finite	5,850
Other intangible assets	Finite	86
Intangible assets other than goodwill		166,336
Goodwill	Indefinite	967
Total Intangible Asset		167,303

112

Notes to the Consolidated Interim Financial Statements
June 30, 2023

a) Movements in identifiable intangible assets as of June 30, 2023 and December 2022:

Movements in Identifiable intangible assets	IT programs		Mining rights, Finite		Water rights, and rights of way, Indefinite		Water rights		Customer-related intangible assets		Intellectual property		Other intangible assets		Goodwill		Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Equity at January 1, 2023	3,249		140,873		4,909		11,369		-		5,850		86		967		167,303
Additions	115		224		-		-		-		-		13		-		352
Amortization for the year	(643	)	(4,041	)	-		(1,896	)	-		(323	)	(14	)	-		(6,917	)
Impairment losses recognized in profit or loss for the year	-		-		-		-		-		-		-		(9	)	(9	)
Other increases / decreases for foreign currency exchange rates	(18	)	-		2		-		-		-		(5	)	-		(21	)
Other increases (decreases)	891		(5	)	-		-		-		-		-		-		886
Subtotal	345		(3,822	)	2		(1,896	)	-		(323	)	(6	)	(9	)	(5,709	)
Equity as of June 30, 2023	3,594		137,051		4,911		9,473		-		5,527		80		958		161,594
Historical cost	37,445		162,935		7,422		18,000		1,778		7,215		2,299		4,492		241,586
Accumulated amortization	(33,851	)	(25,884	)	(2,511	)	(8,527	)	(1,778	)	(1,688	)	(2,219	)	(3,534	)	(79,992	)
Equity at January 1, 2022	3,447		149,532		4,909		15,158		-		6,481		131		34,596		214,254
Additions	349		1,141		-		-		-		-		14		-		1,504
Amortization for the year	(1,039	)	(8,482	)	-		(3,789	)	-		(476	)	(59	)	-		(13,845	)
Impairment losses recognized in profit or loss for the year (2)	-		(1,228	)	-		-		-		-		-		(33,629	)	(34,857	)
Other increases / decreases for foreign currency exchange rates	(4	)	-		-		-		-		(155	)	-		-		(159	)
Other increases (decreases)	496		(90	)	-		-		-		-		-		-		406
Subtotal	(198	)	(8,659	)	-		(3,789	)	-		(631	)	(45	)	(33,629	)	(46,951	)
Equity as of December 31, 2022	3,249		140,873		4,909		11,369		-		5,850		86		967		167,303
Historical cost	36,457		162,716		7,420		18,000		1,778		7,215		2,291		4,501		240,378
Accumulated amortization	(33,208	)	(21,843	)	(2,511	)	(6,631	)	(1,778	)	(1,365	)	(2,205	)	(3,534	)	(73,075	)

(1) See Note 22.5

(2) A definition made in the fourth quarter of 2022 led to the identification of assets that are not in the company’s long-term business plan. Therefore, the Company recognized impairment for the value of certain intangible assets and associated goodwill in an amount of ThUS$34,149, which are related to the Iodine and derivatives cash generating unit.

113

Notes to the Consolidated Interim Financial Statements
June 30, 2023

b) Movements in identifiable goodwill as of June 30, 2023 and December 2022:

Accumulated impairment Movements in identifiable goodwill	Goodwill at the beginning of period January 1, 2023	Additional recognition	Impairment losses recognized in profit or loss for the period (-)		Total increase (decrease)		Total
	ThUS$	ThUS$	ThUS$		ThUS$		ThUS$
SQM Iberian S.A.	148	-	-		-		148
SQM Investment Corporation	86	-	-		-		86
Soquimich European Holding B.V. (*)	9	-	(9	)	(9	)	-
SQM Potasio S.A.	724	-	-		-		724
Total Increase (decreases)	967	-	(9	)	(9	)	958
Ending balance as of June 30, 2023	967	-	(9	)	(9	)	958

Accumulated impairment Movements in identifiable goodwill	Goodwill at the beginning of period January 1, 2022	Additional recognition	Impairment losses recognized in profit or loss for the period (-)		Total increase (decrease)		Total
	ThUS$	ThUS$	ThUS$		ThUS$		ThUS$
SQM S.A. (*)	22,255	-	(22,255	)	(22,255	)	-
SQM Iberian S.A.	148	-	-		-		148
SQM Investment Corporation	86	-	-		-		86
Soquimich European Holding B.V. (*)	11,383	-	(11,374	)	(11,374	)	9
SQM Potasio S.A.	724	-	-		-		724
Total Increase (decreases)	34,596	-	(33,629	)	(33,629	)	967
Ending balance as of December 31, 2022	34,596	-	(33,629	)	(33,629	)	967

(*) Based on a qualitative analysis conducted by management, this goodwill was adjusted for impairment based on the assessment that its partial or total book value is not recoverable.

114

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 16 Property, plant and equipment

As of June 30, 2023, and December 31, 2022, the detail of property, plant and equipment is as follows:

16.1 Types of property, plant and equipment

Description of types of property, plant and equipment	As of June 30, 2023			As of December 31, 2022
	ThUS$			ThUS$
Property, plant and equipment, net
Land		23,498			23,482
Buildings		279,185			273,913
Other property, plant and equipment		41,758			34,960
Transport equipment		8,944			9,487
Supplies and accessories		4,327			4,798
Office equipment		1,240			1,355
Network and communication equipment		1,625			1,872
Mining assets		53,193			60,284
IT equipment		2,828			3,147
Energy generating assets		3,021			3,253
Constructions in progress		1,734,677			1,328,508
Machinery, plant and equipment		993,592			981,779
Total		3,147,888			2,726,838
Property, plant and equipment, gross
Land		23,498			23,482
Buildings		826,566			803,398
Other property, plant and equipment		261,077			250,058
Transport equipment		21,246			21,343
Supplies and accessories		29,572			29,426
Office equipment		13,184			13,141
Network and communication equipment		10,889			10,878
Mining assets		231,214			230,803
IT equipment		31,236			31,197
Energy generating assets		38,668			38,540
Constructions in progress		1,734,677			1,328,508
Machinery, plant and equipment		3,822,600			3,716,440
Total		7,044,427			6,497,214
Accumulated depreciation and value impairment of property, plant and equipment, total
Accumulated depreciation and impairment of buildings		(547,381	)		(529,485	)
Accumulated depreciation and impairment of other property, plant and equipment		(219,319	)		(215,098	)
Accumulated depreciation and impairment of transport equipment		(12,302	)		(11,856	)
Accumulated depreciation and impairment of supplies and accessories		(25,245	)		(24,628	)
Accumulated depreciation and impairment of office equipment		(11,944	)		(11,786	)
Accumulated depreciation and impairment of network and communication equipment		(9,264	)		(9,006	)
Accumulated depreciation and impairment of mining assets		(178,021	)		(170,519	)
Accumulated depreciation and impairment of IT equipment		(28,408	)		(28,050	)
Accumulated depreciation and impairment of energy generating assets		(35,647	)		(35,287	)
Accumulated depreciation and impairment of machinery, plant and equipment		(2,829,008	)		(2,734,661	)
Total		(3,896,539	)		(3,770,376	)

115

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Description of classes of property, plant and equipment	As of June 30, 2023		As of December 31, 2022
	ThUS$		ThUS$
Property, plant and equipment, net
Pumps		41,922		32,120
Conveyor Belt		16,034		17,135
Crystallizer		59,835		48,582
Plant Equipment		165,721		163,594
Tanks		26,179		25,923
Filter		45,048		47,976
Electrical equipment/facilities		105,108		110,275
Other Property, Plant & Equipment		105,176		112,628
Site Closure		35,639		36,673
Piping		99,612		107,481
Well		160,174		177,708
Pond		36,956		41,729
Spare Parts (1)		96,188		59,955
Total		993,592		981,779

(1) The reconciliation of the spare parts provisions as of June 30, 2023 and December 31, 2022 is as follows:

Reconciliation	As of June 30, 2023		As of December 31, 2022
	ThUS$		ThUS$
Opening balance		52,072		48,262
Increase in provision		2,449		3,810
Closing balance		54,521		52,072

116

Notes to the Consolidated Interim Financial Statements
June 30, 2023

16.2 Reconciliation of changes in property, plant and equipment by type:

Reconciliation of changes in property, plant and equipment by class as of June 30, 2023 and December 31, 2022:

Reconciliation of changes in property, plant and equipment by class	Land		Buildings		Other property, plant and equipment		Transport equipment		Supplies and accessories		Equipment office		Network and communication equipment		Mining assets		IT equipment		Energy generating assets		Assets under construction		Machinery, plant and equipment		Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Equity at January 1, 2023	23,482		273,913		34,960		9,487		4,798		1,355		1,872		60,284		3,147		3,253		1,328,508		981,779		2,726,838
Additions	-		18		193		-		-		5		63		-		135		-		500,880		5,871		507,165
Disposals	-		-		-		-		-		-		-		-		-		-		-		-		-
Depreciation for the year	-		(17,837	)	(4,297	)	(445	)	(629	)	(112	)	(302	)	(7,502	)	(510	)	(360	)	-		(83,214	)	(115,208	)
Impairment (2)	-		-		-		-		-		-		-		-		-		-		-		(10,591	)	(10,591	)
Increase (decrease) in foreign currency translation difference	16		15		(26	)	-		-		(6	)	-		-		(3	)	-		-		-		(4	)
Reclassifications	-		23,127		10,938		(98	)	158		(1	)	(6	)	411		59		128		(98,544	)	63,828		-
Other increases (decreases) (1)	-		(51	)	(10	)	-		-		(1	)	(2	)	-		-		-		3,833		35,919		39,688
Decreases for classification as held for sale	-		-		-		-		-		-		-		-		-		-		-		-		-
Subtotal	16		5,272		6,798		(543	)	(471	)	(115	)	(247	)	(7,091	)	(319	)	(232	)	406,169		11,813		421,050
Equity as of June 30, 2023	23,498		279,185		41,758		8,944		4,327		1,240		1,625		53,193		2,828		3,021		1,734,677		993,592		3,147,888
Historical cost	23,498		826,566		261,077		21,246		29,572		13,184		10,889		231,214		31,236		38,668		1,734,677		3,822,600		7,044,427
Accumulated depreciation	-		(547,381	)	(219,319	)	(12,302	)	(25,245	)	(11,944	)	(9,264	)	(178,021	)	(28,408	)	(35,647	)	-		(2,829,008	)	(3,896,539	)
Equity at January 1, 2022	23,507		270,563		32,846		2,463		5,556		1,386		1,359		38,241		3,570		3,970		731,787		896,977		2,012,225
Additions	-		495		425		146		4		7		152		-		270		-		922,690		7,194		931,383
Disposals	-		-		-		-		-		-		-		-		-		-		-		(19	)	(19	)
Depreciation for the year	-		(32,915	)	(8,691	)	(962	)	(1,400	)	(248	)	(788	)	(12,871	)	(1,256	)	(717	)	-		(158,865	)	(218,713	)
Impairment (2)	-		(156	)	-		-		-		-		-		-		-		-		-		(7,928	)	(8,084	)
Increase (decrease) in foreign currency translation difference	(5	)	(7	)	-		-		-		(1	)	-		-		-		-		-		(20	)	(33	)
Reclassifications	121		37,147		10,449		7,840		726		213		1,149		34,914		582		-		(316,994	)	223,853		-
Other increases (decreases) (1)	-		(1,127	)	(69	)	-		(88	)	(2	)	-		-		(19	)	-		(8,975	)	20,587		10,307
Decreases for classification as held for sale	(141	)	(87	)	-		-		-		-		-		-		-		-		-		-		(228	)
Subtotale	(25	)	3,350		2,114		7,024		(758	)	(31	)	513		22,043		(423	)	(717	)	596,721		84,802		714,613
Equity as of December 31, 2022	23,482		273,913		34,960		9,487		4,798		1,355		1,872		60,284		3,147		3,253		1,328,508		981,779		2,726,838
Historical cost	23,482		803,398		250,058		21,343		29,426		13,141		10,878		230,803		31,197		38,540		1,328,508		3,716,440		6,497,214
Accumulated depreciation	-		(529,485	)	(215,098	)	(11,856	)	(24,628	)	(11,786	)	(9,006	)	(170,519	)	(28,050	)	(35,287	)	-		(2,734,661	)	(3,770,376	)

(1) The net balance of “Other Increases (Decreases)” corresponds to all those items that are reclassified to or from “Property, Plant and Equipment” and they can have the following origin: (i) work in progress which is expensed to profit or loss, forming part of operating costs or other expenses per function, as appropriate; (ii) the variation representing the purchase and use of materials and spare parts; (iii) projects corresponding mainly to exploration expenditures and ground studies that are reclassified to the item other non-current financial assets; (iv) software that is reclassified to “Intangibles (v) Provisions related to the investment plan and assets related to closing the site.

(2) See note 22.5. This corresponds to assets identified as not being used in the operation due to their specific characteristics.

117

Notes to the Consolidated Interim Financial Statements
June 30, 2023

16.3 Detail of property, plant and equipment pledged as guarantee

There are no restrictions in title or guarantees for compliance with obligations that affect property, plant and equipment.

16.4 Cost of capitalized interest, property, plant and equipment

The rates and costs for capitalized interest of property, plant and equipment are detailed as follows:

Capitalized interest costs	As of June 30, 2023			As of June 30, 2022
	ThUS$			ThUS$
Weighted average capitalization rate of capitalized interest costs		5	%		4	%
Amount of interest costs capitalized		18,490			10,209

118

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 17   Other current and non-current non-financial assets

As of June 30, 2023, and December 31, 2022, the detail of “Other Current and Non-current Assets” is as follows:

Other non-financial assets, current	As of June 30, 2023	As of December 31, 2022
	ThUS$	ThUS$
Domestic Value Added Tax	51,128	81,361
Foreign Value Added Tax	251,031	66,926
Prepaid mining licenses	5,244	1,122
Prepaid insurance	9,477	33,896
Other prepayments	1,514	1,230
Reimbursement of Value Added Tax to exporters	11,145	3,020
Other taxes	6,759	7,512
Other assets	1,179	1,268
Total	337,477	196,335

Other non-financial assets, non-current	As of June 30, 2023	As of December 31, 2022
	ThUS$	ThUS$
Exploration and evaluation expenses	48,350	44,023
Guarantee deposits	1,005	717
Other assets	4,954	7,656
Total	54,309	52,396

Movements in assets for the exploration and evaluation of mineral resources as of June 30, 2023, and December 31, 2022:

Conciliation	As of June 30, 2023	As of December 31, 2022
	ThUS$	ThUS$
Opening balance	44,023	26,752
Change in assets for exploration and evaluation of mineral resources
Additions	3,392	11,341
Short term reclassifications	399	(465	)
Increase (decrease) due to transfers and other charges	536	6,395
Total changes	4,327	17,271
Total	48,350	44,023

As of the presentation date, no reevaluations of assets for exploration and assessment of mineral resources have been conducted.

119

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Mineral resource exploration and evaluation expenditure

Given the nature of operations of the Company and the type of exploration it undertakes, disbursements for exploration can be found in 4 stages: Execution, economically feasible, not economically feasible and in exploitation:

(a)            Not economically feasible: Exploration and evaluation disbursements, once finalized and concluded to be not economically feasible, will be charged to profit and loss. As of June 30, 2023, and December 31, 2022, there were no disbursements for this concept.

(b)            Execution: Disbursements for exploration and evaluation under implementation and therefore prior to determination of economic feasibility, are presented as part of property, plant and equipment as constructions in progress.

Explorations in execution	As of June 30,  2023	As of December 31,  2022
	ThUS$	ThUS$
Chile	5,464	3,699
Total	5,464	3,699

Conciliation of explorations in execution	As of June 30,  2023		As of December 31,  2022
	ThUS$		ThUS$
Opening balance	3,699		1,000
Disbursements	2,137		4,227
Reclassifications	(372	)	(1,528	)
Total changes	1,765		2,699
Total	5,464		3,699

(c)            Economically feasible: Reimbursements for exploration and evaluation whose study concluded that its economic viability is viable are classified in “Other non-financial assets, non-current.”

Prospecting	Type of Exploration	As of June 30,  2023	As of December 31,  2022
		ThUS$	ThUS$
Chile (1)	Metallic/Non-Metallic	41,717	36,327
Total		41,717	36,327

(1) The value presented for Chile is composed as of June 2023 for ThUS 13,315 corresponding to non-metallic explorations and evaluations and ThUS$ 28,402 associated with metallic explorations. In December 2022, the amounts of non-metallic and metallic explorations were ThUS$ 11,417 ThUS$ 24,910, respectively.

120

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

Prospecting conciliation	As of June 30, 2023		As of December 31, 2022
	ThUS$		ThUS$
Opening balance		36,327		18,154
Additions		3,392		11,341
Reclassifications from Exploration in execution – Chile		1,998		8,864
Reclassifications to Exploration in Exploitation-Chile		-		(2,032	)
Total changes		5,390		18,173
Total		41,717		36,327

(d)         In Exploitation: Caliche exploration disbursements that are found in this area are amortized based on the material exploited, the portion that is expected to be exploited in the following 12 months is presented as current assets in the “Inventories in process” and the remaining portion is classified as “Other Non-current Non-Financial Assets”. 

Short-term exploitation reconciliation	As of June 30, 2023			As of December 31, 2022
	ThUS$			ThUS$
Opening balance		1,700			1,235
Amortization		-			-
Reclassifications		(399	)		465
Total changes		(399	)		465
Total		1,301			1,700

Long-term exploitation reconciliation	As of June 30, 2023			As of December 31, 2022
	ThUS$			ThUS$
Opening balance		7,696			8,598
Amortization		(1,462	)		(2,421	)
Reclassifications		399			1,519
Total changes		(1,063	)		(902	)
Total		6,633			7,696

 121

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 18 Employee benefits

18.1 Provisions for employee benefits

Classes of benefits and expenses by employee	As of June 30, 2023		As of December 31, 2022
	ThUS$		ThUS$
Current
Profit sharing and bonuses		727		2,270
Performance bonds and operational targets		11,685		33,106
Total		12,412		35,376
Non-current
Profit sharing and bonuses		14,399		8,973
Severance indemnity payments		50,362		34,899
Total		64,761		43,872

18.2 Policies on defined benefit plan

This policy is applied to all benefits received for services provided by the Company’s employees. This is divided as follows:

a) Short-term benefits for active employees are represented by salaries, social welfare benefits, paid time off, sickness and other types of leave, profit sharing and incentives and non-monetary benefits; e.g., healthcare service, housing, subsidized or free goods or services. These will be paid in a term which does not exceed twelve months. The Company maintains incentive programs for its employees, which are calculated based on the net result at the close of each period by applying a factor obtained from an evaluation based on their personal performance, the Company’s performance and other short-term and long-term indicators.

b) Staff severance indemnities are agreed and payable based on the final salary, calculated in accordance with each year of service to the Company, with certain maximum limits in respect of either the number of years or in monetary terms. In general, this benefit is payable when the employee or worker ceases to provide his/her services to the Company and there are a number of different circumstances through which a person can be eligible for it, as indicated in the respective agreements; e.g. retirement, dismissal, voluntary retirement, incapacity or disability, death, etc. See Note 18.3.

c) Obligations after employee retirement, described in Note 18.4.

d) Retention bonuses for a group of Company executives, described in Note 18.6.

 122

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

18.3 Other long-term benefits

The actuarial assessment method has been used to calculate the Company’s obligations with respect to staff severance indemnities, which relate to defined benefit plans consisting of days of remuneration per year served at the time of retirement under conditions agreed in the respective agreements established between the Company and its employees.

Under this benefit plan, the Company retains the obligation to pay staff severance indemnities related to retirement, without establishing a separate fund with specific assets, which is referred to as not funded.

Benefit payment conditions

The staff severance indemnity benefit relates to remuneration days for years worked for the Company without a limit being imposed in regard of amount of salary or years of service. It applies when employees cease to work for the Company because they are made redundant or in the event of their death. This benefit is applicable up to a maximum age of 65 for men and 60 for women, which are the usual retirement ages according to the Chilean pensions system as established in Decree Law 3,500 of 1980.

Methodology

The determination of the defined benefit obligation is made under the requirements of IAS 19 “Employee benefits”.

18.4 Post-employment benefit obligations

Our subsidiary SQM NA, together with its employees established a pension plan until 2002 called the “SQM North America Retirement Income Plan”. This obligation is calculated measuring the expected future forecast staff severance indemnity obligation using a net salary gradual rate of restatements for inflation, mortality and turnover assumptions, discounting the resulting amounts at present value using the interest rate defined by the authorities.

For workers under contract, since 2003, SQM NA offers benefits related to pension plans based on the 401-K system to its employees, which does not generate obligations for the Company.

As of June 30, 2023, and December 31, 2022, the value of assets associated with the SQM NA pension plan amounts to ThUS$4,703.

 123

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

18.5 Staff severance indemnities

As of June 30, 2023, and December 31, 2022, severance indemnities calculated at the actuarial value are as follows: 

Staff severance indemnities	As of June 30, 2023			As of December 31, 2022
	ThUS$			ThUS$
Opening balance		(34,899	)		(27,099	)
Current cost of service		(1,941	)		(4,204	)
Interest cost		(1,223	)		(1,928	)
Actuarial gain loss		(11,420	)		(5,305	)
Exchange rate difference		(2,312	)		551
Benefits paid during the year		1,433			3,086
Total		(50,362	)		(34,899	)

(a) Actuarial assumptions

The liability recorded for staff severance indemnity is valued at the actuarial value method, using the following actuarial assumptions: 

Actuarial assumptions	As of June 30, 2023		As of December 31, 2022		Annual/Years
Mortality rate	RV - 2014		RV - 2014
Discount interest rate		5.23%		5.12%
Voluntary retirement rate:
Men		3.82%		6.49%		Annual
Women		3.82%		6.49%		Annual
Salary increase		4.01%		3.00%		Annual
Retirement age:
Men		65		65		Years
Women		60		60		Years

(b) Sensitivity analysis of assumptions

As of June 30, 2023 and December 31, 2022, the Company has conducted a sensitivity analysis of the main assumptions of the actuarial calculation, determining the following: 

Sensitivity analysis as of June 30, 2023	Effect + 100 basis points			Effect - 100 basis points
	ThUS$			ThUS$
Discount rate		(2,903	)		3,267
Employee turnover rate		(381	)		426

Sensitivity analysis as of December 31, 2022	Effect + 100 basis points			Effect - 100 basis points
	ThUS$			ThUS$
Discount rate		(2,090	)		2,352
Employee turnover rate		(274	)		307

Sensitivity relates to an increase/decrease of 100 basis points.

 124

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

18.6 Executive compensation plan

The Company currently has a compensation plan with the purpose of motivating the Company’s executives and encouraging them to remain with the Company. There are two compensation plans in effect as of June 30, 2023:

I) Financial target compensation plan

(a) Plan characteristics

This compensation plan is paid in cash.

(b) Plan participants and payment dates

A total of 41 Company executives are entitled to this benefit, provided they remain with the Company until year end of 2025. The payment dates, where relevant, will be during the first quarter of 2026.

This compensation plan was approved by the Board and was first applied on January 1, 2022. Expenditure for the period corresponds to ThUS$14,399 and ThUS$ 8,495 as of June 30, 2023 and 2022 respectively. The income statement was charged with ThUS$ 5,904 and ThUS$ 3,741 during the periods ended June 30, 2023 and 2022 respectively.

II) Share-based compensation plan

During the first quarter of 2023, the remaining balance of this plan, which ended on December 31, 2022, was paid in the amount of ThUS$2,390.

 125

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 19 Provisions and other non-financial liabilities

19.1 Types of provisions

	As of June 30, 2023						As of December 31, 2022
Types of provisions	Current		Non-current		Total		Current		Non-current		Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Provision for legal complaints (1)		33,106		1,899		35,005		52,106		1,603		53,709
Provision for dismantling, restoration and rehabilitation cost (2)		-		59,772		59,772		-		53,995		53,995
Other provisions (3)		742,815		361		743,176		1,251,040		2,455		1,253,495
Total		775,921		62,032		837,953		1,303,146		58,053		1,361,199

(1) These provisions correspond to legal processes that are pending resolution or that have not yet been disbursed, these provisions are mainly related to litigation involving the subsidiaries located in Chile, Brazil and the United States (see note 21.1). 

(2) Sernageomin commitments for the restoration of the location of the production sites have been incorporated. This cost value is calculated at discounted present value, using flows associated with plans with an evaluation horizon that fluctuates between 8 and 25 years for potassium-lithium operations and 11 to 22 years for nitrate-iodine operations. The rates used to discount future cash flows are based on market rates for the aforementioned terms. 

(3) See Note 19.2.

 126

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

19.2 Description of other provisions

Current provisions, other short-term provisions	As of June 30, 2023		As of December 31, 2022
	ThUS$		ThUS$
Rent under Lease contract (1)		704,606		1,189,326
Provision for additional tax related to foreign loans		1,491		1,085
End of agreement bonus		7,168		35,819
Supervisors business bonus		4,036		-
Directors’ per diem allowance		4,676		4,250
Miscellaneous provisions		20,838		20,560
Total		742,815		1,251,040

(1) Payment Obligations for the lease contract with CORFO: These correspond to obligations assumed in the Lease Agreement. Our subsidiary SQM Salar holds exclusive rights to exploit the mineral resources in an area covering approximately 140,000 hectares of land in the Salar de Atacama in northern Chile, of which SQM Salar is only entitled to exploit the mineral resources in 81,920 hectares. These rights are owned by Corfo and leased to SQM Salar pursuant to the Lease Agreement. Corfo cannot unilaterally amend the Lease Agreement and the Project Agreement, and the rights to exploit the resources cannot be transferred. The Lease Agreement establishes that SQM Salar is responsible for making quarterly lease payments to Corfo according to specified percentages of the value of production of minerals extracted from the Salar de Atacama brines, maintaining Corfo’s rights over the Mining Exploitation Concessions and making annual payments to the Chilean government for such concession rights. The Lease Agreement was entered into in 1993 and expires on December 31, 2030. On January 17, 2018, SQM and CORFO reached an agreement to end an arbitration process directed by the arbitrator, Mr. Héctor Humeres Noguer, in case 1954-2014 of the Arbitration and Mediation Center of Santiago Chamber of Commerce and other cases related to it.

The agreement signed in January 2018, includes important amendments to the lease agreement and project agreement signed between CORFO and SQM in 1993. The main modifications became effective on April 10, 2018 and require (i) higher lease payments as a result of increased lease rates associated with the sale of the different products produced in the Salar de Atacama, including lithium carbonate, lithium hydroxide and potassium chloride; (ii) SQM Salar commits to contribute between US$10.8 and US$18.9 million per year to research and development efforts, between US$10 and US$15 million per year to the communities near the Salar de Atacama basin, and to annually contribute 1.7% of SQM Salar’s total annual sales to regional development; (iii) Corfo authorization for CCHEN to establish a total production and sales limit for lithium products produced in the Salar de Atacama of up to 349,553 metric tons of lithium metal equivalent (1,860,671 tons of lithium carbonate equivalent), which is in addition to the approximately 64,816 metric tons of lithium metal equivalent (345,015 tons of lithium carbonate equivalent) remaining from the originally authorized amount; (iv) provisions relating to the return of real estate and movable property leased to Corfo, the transfer of environmental permits to Corfo at no cost and the granting of purchase options to Corfo for production facilities and water rights in the Salar de Atacama upon termination of Corfo agreements; and (v) prohibitions on the sale of lithium brine extracted from leased mining concessions.

 127

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

The fee structure is as follows:

Price US$/MT Li2CO3	Lease rental rate
$0 - $4,000		6.8	%
$4,000 - $5,000		8.0	%
$5,000 - $6,000		10.0	%
$6,000 - $7,000		17.0	%
$7,000 - $10,000		25.0	%
>$10,000		40.0	%

Price US$/MT LiOH	Lease rental rate
$0 - $5,000	6.8	%
Over $5,000 - $6,000	8.0	%
Over $6,000 - $7,000	10.0	%
Over $7,000 - $10,000	17.0	%
Over $10,000 - $12,000	25.0	%
Over $12,000	40.0	%

Price US$/MT KCl	Lease rental rate
$0 - $300	3.0	%
Over $300 - $400	7.0	%
Over $400 - $500	10.0	%
Over $500 - $600	15.0	%
Over $600	20.0	%

The Lease Agreement and the Project Agreement are subject to early termination in the case of certain default events. Under these, Corfo is obliged to use its best efforts to initiate a public bidding process or the corresponding contracting procedure for the execution of an act or contract for the exploitation of the OMA mining properties currently leased by SQM no later than June 30, 2027, and to resolve it no later than July 30, 2029.

 128

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

19.3 Changes in provisions

Description of items that gave rise to changes as of June 30, 2023	Legal complaints			Provision for dismantling, restoration and rehabilitation cost			Other provisions			Total
	ThUS$			ThUS$			ThUS$			ThUS$
Total provisions, initial balance		53,709			53,995			1,253,495			1,361,199
Changes
Additional provisions		266			5,881			1,278,544			1,284,691
Provision used		(19,000	)		-			(1,790,349	)		(1,809,349	)
Increase(decrease) in foreign currency exchange		30			-			1,486			1,516
Others		-			(104	)		-			(104	)
Total Increase (decreases)		(18,704	)		5,777			(510,319	)		(523,246	)
Total		35,005			59,772			743,176			837,953

Description of items that gave rise to changes as of December 31, 2022	Legal complaints			Provision for dismantling, restoration and rehabilitation cost			Other provisions			Total
	ThUS$			ThUS$			ThUS$			ThUS$
Total provisions, initial balance		49,741			58,592			270,371			378,704
Changes
Additional provisions		3,981			7,085			3,045,758			3,056,824
Provision used		-			-			(2,060,321	)		(2,060,321	)
Increase(decrease) in foreign currency exchange		(1	)		(35	)		4			(32	)
Others		(12	)		(11,647	)		(2,317	)		(13,976	)
Total Increase (decreases)		3,968			(4,597	)		983,124			982,495
Total		53,709			53,995			1,253,495			1,361,199

 129

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

19.4 Other non-financial liabilities, Current

Description of other liabilities	As of June 30, 2023		As of December 31, 2022
	ThUS$		ThUS$
Tax withholdings		1,134		46,518
VAT payable		9,867		43,439
Guarantees received		731		743
Accrual for dividend		176,524		7,370
Monthly tax provisional payments		55,128		289,326
Deferred income		9,881		19,341
Withholdings from employees and salaries payable		7,391		7,242
Accrued vacations (1)		35,558		29,642
Other current liabilities		1,078		2,856
Total		297,292		446,477

(1) Vacation benefit (short-term benefits to employees, current) is in line with the provisions established in Chile’s Labor Code, which indicates that employees with more than a year of service will be entitled to annual vacation for a period of at least fifteen paid business days. The Company provides the benefit of two additional vacation days.

 130

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 20 Disclosures on equity

The detail and movements of equity accounts are shown in the consolidated statement of changes in equity. 

20.1 Capital management

The main object of capital management relative to the administration of the Company’s financial debt and equity is to ensure the regular conduct of operations and business continuity in the long term, with the constant intention of maintaining an adequate level of liquidity and in compliance with the financial safeguards established in the debt contracts in force. Within this framework, decisions are made in order to maximize the value of the company.

Capital management must comply with, among others, the limits contemplated in the Financing Policy approved by the Shareholders’ Meeting, which establishes a maximum consolidated indebtedness level of 1.5 times the debt to equity ratio. This limit can be exceeded only if the Company’s management has first obtained express approval at an Extraordinary Shareholders’ Meeting.

The Company’s controls over capital management are based on the following ratios: 

Capital Management	As of June 30, 2023			As of December 31, 2022			Description (1)	Calculation (1)
Net Financial Debt (ThUS$)		689,105			(721,980	)	Financial Debt – Financial Resources	Other current Financial Liabilities + Other Non-Current Financial Liabilities – Cash and Cash Equivalents – Other Current Financial Assets – Hedging Assets, non-current
Liquidity		2.39			2.29		Current Assets divided by Current Liabilities	Total Current Assets / Total Current Liabilities
ROE		72.46	%		79.37	%	Profit for the year divided by Total Equity	Profit for the year / Equity
Adjusted EBITDA (ThUS$)		1,964,301			5,838,439		Adjusted EBITDA	EBITDA – Other income – Other gains (losses) - Share of Profit of associates and joint ventures accounted for using the equity method + Other expenses by function + Net impairment gains on reversal (losses) of financial assets – Finance income – Currency differences.
EBITDA (ThUS$)		2,025,134			5,817,605		EBITDA	Profit (loss) + Depreciation and Amortization Expense adjustments + Finance Costs + Income Tax
ROA		64.64	%		78.61	%	Adjusted EBITDA – Depreciation divided by Total Assets net of financial resources less related parties’ investments	(Gross Profit – Administrative Expenses) / (Total Assets – Cash and Cash Equivalents – Other Current Financial Assets – Other Non-Current Financial Assets – Equity accounted Investments) (LTM)
Indebtedness		0.14			(0.15	)	Net Financial Debt on Equity	Net Financial Debt / Total Equity

The Company’s capital requirements change according to variables such as: working capital needs, new investment financing and dividends, among others. The SQM Group manages its capital structure and makes adjustments based on the predominant economic conditions so as to mitigate the risks associated with adverse market conditions and take advantage of the opportunities there may be to improve the liquidity position of the SQM Group.

There have been no changes in the capital management objectives or policy within the years reported in this document, no breaches of external requirements of capital imposed have been recorded. There are no contractual capital investment commitments.

 131

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

20.2 Operational restrictions and financial limits

Bond issuance contracts in the local market require the Company to maintain a Total Borrowing Ratio no higher than 1 for Series H, Series O and Series Q bonds, calculated over the last consecutive 12 months.

Capital management must ensure that the Borrowing Ratio remains below 1.0. As of June 30, 2023 this ratio was 0.14.

The financial restrictions with respect to the bonds issued by the Company for the periods ended June 30, 2023 and December 31, 2022. 

	Financial restrictions
As of June 30, 2023	Financial restrictions	Financial restrictions	Financial restrictions	Financial restrictions
Instrument with restriction	Bonds	Bonds	Bonds	Bank loans
Reporting party or subsidiary restriction
Creditor	Bondholders	Bondholders	Bondholders	Scotiabank
Registration number	H	Q	O	PB 70M
Name of financial indicator or ratio (See definition in Note 20.1)	NFD/Equity	NFD/Equity	NFD/Equity	NFD/Equity
Measurement frequency	Quarterly	Quarterly	Quarterly	Quarterly
Restriction (Range, value and unit of measure)	Must be less than 1.00	Must be less than 1.00	Must be less than 1.00	Must be less than 1.00
Indicator or ratio determined by the company	0.14	0.14	0.14	0.14
Fulfilled YES/NO	yes	yes	yes	yes

	Financial restrictions
As of December 31, 2022	Financial restrictions	Financial restrictions	Financial restrictions	Financial restrictions
Instrument with restriction	Bonds	Bonds	Bonds	Bank loans
Reporting party or subsidiary restriction
Creditor	Bondholders	Bondholders	Bondholders	Scotiabank
Registration number	H	Q	O	PB 70M
Name of financial indicator or ratio (See definition in Note 20.1)	NFD/Equity	NFD/Equity	NFD/Equity	NFD/Equity
Measurement frequency	Quarterly	Quarterly	Quarterly	Quarterly
Restriction (Range, value and unit of measure)	Must be less than 1.00	Must be less than 1.00	Must be less than 1.00	Must be less than 1.00
Indicator or ratio determined by the company	(0.15)	(0.15)	(0.15)	(0.15)
Fulfilled YES/NO	yes	yes	yes	yes

Bond issuance contracts in foreign markets require that the Company does not merge, or dispose of, or encumber all or a significant portion of its assets, unless all of the following conditions are met: (i) the legal successor is an entity constituted under the laws of Chile or the United States, which assumes all the obligations of the Company in a supplemental indenture, (ii) immediately after the merger or disposal or encumbrance there is no default by the issuer, and (iii) the issuer has provided a legal opinion indicating that the merger or disposal or encumbrance and the supplemental indenture comply with the requirements of the original indenture.

The Company and its subsidiaries are complying with all the aforementioned limitations, restrictions and obligations.

 132

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

20.3 Disclosures on preferred share capital

Issued share capital is divided into Series A shares and Series B shares. All such shares are nominative, have no par value and are fully issued, subscribed and paid.

Series B shares may not exceed 50% of the total issued, subscribed and paid-in shares of the Company and have a limited voting right, in that all of them can only elect one director of the Company, regardless of their equity interest and preferences:

(a) require the calling of an Ordinary or Extraordinary Shareholders’ Meeting when so requested by Series B shareholders representing at least 5% of the issued shares thereof; and

(b) require the calling of an extraordinary meeting of the board of directors, without the president being able to qualify the need for such a request, when so requested by the director who has been elected by the shareholders of said Series B.

The limitation and preferences of Series B shares have a duration of 50 consecutive and continuous years as of June 3, 1993.

The Series A shares have the preference of being able to exclude the director elected by the Series B shareholders in the voting process in which the president of the board of directors and of the Company must be elected and which follows the one in which the tie that allows such exclusion resulted.

The preference of the Series A shares will have a term of 50 consecutive and continuous years as of June 3, 1993. The form of the titles of the shares, their issuance, exchange, disablement, loss, replacement, assignment and other circumstances thereof shall be governed by the provisions of Law No, 18,046 and its regulations.

At June 30, 2023, the Group hold 648 Series A shares treasury shares.

Detail of capital classes in shares: 

	As of June 30, 2023				As of December 31, 2022
Type of capital in preferred shares	Series A		Series B		Series A		Series B
Description of type of capital in shares
Number of authorized shares		142,819,552		142,818,904		142,819,552		142,818,904
Number of fully subscribed and paid shares		142,819,552		142,818,904		142,819,552		142,818,904
Number of subscribed, partially paid shares		-		-		-		-
Increase (decrease) in the number of current shares		-		-		-		-
Number of outstanding shares		142,818,904		142,818,904		142,818,904		142,818,904
Number of shares owned by the Company or its subsidiaries or associates		648		-		648		-
Number of shares whose issuance is reserved due to the existence of options or agreements to dispose shares		-		-		-		-
Capital amount in shares ThUS$		134,750		1,442,893		134,750		1,442,893
Total number of subscribed shares		142,819,552		142,818,904		142,819,552		142,818,904

 133

  Notes to the Consolidated Interim Financial Statements
June 30, 2023

20.4 Disclosures on reserves in Equity

This caption comprises the following: 

Disclosures on reserves in equity	For the period ended June 30, 2023			For the year ended December 31, 2022
	ThUS$			ThUS$
Reserve for currency exchange conversion (1)		(6,017	)		(8,042	)
Reserve for cash flow hedges (2)		(1,147	)		(14,575	)
Reserve for gains and losses from financial assets measured at fair value through other comprehensive income (3)		(11,680	)		(10,973	)
Reserve for actuarial gains or losses in defined benefit plans (4)		(16,572	)		(9,198	)
Other reserves		11,646			11,663
Total		(23,770	)		(31,125	)

(1) This balance reflects retained earnings for changes in the exchange rate when converting the financial statements of subsidiaries whose functional currency is different from the US dollar.

(2) The Company maintains, as hedge instruments, financial derivatives related to obligations with the public issued in UF and Chilean pesos, Changes from the fair value of derivatives designated and classified as hedges are recognized under this classification.

(3) This caption includes the fair value of equity investments that are not held for trading and that the group has irrevocably opted to recognize in this category upon initial recognition. In the event that such equity instruments are fully or partially disposed of, the proportional accumulated effect of accumulated fair value will be transferred to retained earnings.

(4) This caption reflects the effects of changes in actuarial assumptions, mainly changes in the discount rate.

 134

Notes to the Consolidated Interim Financial Statements June 30, 2023

Movements in other reserves and changes in interest were as follows:

		Foreign currency translation difference  (1)			Reserve for cash flow hedges						Reserve for actuarial gains and losses from defined benefit plans					Reserve for gains (losses) from financial assets measured at fair value through other comprehensive income						Other reserves			Total reserves
Movements	Before taxes			Before taxes			Tax			Before taxes			Deferred taxes		Before Taxes			Deferred taxes			Before taxes			Reserves			Deferred taxes			Total reserves
	ThUS$			ThUS$			ThUS$			ThUS$			ThUS$		ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$
As of January 1, 2022		(7,913	)		(46,589	)		12,564			(5,879	)		1,705		(15,271	)		4,125			13,103			(62,549	)		18,394			(44,155	)
Movement of reserves		(129	)		36,079			-			(6,276	)		-		190			-			(985	)		28,879			-			28,879
Reclassification adjustments		-			(9,457	)		-			-			-		-			-			(455	)		(9,912	)		-			(9,912	)
Related taxes		-			-			(7,172	)		-			1,252		-			(17	)		-			-			(5,937	)		(5,937	)
As of December 31, 2022		(8,042	)		(19,967	)		5,392			(12,155	)		2,957		(15,081	)		4,108			11,663			(43,582	)		12,457			(31,125	)
Movement of reserves		2,025			81,133			-			(10,508	)		-		(968	)		-			(17	)		71,665			-			71,665
Reclassification adjustments		-			(62,739	)		-			-			-		-			-			-			(62,739	)		-			(62,739	)
Related taxes		-			-			(4,966	)		-			3,134		-			261			-			-			(1,571	)		(1,571	)
Balances as of June 30, 2023		(6,017	)		(1,573	)		426			(22,663	)		6,091		(16,049	)		4,369			11,646			(34,656	)		10,886			(23,770	)

(1) See details on reserves for foreign currency translation differences on conversion in Note 24, letter a).

135

Notes to the Consolidated Interim Financial Statements June 30, 2023

Other reserves

This caption corresponds to the legal reserves reported in the stand-alone financial statements of the subsidiaries and associates that are mentioned below and that have been recognized in SQM’s equity through the application of the equity method.

Subsidiary – Associate	As of   June 30,  2023			As of   December 31,  2022
	ThUS$			ThUS$
SQM Iberian S.A.		9,464			9,464
SQM Europe NV		1,957			1,957
Soquimich European holding B.V.		828			828
Soquimich Comercial S.A.		(418	)		(401	)
SQM Vitas Fzco.		85			85
Pavoni & C. Spa		7			7
SQM Iberian S.A.		(1,677	)		(1,677	)
Orcoma Estudios SPA		2,121			2,121
Other		(721	)		(721	)
Total Other reserves		11,646			11,663

20.5 Dividend policies

As required by Article 79 of the Chilean Companies Act, unless otherwise decided by unanimous vote of the holders of issued and subscribed shares, a publicly traded corporation must annually distribute a cash dividend to its shareholders, prorated based on their shares or the proportion established in the company’s bylaws if there are preferred shares, with at least 30% of our consolidated profit for each year.

Dividend policy for commercial year 2023

Company’s dividend policy for the 2023 business year was agreed upon by the Board of Directors on April 26, 2023. On that occasion, the following was decided:

(a) Distribute and pay to the corresponding shareholders, a percentage of the net income that shall be determined per the following financial parameters as a final dividend:

(i) 100% of the profit for 2023 if all the following financial parameters are met: (a) “all current assets” divided by “all current liabilities” is equal to or greater than 2.5 times, and (b) the sum of “all current liabilities” and “all non-current liabilities”, less “cash equivalents”, less “other current financial assets”, all of the above divided by “total equity” in equal or less than 0.8 times.

(ii) 80% of the profit for 2023 if all the following financial parameters are met: (a) “all current assets” divided by “all current liabilities” is equal to or greater than 2.0 times, and (b) the sum of “all current liabilities” and “all non-current liabilities”, less “cash equivalents”, less “other current financial assets”, all of the above divided by “total equity” in equal or less than 0.9 times.

(iii) 60% of the profit for 2023 if all the following financial parameters are met: (a) “all current assets” divided by “all current liabilities” is equal to or greater than 1.5 times, and (b) the sum of “all current liabilities” and “all non-current liabilities”, less “cash equivalents”, less “other current financial assets”, all of the above divided by “total equity” in equal or less than 1.0 times.

If none of the foregoing financial parameters are met, the Company shall distribute and pay, as a final dividend, and in favor of the respective shareholders, 50% of the 2023 net income.

136

Notes to the Consolidated Interim Financial Statements June 30, 2023

(b) Distribute and pay in 2023 interim dividends, which will be charged against the aforementioned final dividend.

(c) The amount of the provisional dividends may be higher or lower, provided that, based on the information available to the Board of Directors on the date when their distribution is agreed to, this will not have a negative or material effect on the Company's ability to carry out its investments, meet its obligations, and in general to comply with the investment and financing policy approved by the Ordinary Shareholders’ Meeting.

(d) At the ordinary meeting to be held in 2024, the Company's Board of Directors will propose a final dividend in line with the percentage corresponding to the financial parameters outlined in (a) above, discounting the provisional dividends previously distributed in 2023.

(e) Any remaining amount from the net profits from 2023 can be retained and used to finance the Company’s own operations or one or more of its investment projects, notwithstanding a possible distribution of dividends charged to accumulated profit that might be approved by the shareholders’ meeting or the possible future capitalization of all or part of it.

(f) The payment of additional dividends is not being considered.

It must be expressly stated that this dividends policy details the intention of the Company’s Board of Directors and its fulfillment depends on the actual profits obtained, as well as on the results indicated by the projections the Company makes from time to time or on the existence of particular conditions, as appropriate. In any case, if the dividend policy set forth by the Board of Directors should undergo any substantial change, the Company must communicate it as a material event.

20.6 Interim and provisional dividends

On April 26, 2023, the Board of Directors agreed to pay a final dividend equivalent to US$ 3.22373 per share which the Company must pay to reach the amount of US$10.94060 for the final dividend as per the Policy. This final dividend already considers the first interim dividend of US$ 2.78716 per share, the second interim dividend of US$ 1.84914 per share, and the eventual dividend of US$ 3.08056 per share that were paid in 2022.

On May 17, 2023, the Company’s Board of Directors agreed to pay an interim dividend equivalent to US$0.78760 per share charged to the Company’s 2023 fiscal year profits. This amount will be paid in its equivalent in Chilean pesos, national currency based on the observed US dollar value that appears in the Official Gazette on July 17, 2023.

137

Notes to the Consolidated Interim Financial Statements June 30, 2023

20.7 Potential and provisional dividends

Dividends discounted from equity from January to June 2023 and January to December 2022 were the following:

Dividends	As of  June 30,  2023		As of December 31, 2022
	ThUS$		ThUS$
Interim dividend		-		2,204,229
Special dividend		920,819		-
Dividend according to policy		399,037		-
Owners of the Parent		1,319,856		2,204,229
Special dividend		-		-
Dividend according to policy		644		7,369
Non-controlling interests		644		7,369
Dividends discounted from equity for the period		1,320,500		2,211,598

138

Notes to the Consolidated Interim Financial Statements June 30, 2023

Note 21 Contingencies and restrictions

In accordance with note 19.1, the Company recognizes a provision for those lawsuits in which there is a probability that the judgments will be unfavorable to the Company. The Company is party to the following lawsuits and other relevant legal actions:

21.1 Lawsuits and other relevant events

(a) In 1995, Nitratos Naturais do Chile Ltda. was sanctioned by the Fazenda do Estado de Sao Paulo for shipping goods to a different branch without proper authorization. The Sao Paulo State Treasury initiated legal proceedings to collect almost ThUS$ 352. There has been no movement with respect to this case since May 2017.

(b) In August 1996, Nitratos Naturais do Chile Ltda. was fined by Fazenda do Estado de Sao Paulo for concluding activities without attaching the necessary documentation for submission to the competent authorities. The treasury of the State of Sao Paulo initiated legal actions to collect close to ThUS$ 492. Nitratos Naturais do Chile has presented a case to the federal court of Brazil to request a reduction in the fine, which is currently pending.

(c) In August 2004, Nitratos Naturais do Chile Ltda. was fined by Fazenda do Estado de Sao Paulo for failing to report trade activities. The treasury of the State of Sao Paulo initiated legal actions to collect close to ThUS$ 265. In 2018, the Court of Appeals agreed to a reduction in the fine and the Fazenda do Estado de Sao Paulo appealed to the Court of Brazil, and this appeal is still pending.

(d) In December 2010, the city of Pomona in the state of California, United States, filed a claim against SQM NA, which was heard before the US District Court for the Central District of California. The plaintiff requested the payment of expenses and other values related to treatment of groundwater to make it apt for consumption, which involved the extraction of perchlorate in this water, which allegedly came from Chilean fertilizers. On January 27, 2022, a judgment was issued against SQM NA for ThUS$ 48.1, which has been appealed. On April 28, 2023, the 9th Circuit Court of Appeals reversed part of the judgment, ordering a new determination of damages. On August 1, 2023, the California Central District Court ruled that the verdict of ThUS$ 48.1 is excessive, so reduced it to ThUS$ 30.2. The plaintiffs may accept the reduced amount or request a new trial. On August 8, 2023, Pomona accepted the reduced amount and has requested the Court to order the payment of interest.

(e) In December 2010, the city of Lindsay in California, United States, filed a claim against SQM NA, which was heard before the US District Court for the Central District of California. The plaintiff requested the payment of expenses and other values related to treatment of groundwater to make it apt for consumption, which involved the extraction of perchlorate in this water, which allegedly came from Chilean fertilizers, the trial is currently suspended.

(f) In May 2014, a claim of compensation for damages was filed against SQM Nitratos for its alleged liability derived from an explosion occurring in 2010 in the vicinity of the town of Baquedano, which caused the death of six workers. The portion of the claim that has not been settled in court is approximately US$ 1.2 million. On May 7, 2019, the 18th Civil Court of Santiago dismissed the claim. The case currently is in the Santiago Court of Appeals, awaiting a ruling.

(g) In January 2018, the company Transportes Buen Destino S.A. filed an arbitration claim under CAM rules against SQM Salar for controversies resulting from the execution of transport contracts for lithium brine and transport of salts. The amount of the claim is close to US$ 3 million. The arbitration is currently in the evidence stage.

 139

Notes to the Consolidated Interim Financial Statements June 30, 2023

(h) In September 2018, representatives Claudia Nathalie Mix Jiménez, Gael Fernanda Yeomans Araya, Camila Ruzla and Rojas Valderrama filed a public right annulment suit against Corfo regarding the Salar de Atacama Project Contract signed between Corfo and SQM Salar. The Company has intervened as an independent third party. This discussion stage has concluded. For more information, see Note 21.4.

(i) The Company and FPC Ingeniería y Construcción SpA were sued in May 2019 for compensation for damages resulting from alleged extracontractual liability derived from the traffic accident occurring on March 5, 2018, involving the overturn of a truck owned by FPC and the subsequent death of its two occupants, both employees of FPC. The four children of one of the deceased workers are the plaintiffs in this case and are seeking compensation for moral damages. The case is in the 19th Civil Court of Santiago and is in the evidence stage. The amount of the claim is close to US$ 1.2 million.

(j) Through resolution dated April 14, 2020, the General Water Bureau (DGA) fined SQM Salar S.A. an amount of 4,180 UTM for the alleged violation of article 294 of the Water Code. This resolution was appealed for reconsideration, and its resolution is currently pending.

(k) On April 6, 2021, Empresa Eléctrica Cochrane SpA requested the constitution of arbitration to resolve a dispute in relation to electricity supply contracts signed on March 30, 2012, and February 1, 2013. The trial is currently in the discussion stage. On January 17, 2022, the Company filed a claim for early termination of the electricity supply contracts against Empresa Eléctrica Cochrane SpA. at the same arbitration tribunal. The discussion. Both trials have reached the evidence stage

(l) In October 2021, the Company requested the constitution of an arbitration against Chilena Consolidada Seguros Generales S.A. to resolve differences in relation to the interpretation and execution of the directors’ and officers’ liability insurance policy. The case has reached the evidence stage.

(m) In February 2022, the company Montajes Eléctricos y Construcciones RER Limitada filed a claim for damages before the 21st Civil Court of Santiago against SQM Industrial S.A. for its alleged liability derived from the breach of an electrical installation contract. The case has reached the evidence stage and amounts to approximately ThUS$ 542.

 140

Notes to the Consolidated Interim Financial Statements June 30, 2023  

(n) In June 2022, Mrs. Lorena Saa Nuñez and others filed a lawsuit against the Company with the Labor Court of Pozo Almonte seeking compensation for damages moral for the death of worker Oscar Muñoz Meza. The case has reached the ruling stage. The lawsuit is for approximately ThUS 493. On March 20, 2023, the court issued a judgment condemning the main defendant and rejecting the claim against the Company. On June 30, 2023, the main defendant filed an appeal for annulment before the Santiago Court of Appeals, which was upheld, and a replacement judgment was issued on August 1, 2023 that reinstated the rejection of the company’s claim.

(o) In March 2023, Mr. Josué Merari Trujillo Montejano filed a lawsuit against SQM Comercial de México, S.A. de C.V. for damages for third-party civil liability for the death of his brother Mr. Manuel Agustín Trujillo Montejano, before the First Instance Judge of the Civil Branch of the city of Zapopan, Mexico. The lawsuit is currently under discussion. The amount of the lawsuit is approximately ThUS$330.

(p) In May 2023, Mrs. Nicole Denise Contreras Cereceda, filed a claim for compensation for moral damages, consequential damages and loss of profits, derived from injuries suffered as a result of a work-related accident, before the Labor Court of Antofagasta against a contractor company and also against the Company. The case is currently under discussion. The amount of the lawsuit is approximately ThUS$217.

(q) In May 2023, the heirs of Sami Al Taweel, a shareholder of Abu Dhabi Fertilizer Industries Company LLC (“Adfert”), filed a claim against SQM Corporation NV, other shareholders and former officers and directors of Adfert appointed by SQM Corporation NV, with the Settlement Center of the Abu Dhabi Commercial Court of First Instance, which alleges a debt of AED 73.5 million. United Arab Emirates rules require a mandatory reconciliation process prior to the judicial stage. If no agreement is reached and the plaintiffs prepay the procedural fees of the Abu Dhabi Commercial Court of First Instance, which has not yet occurred, then a civil lawsuit will be initiated and SQM Corporation NV will have to respond to the claim filed by Sami Al Taweel’s heirs.

(r) In May 2023, Mr. Luis Guillermo Benítez Peña and 17 other employees filed a lawsuit against a contractor, the Company and six other companies with the Labor Court of San Miguel for indirect dismissal, annulment of dismissal and payment of employment benefits. The lawsuit has been served on the defendants and a preparatory hearing is pending. The lawsuit totals approximately ThUS$ 358.

The Company and its subsidiaries have been involved and will probably continue to be involved either as plaintiffs or defendants in certain judicial proceedings that have been and will be heard by the arbitration or ordinary courts of justice that will make the final decision. Those proceedings that are regulated by the appropriate legal regulations are intended to exercise or oppose certain actions or exceptions related to certain mining claims either granted or to be granted and that do not or will not affect in an essential manner the development of the Company and its subsidiaries.

Soquimich Comercial S.A. has been involved and will probably continue being involved either as plaintiff or defendant in certain judicial proceedings through which it intends to collect and receive the amounts owed, the total nominal value of which is approximately US$ 1.05 million.

The Company and its subsidiaries have made efforts and continues making efforts to obtain payment of certain amounts that are still owed to the Company due to its activities. Such amounts will continue to be required using judicial or non-judicial means by the plaintiffs, and the actions and exercise related to these are currently in full force and effect.

21.2 Environmental contingencies

The SMA issued a resolution dated November 28, 2016, rectified by a resolution dated December 23, 2016, which filed charges against SQM Salar for brine extraction in excess of authorized amounts, progressive impairment of the vitality of carob trees, providing incomplete information modification of follow-up plan variables, and other charges. SQM Salar S.A. presented a compliance program that was accepted by the SMA. On December 2019, the Environmental Court of Antofagasta rendered the accepted compliance program null. In October 2020, the SMA formulated new observations for the compliance program, which will enable the incorporation of improvements in line with the ruling of the Environmental Court of Antofagasta. On August 29, 2022, the SMA approved the compliance program presented by SQM Salar, which triggered an appeal filed by the Council of Atacameño Peoples before the Environmental Court of Antofagasta. The Atacameño communities of Peine and Coyo filed requests for injunction against SMA’s resolution, which have been dismissed by the Supreme Court. If the Council of Atacameño Peoples’ claim against SMA’s resolution that approved the compliance program is accepted and the program is annulled, the sanction process against SQM Salar could be resumed. This latter event may consider the application of fines up to ThUS$ 9, temporary or permanent closure of facilities and in extreme circumstances, revocation of the respective environmental permit.

 141

Notes to the Consolidated Interim Financial Statements June 30, 2023

21.3 Tax Contingencies

The IRS wants to extend the specific mining tax to lithium mining, which cannot be concessioned under the legal system. As of June 30, 2023, SQM Salar has filed three tax claims against the IRS for specific mining tax on lithium for the tax years 2012 to 2018 (business years 2011 to 2017) and has received assessments for the tax years 2020 to 2022 (business years 2019 to 2021) and tax claims are pending against them as of the reporting date. The pending tax claims against these assessments total ThUS$ 127.1 and ThUS$ 74.2. Both amounts have been paid by SQM Salar and ThUS$ 201.3 is recorded in the Company’s consolidated financial statements under “Tax assets, non-current” as of June 30, 2023, and ThUS$ 127.1 as of December 31, 2022.

The claims are as follows.

(a) On August 26, 2016, a tax claim was filed before the Third Tax and Customs Court of the Metropolitan Region against IRS assessments 169, 170, 171 and 172, for the tax years 2012 to 2014. The amount in dispute is ThUS$ 17.8, where (i) ThUS$ 11.5 is tax claimed net of corporate income tax, and (ii) ThUS$ 6.3 is associated interest and penalties. The case reached the evidence stage on August 10, 2023.

(b) On March 24, 2017, a tax claim was filed before the Third Tax and Customs Court of the Metropolitan Region against assessment 207 and resolution 156 both issued by the IRS for the tax years 2015 to 2016. The amount in dispute is ThUS$ 8.6, where (i) ThUS$ 1.3 is overpaid taxes, (ii) ThUS$ 6.9 is tax claimed net of corporate income tax, and (iii) ThUS$ 0.4 is associated interest and penalties. The case reached the evidence stage on August 10, 2023.

(c) On July 15, 2021, SQM Salar filed before the First Tax and Customs Court of the Metropolitan Region a tax annulment and claim against assessments 65 and 66 for the tax years 2017 and 2018. The amount in dispute is ThUS$ 63.9, where (i) ThUS$ 17.6 is overpaid taxes, (ii) ThUS$ 30.2 is tax claimed net of corporate income tax, and (iii) ThUS$ 16.1 is associated interest and penalties. On November 7, 2022, the First Tax and Customs Court upheld SQM Salar’s claim and ordered the annulment of these tax assessments.

(d) On June 30, 2023, SQM Salar filed before the First Tax and Customs Court of the Metropolitan Region a tax annulment and claim against assessment 23 for the tax year 2019. The amount in dispute is ThUS$ 36.8, where (i) ThUS$ 9.8 is overpaid taxes, and (ii) ThUS$ 27.0 is tax claimed net of corporate income tax. The trial is currently at the discussion stage.

The assessments and pending claims are as follows:

On April 17, 2023, the IRS assessed differences for the tax years 2020 to 2022 (business years 2019 to 2021) with respect to specific mining tax of ThUS$ 74.2, which includes overpaid taxes of ThUS$ 20.0. The IRS issued resolution 56/2023 for ThUS$ 20.7 for the tax years 2020 and 2021, where ThUS$ 5.6 is overpaid taxes, and ThUS$ 15.1 is tax claimed net of corporate income tax. On the same date, the IRS issued assessment 1/2023 for the tax year 2022 that totals ThUS$ 53.5, restated as of the date of payment, where ThUS$ 14.4 is overpaid taxes, ThUS$ 36.1 is tax claimed net of corporate income tax, and ThUS$ 3.0 is associated interest and penalties.

The IRS has not issued an assessment claiming differences in specific mining tax filed for business years 2022 onward. If the IRS uses criteria similar to that used in previous years, it may issue an assessment in the future for this period. The Company estimates a potential assessment of US$ 878 million (corporate income tax deducted) by the IRS, without considering interests and fines.

 142

Notes to the Consolidated Interim Financial Statements June 30, 2023  

To date, the Company has recorded no effect corresponding to this tax on its profit and loss.

21.4 Contingencies regarding to the Contracts with Corfo

On September 6, 2018, representatives Claudia Nathalie Mix Jiménez, Gael Fernanda Yeomans Araya and Camila Ruzlay Rojas Valderrama and the Poder Ciudadano political party filed an annulment suit against Corfo, which requested that the Salar de Atacama Project Agreement between Corfo and the Company, SQM Potasio and SQM Salar be annulled. The Companies have taken part of the process as interested third parties.

In the event that the annulment claim is approved for the Salar de Atacama Project Agreement, SQM Salar may be prevented from the exploitation of the mining assets in the Salar de Atacama that it has leased from Corfo.

21.5 Indirect guarantees

As of June 30, 2023, there are no indirect guarantees.

 143

Notes to the Consolidated Interim Financial Statements June 30, 2023  

Note 22 Gains (losses) from operating activities in the statement of income of expenses, included according to their nature

22.1 Revenue from operating activities customer activities

The Group derives revenues from the sale of goods (which are recognized at one point in time) and from the provision of services (which are recognized over time) and are distributed among the following geographical areas and main product and service lines:

(a) Geographic areas:

For the period ended June 30, 2023
Geographic areas	Specialty plant nutrition	Iodine and derivatives	Lithium and derivatives	Potassium	Industrial chemicals	Other	Total ThUS$
Chile	38,000	831	1,591	6,769	812	7,249	55,252
Latin America and the Caribbean	35,570	12,072	5,406	64,728	5,628	532	123,936
Europe	71,149	194,584	187,684	19,338	12,996	802	486,553
North America	231,989	70,157	78,545	40,151	24,961	559	446,362
Asia and Others	91,709	183,332	2,837,554	22,111	68,656	126	3,203,488
Total	468,417	460,976	3,110,780	153,097	113,053	9,268	4,315,591

For the period ended as of June 30, 2022
Geographic areas	Specialty plant nutrition	Iodine and derivatives	Lithium and derivatives	Potassium	Industrial chemicals	Other	Total ThUS$
Chile	49,177	661	387	44,750	172	9,232	104,379
Latin America and the Caribbean	66,052	6,266	1,550	160,720	5,680	482	240,750
Europe	112,565	134,557	161,275	9,522	15,506	586	434,011
North America	257,332	67,261	73,130	42,252	33,540	395	473,910
Asia and Others	120,491	117,913	3,056,635	39,240	31,126	175	3,365,580
Total	605,617	326,658	3,292,977	296,484	86,024	10,870	4,618,630

 144

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

(b) Main product and service lines:

	For the period from January to June of the year		For the period from April to June of the year
Products and Services	2023	2022	2023	2022
	ThUS$	ThUS$	ThUS$	ThUS$
Specialty plant nutrition	468,417	605,617	247,476	330,318
- Sodium Nitrates	13,853	8,735	3,362	3,836
- Potassium nitrate and sodium potassium nitrate	263,182	384,046	145,419	209,814
- Specialty Blends	109,850	139,550	59,953	76,193
- Other specialty fertilizers	81,532	73,286	38,742	40,475
Iodine and derivatives	460,976	326,658	221,328	174,242
Lithium and derivatives	3,110,780	3,292,977	1,464,558	1,846,615
Potassium	153,097	296,484	66,165	182,426
Industrial chemicals	113,053	86,024	47,117	58,965
Other	9,268	10,870	5,097	6,246
- Services	2,057	1,859	1,174	1,009
- Income from property leases	80	506	33	431
- Income from subleases on right-of-use assets	5	72	5	35
- Commodities	1,825	3,019	1,283	1,854
- Other ordinary income of Commercial Offices	5,301	5,414	2,602	2,917
Total	4,315,591	4,618,630	2,051,741	2,598,812

 145

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

22.2 Cost of sales

Cost of sales broken down by nature of expense:

	For the period from January to June of the year				For the period from April to June of the year
Nature of expense	2023		2022		2023		2022
	ThUS$		ThUS$		ThUS$		ThUS$
Raw materials and consumables used	(330,130	)	(247,425	)	(167,243	)	(132,732	)
Classes of employee benefit expenses	(144,985	)	(143,951	)	(77,541	)	(76,447	)
Depreciation expense	(115,207	)	(102,582	)	(59,119	)	(53,935	)
Depreciation of Right-of-use Assets (contracts under IFRS 16)	(5,158	)	(3,123	)	(3,062	)	(1,629	)
Amortization expense	(8,202	)	(8,645	)	(3,526	)	(4,478	)
Investment plan expenses	(9,299	)	(5,222	)	(8,071	)	(2,310	)
Provision for materials, spare parts and supplies	(3,450	)	(6,494	)	(1,708	)	(2,783	)
Contractors	(95,508	)	(86,440	)	(37,840	)	(42,619	)
Operating leases	(42,524	)	(36,487	)	(20,278	)	(18,557	)
Mining patents	(3,665	)	(3,607	)	(2,010	)	(1,783	)
Operational transportation	(49,078	)	(39,326	)	(23,023	)	(20,704	)
Freight / product transportation costs	(51,270	)	(50,077	)	(29,802	)	(29,572	)
Purchase of products from third parties	(205,977	)	(245,701	)	(103,698	)	(135,165	)
Insurance	(30,360	)	(14,340	)	(15,745	)	(7,365	)
Corfo rights and other agreements	(1,265,130	)	(1,529,974	)	(543,737	)	(1,105,434	)
Export costs	(91,540	)	(88,548	)	(61,075	)	(56,709	)
Expenses related to variable lease payments (contracts under IFRS 16)	(2,213	)	(1,375	)	(1,009	)	(905	)
Variation in gross inventory	89,838		489,721		(22,449	)	401,564
Variation in inventory provision	(19,919	)	7		(20,491	)	1,193
Other	(11,127	)	(32,951	)	4,774		(11,009	)
Total	(2,394,904	)	(2,156,540	)	(1,196,653	)	(1,301,379	)

 146

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

22.3 Other income

	For the period from January to June of the year			For the period from April to June of the year
Other income	2023		2022	2023		2022
	ThUS$		ThUS$	ThUS$		ThUS$
Discounts obtained from suppliers	968		588	579		320
Fines charged to suppliers	3,704		24	74		12
Amounts recovered from insurance	784		80	195		-
Overestimate of provisions for third-party obligations	447		283	90		123
Sale of assets classified as properties, plant and equipment	3		142	1		-
Sales of materials, parts and supplies	(87	)	126	(137	)	29
Easements, pipelines and roads	1,000		1,894	1,000		1,000
Recovery of legal expenses for the California project	-		1,029	-		743
Government Grants (1)	24,387		-	12,144		-
Others	982		750	581		67
Total	32,188		4,916	14,527		2,294

(1) The Company received an unconditional government grant for US$24,387 in June 2023, related to the permanence of its commercial office of SQM Shanghai Chemicals Co. Ltd. in the current district, which was recognized as part of this category.

22.4 Administrative expenses

	For the period from January to June of the year				For the period from April to June of the year
Administrative expenses	2023		2022		2023		2022
	ThUS$		ThUS$		ThUS$		ThUS$
Employee benefit expenses	(43,064	)	(33,455	)	(20,647	)	(15,165	)
Marketing costs	(3,591	)	(2,497	)	(2,079	)	(1,698	)
Amortization expenses	(227	)	(65	)	(139	)	(39	)
Entertainment expenses	(3,087	)	(2,030	)	(2,109	)	(1,440	)
Advisory services	(12,223	)	(10,009	)	(7,994	)	(6,429	)
Lease of buildings and facilities	(2,736	)	(1,758	)	(2,370	)	(1,559	)
Insurance	(1,700	)	(1,802	)	(842	)	(385	)
Office expenses	(5,361	)	(3,782	)	(2,134	)	(1,730	)
Contractors	(4,484	)	(3,575	)	(1,969	)	(1,583	)
Depreciation of Right-of-use Assets (contracts under IFRS 16)	(1,449	)	(1,366	)	(780	)	(542	)
Other expenses	(8,709	)	(6,605	)	(4,095	)	(2,995	)
Total	(86,631	)	(66,944	)	(45,158	)	(33,565	)

 147

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

22.5 Other expenses

	For the period from January to June of the year				For the period from April to June of the year
Other expenses	2023		2022		2023		2022
	ThUS$		ThUS$		ThUS$		ThUS$
Depreciation and amortization expense
Depreciation of assets not in use	-		-		-		-
Subtotal	-		-		-		-
Impairment losses / reversals of impairment losses recognized in profit for the year
Properties, plant and equipment	(10,591	)	(291	)	(10,591	)	-
Intangible assets other than goodwill			-		-		-
Goodwill	(9	)	(16,938	)	(9	)	(16,938	)
Amortization of intangible assets	-		-		-		3
Subtotal	(10,600	)	(17,229	)	(10,600	)	(16,935	)
Other expenses, by nature
Legal expenses	13,467		(675	)	14,694		(326	)
VAT and other unrecoverable taxes	(1,657	)	(310	)	(785	)	72
Fines paid	(301	)	(272	)	(197	)	(238	)
Investment plan expenses	(4,759	)	(727	)	(2,397	)	(540	)
Exploration expenses	-		-		17		-
Contributions and donations	(17,557	)	(4,041	)	(6,474	)	(1,496	)
Other operating expenses	(575	)	(1,247	)	(282	)	(487	)
Subtotal	(11,382	)	(7,272	)	4,576		(3,015	)
Total	(21,982	)	(24,501	)	(6,024	)	(19,950	)

22.6 Other gains (losses)

	For the period from January to June of the year				For the period from April to June of the year
Other gains (losses)	2023		2022		2023		2022
	ThUS$		ThUS$		ThUS$		ThUS$
Adjustment to prior periods due to applying the equity method	(321	)	(93	)	(35	)	(54	)
Impairment of interests in associates	633		522		633		-
Others	976		(756	)	977		(756	)
Total	1,288		(327	)	1,575		(810	)

22.7 (Impairment) reversal of value of financial assets impairment losses

	For the period from January to June of the year				For the period from April to June of the year
(Impairment) reversal of value of financial assets impairment losses	2023		2022		2023		2022
	ThUS$		ThUS$		ThUS$		ThUS$
(Impairment) reversal of value of financial assets impairment losses (See Note 13.2)	(1,620	)	(8,457	)	(643	)	(3,492	)
Total	(1,620	)	(8,457	)	(643	)	(3,492	)

 148

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

22.8 Summary of expenses by nature

The following summary considers notes 22.2, 22.4 and 22.5

	For the period from January to June of the year				For the period from April to June of the year
Expenses by nature	2023		2022		2023		2022
	ThUS$		ThUS$		ThUS$		ThUS$
Raw materials and consumables	(330,130	)	(247,425	)	(167,243	)	(132,732	)
Employee benefit expenses	(188,049	)	(177,406	)	(98,188	)	(91,612	)
Depreciation expense	(115,207	)	(102,582	)	(59,119	)	(53,935	)
Depreciation of right-of-use assets	(6,607	)	(4,489	)	(3,842	)	(2,171	)
Impairment of properties, plant and equipment, intangible and Goodwill	(10,600	)	(17,229	)	(10,600	)	(16,935	)
Amortization expense	(8,429	)	(8,710	)	(3,665	)	(4,514	)
Legal expenses	13,467		(675	)	14,694		(326	)
Investment plan expenses	(14,058	)	(5,949	)	(10,468	)	(2,850	)
Exploration expenses	-		-		17		-
Provision for materials, spare parts and supplies	(3,450	)	(6,494	)	(1,708	)	(2,783	)
Contractors	(99,992	)	(90,015	)	(39,809	)	(44,202	)
Operational leases	(45,260	)	(38,245	)	(22,648	)	(20,116	)
Mining patents	(3,665	)	(3,607	)	(2,010	)	(1,783	)
Operational transportation	(49,078	)	(39,326	)	(23,023	)	(20,704	)
Freight and product transportation costs	(51,270	)	(50,077	)	(29,802	)	(29,572	)
Purchase of products from third parties	(205,977	)	(245,701	)	(103,698	)	(135,165	)
Corfo rights y other agreements	(1,265,130	)	(1,529,974	)	(543,737	)	(1,105,434	)
Export costs	(91,540	)	(88,548	)	(61,075	)	(56,709	)
Expenses related to variable lease payments (contracts under IFRS 16)	(2,213	)	(1,375	)	(1,009	)	(905	)
Insurance	(32,060	)	(16,142	)	(16,587	)	(7,750	)
Consultant and advisor services	(12,223	)	(10,009	)	(7,994	)	(6,429	)
Variation in gross inventory	89,838		489,721		(22,449	)	401,564
Variation in inventory provision	(19,919	)	7		(20,491	)	1,193
Other expenses	(51,965	)	(53,735	)	(13,381	)	(21,024	)
Total expenses by nature	(2,503,517	)	(2,247,985	)	(1,247,835	)	(1,354,894	)

22.9 Finance expenses

	For the period from January to June of the year				For the period from April to June of the year
Finance expenses	2023		2022		2023		2022
	ThUS$		ThUS$		ThUS$		ThUS$
Interest expense from bank borrowings and overdrafts	(1,966	)	(1,518	)	(924	)	(759	)
Interest expense from bonds	(50,888	)	(53,971	)	(23,866	)	(26,897	)
Interest expense from loans	(13,150	)	(675	)	(8,474	)	(427	)
Reversal of capitalized interest expenses	18,490		10,209		9,971		5,668
Financial expenses for restoration and rehabilitation provisions	(1,420	)	(1,321	)	(501	)	(405	)
Interest on lease agreement	(804	)	(619	)	(444	)	(159	)
Other finance costs	(9,582	)	(913	)	(7,734	)	(381	)
Total	(59,320	)	(48,808	)	(31,972	)	(23,360	)

 149

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

22.10 Finance income

	For the period from January to June of the year		For the period from April to June of the year
Finance income	2023	2022	2023	2022
	ThUS$	ThUS$	ThUS$	ThUS$
Interest from term deposits	34,259	7,937	13,244	5,510
Interest from marketable securities	13,982	762	5,928	732
Interest from maintenance of minimum bank balance in current account	6	-	3	-
Other finance income	1,541	583	759	350
Other finance interests	1,863	392	1,023	269
Total	51,651	9,674	20,957	6,861

 150

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

Note 23 Reportable segments

23.1 Reportable segments

(a) General information:

The amount of each item presented in each operating segment is equal to that reported to the highest authority that makes decisions regarding the operation, in order to decide on the allocation of resources to the defined segments and to assess its performance.

These operating segments mentioned are consistent with the way the Company is managed and how results will be reported by the Company. These segments reflect separate operating results that are regularly reviewed by the executive responsible for operational decisions in order to make decisions about the resources to be allocated to the segment and assess its performance (See Note 23.2).

The performance of each segment is measured based on net income and revenues. Inter-segment sales are made using terms and conditions at current market rates.

(b) Factors used to identify segments on which a report should be presented:

The segments covered in the report are strategic business units that offer different products and services. These are managed separately because each business requires different technology and marketing strategies.

(c) Description of the types of products and services from which each reportable segment obtains its income from ordinary activities

The operating segments as follows:

(i) Specialty plant nutrients

(ii) Iodine and its derivatives

(iii) Lithium and its derivatives

(iv) Industrial chemicals

(v) Potassium

(vi) Other products and services

(d) Description of income sources for all the other segments

Information regarding assets, liabilities, profits and expenses that cannot be assigned to the segments indicated above, due to the nature of production processes, is included under the “Unallocated amounts” category of the disclosed information.

 151

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

(e) Description of the nature of the differences between measurements of results of reportable segments and the result of the entity before the expense or income tax expense of incomes and discontinued operations

The information reported in the segments is extracted from the Company’s consolidated financial statements and therefore there is no need to prepare reconciliations between the data mentioned above and those reported in the respective segments, according to what is stated in paragraph 28 of IFRS 8, “Operating Segments”.

For the allocation of inventory valuation costs, we identify the direct expenses (can be directly allocated to products) and the common expenses (belong to coproduction processes, for example common leaching expenses for production of Iodine and Nitrates), Direct costs are directly allocated to the product and the common costs are distributed according to percentages that consider different variables in their determination, such as margins, rotation of inventories, revenue, production etc.

The allocation of other common costs that are not included in the inventory valuation process, but go straight to the cost of sales, use similar criteria: the costs associated with a product or sales in particular are assigned to that particular product or sales, and the common costs associated with different products or business lines are allocated according to the sales.

(f) Description of the nature of the differences between measurements of assets of reportable segments and the Company´s assets

Assets are not shown classified by segments, as this information is not readily available, some of these assets are not separable by the type of activity by which they are affected since this information is not used by management in decision-making with respect to resources to be allocated to each defined segment. All assets are disclosed in the “unallocated amounts” category.

(g) Description of the nature of the differences between measurements of liabilities of reportable segments and the Company’s liabilities

Liabilities are not shown classified by segments, as this information is not readily available, some of these liabilities are not separable by the type of activity by which they are affected, since this information is not used by management in decision-making regarding resources to be allocated to each defined segment. All liabilities are disclosed in the “unallocated amounts” category.

 152

Notes to the Consolidated Interim Financial Statements June 30, 2023

23.2 Reportable segment disclosures:

Operating segment items as of and for the period ended June 30, 2023	Specialty plant nutrients			Iodine and its derivatives			Lithium and its derivatives			Industrial chemicals			Potassium			Other products and services			Reportable segments			Operating segments			Unallocated amounts			Total as of June 30, 2023
	ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$
Revenue		468,417			460,976			3,110,780			113,053			153,097			9,268			4,315,591			4,315,591			-			4,315,591
Revenues from transactions with other operating segments of the same entity		-			-			-			-			-			-			-			-			-			-
Revenues from external customers and transactions with other operating segments of the same entity		468,417			460,976			3,110,780			113,053			153,097			9,268			4,315,591			4,315,591			-			4,315,591
Costs of sales		(337,968	)		(170,666	)		(1,666,645	)		(95,861	)		(113,235	)		(10,529	)		(2,394,904	)		(2,394,904	)		-			(2,394,904	)
Administrative expenses		-			-			-			-			-			-			-			-			(86,631	)		(86,631	)
Finance expense		-			-			-			-			-			-			-			-			(59,320	)		(59,320	)
Depreciation and amortization expense		(32,614	)		(26,663	)		(55,893	)		(7,313	)		(7,717	)		(43	)		(130,243	)		(130,243	)		-			(130,243	)
The entity’s interest in the profit or loss of associates and joint ventures accounted for by the equity method		-			-			-			-			-			-			-			-			(2,669	)		(2,669	)
Income before taxes		130,449			290,310			1,444,135			17,192			39,862			(1,261	)		1,920,687			1,920,687			(85,118	)		1,835,569
Income tax expense		-			-			-			-			-			-			-			-			(503,265	)		(503,265	)
Net income (loss)		130,449			290,310			1,444,135			17,192			39,862			(1,261	)		1,920,687			1,920,687			(588,383	)		1,332,304
Assets		-			-			-			-			-			-			-			-			10,561,940			10,561,940
Equity-accounted investees		-			-			-			-			-			-			-			-			65,925			65,925
Incorporation of non-current assets other than financial instruments, deferred tax assets, net defined benefit assets and rights arising from insurance contracts		-			-			-			-			-			-			-			-			2,315,432			2,315,432
Liabilities		-			-			-			-			-			-			-			-			5,610,935			5,610,935
Impairment loss of financial assets recognized in profit or loss		-			-			-			-			-			-			-			-			(1,620	)		(1,620	)
Impairment loss of non-financial assets recognized in profit or loss		-			-			-			-			-			-			-			-			-			-
Cash flows
Cash flows from operating activities		-			-			-			-			-			-			-			-			(10,759	)		(10,759	)
Cash flows used in investing activities		-			-			-			-			-			-			-			-			(123,013	)		(123,013	)
Cash flows from financing activities		-			-			-			-			-			-			-			-			(451,091	)		(451,091	)

 153

Notes to the Consolidated Interim Financial Statements June 30, 2023

Operating segment items as of and for the period ended June 30, 2022	Specialty plant nutrients			Iodine and its derivatives			Lithium and its derivatives			Industrial chemicals			Potassium			Other products and services			Reportable segments			Operating segments			Unallocated amounts			Total as of June 30, 2022
	ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$
Revenue		605,617			326,658			3,292,977			86,024			296,484			10,870			4,618,630			4,618,630			-			4,618,630
Revenues from transactions with other operating segments of the same entity		-			-			-			-			-			-			-			-			-			-
Revenues from external customers and transactions with other operating segments of the same entity		605,617			326,658			3,292,977			86,024			296,484			10,870			4,618,630			4,618,630			-			4,618,630
Costs of sales		(340,755	)		(133,066	)		(1,488,178	)		(51,842	)		(132,089	)		(10,610	)		(2,156,540	)		(2,156,540	)		-			(2,156,540	)
Administrative expenses		-			-			-			-			-			-			-			-			(66,944	)		(66,944	)
Finance expense		-			-			-			-			-			-			-			-			(48,808	)		(48,808	)
Depreciation and amortization expense		(28,220	)		(24,626	)		(43,574	)		(6,671	)		(12,617	)		(73	)		(115,781	)		(115,781	)		-			(115,781	)
The entity’s interest in the profit or loss of associates and joint ventures accounted for by the equity method		-			-			-			-			-			-			-			-			14,177			14,177
Income before taxes		264,862			193,592			1,804,799			34,182			164,395			260			2,462,090			2,462,090			(135,087	)		2,327,003
Income tax expense		-			-			-			-			-			-			-			-			(668,086	)		(668,086	)
Net income (loss)		264,862			193,592			1,804,799			34,182			164,395			260			2,462,090			2,462,090			(803,173	)		1,658,917
Assets		-			-			-			-			-			-			-			-			9,279,197			9,279,197
Equity-accounted investees		-			-			-			-			-			-			-			-			38,117			38,117
Incorporation of non-current assets other than financial instruments, deferred tax assets, net defined benefit assets and rights arising from insurance contracts		-			-			-			-			-			-			-			-			1,206,350			1,206,350
Liabilities		-			-			-			-			-			-			-			-			5,709,014			5,709,014
Impairment loss of financial assets recognized in profit or loss		-			-			-			-			-			-			-			-			(8,457	)		(8,457	)
Impairment loss of non-financial assets recognized in profit or loss		-			-			-			-			-			-			-			-			(17,229	)		(17,229	)
Cash flows
Cash flows from operating activities		-			-			-			-			-			-			-			-			1,458,378			1,458,378
Cash flows used in investing activities		-			-			-			-			-			-			-			-			(122,113	)		(122,113	)
Cash flows from financing activities		-			-			-			-			-			-			-			-			(842,049	)		(842,049	)

 154

Notes to the Consolidated Interim Financial Statements June 30, 2023

23.3 Statement of comprehensive income classified by reportable segments based on groups of products

Items in the statement of comprehensive income as of and for the period ended June 30, 2023	Specialty plant nutrients			Iodine and its derivatives			Lithium and its derivatives			Industrial chemicals			Potassium			Other products and services			Corporate Unit			Total segments and corporate unit
	ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$
Revenue		468,417			460,976			3,110,780			113,053			153,097			9,268			-			4,315,591
Costs of sales		(337,968	)		(170,666	)		(1,666,645	)		(95,861	)		(113,235	)		(10,529	)		-			(2,394,904	)
Gross profit		130,449			290,310			1,444,135			17,192			39,862			(1,261	)		-			1,920,687
Other incomes by function		-			-			-			-			-			-			32,188			32,188
Administrative expenses		-			-			-			-			-			-			(86,631	)		(86,631	)
Other expenses by function		-			-			-			-			-			-			(21,982	)		(21,982	)
Impairment of gains and review of impairment losses (impairment losses) determined in accordance with IFRS 9		-			-			-			-			-			-			(1,620	)		(1,620	)
Other losses		-			-			-			-			-			-			1,288			1,288
Financial income		-			-			-			-			-			-			51,651			51,651
Financial costs		-			-			-			-			-			-			(59,320	)		(59,320	)
Interest in the profit (loss) of associates and joint ventures accounted for by the equity method		-			-			-			-			-			-			(2,669	)		(2,669	)
Exchange differences		-			-			-			-			-			-			1,977			1,977
Profit (loss) before taxes		130,449			290,310			1,444,135			17,192			39,862			(1,261	)		(85,118	)		1,835,569
Income tax expense		-			-			-			-			-			-			(503,265	)		(503,265	)
Profit (loss) net		130,449			290,310			1,444,135			17,192			39,862			(1,261	)		(588,383	)		1,332,304

 155

Notes to the Consolidated Interim Financial Statements June 30, 2023

Items in the statement of comprehensive income as of and for the period ended  June 30, 2022	Specialty plant nutrients			Iodine and its derivatives			Lithium and its derivatives			Industrial chemicals			Potassium			Other products and services			Corporate Unit			Total segments and corporate unit
	ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$			ThUS$
Revenue		605,617			326,658			3,292,977			86,024			296,484			10,870			-			4,618,630
Costs of sales		(340,755	)		(133,066	)		(1,488,178	)		(51,842	)		(132,089	)		(10,610	)		-			(2,156,540	)
Gross profit		264,862			193,592			1,804,799			34,182			164,395			260			-			2,462,090
Other incomes by function		-			-			-			-			-			-			4,916			4,916
Administrative expenses		-			-			-			-			-			-			(66,944	)		(66,944	)
Other expenses by function		-			-			-			-			-			-			(24,501	)		(24,501	)
Impairment of gains and review of impairment losses (impairment losses) determined in accordance with IFRS 9		-			-			-			-			-			-			(8,457	)		(8,457	)
Other losses		-			-			-			-			-			-			(327	)		(327	)
Financial income		-			-			-			-			-			-			9,674			9,674
Financial costs		-			-			-			-			-			-			(48,808	)		(48,808	)
Interest in the profit (loss) of associates and joint ventures accounted for by the equity method		-			-			-			-			-			-			14,177			14,177
Exchange differences		-			-			-			-			-			-			(14,817	)		(14,817	)
Profit (loss) before taxes		264,862			193,592			1,804,799			34,182			164,395			260			(135,087	)		2,327,003
Income tax expense		-			-			-			-			-			-			(668,086	)		(668,086	)
Profit (loss) net		264,862			193,592			1,804,799			34,182			164,395			260			(803,173	)		1,658,917

 156

Notes to the Consolidated Interim Financial Statements June 30, 2023

23.4 Disclosures on geographical areas

As indicated in paragraph 33 of IFRS 8, the entity discloses geographical information on its revenue from operating activities with external customers and from non-current assets that are not financial instruments, deferred income tax assets, assets related to post-employment benefits or rights derived from insurance contracts.

23.5 Disclosures on main customers

With respect to the degree of dependency of the Company on its customers, in accordance with paragraph 34 of IFRS 8, the Company has no external customers who individually represent 10% or more of its revenue.

 157

Notes to the Consolidated Interim Financial Statements June 30, 2023

23.6 Segments by geographical areas

Segments by geographical areas	Chile		Latin America and the Caribbean		Europe		North America		Asia and others		Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Revenue for the period ended June 30, 2023		55,252		123,936		486,553		446,362		3,203,488		4,315,591
Non-current assets at June 30, 2023
Investment accounted for under the equity method		-		19,582		14,669		18,194		13,480		65,925
Intangible assets other than goodwill		69,698		394		6,921		1,112		82,511		160,636
Goodwill		-		86		148		724		-		958
Property, plant and equipment, net		2,550,508		755		14,196		5,552		576,877		3,147,888
Right-of-use assets		29,913		33		3,738		4,557		25,440		63,681
Other non-current assets		49,450		18		-		4,706		135		54,309
Non-current assets		2,699,569		20,868		39,672		34,845		698,443		3,493,397

Segments by geographical areas	Chile		Latin America and the Caribbean		Europe		North America		Asia and others		Total
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Revenue for the period ended June 30, 2022		104,379		240,750		434,011		473,910		3,365,580		4,618,630
Non-current assets at December 31, 2022
Investment accounted for under the equity method		-		20,792		15,939		17,655		-		54,386
Intangible assets other than goodwill		75,666		428		6,497		1,345		82,400		166,336
Goodwill		-		86		158		723		-		967
Property, plant and equipment, net		2,269,923		743		14,978		4,506		436,688		2,726,838
Right-of-use assets		32,312		47		1,651		2,739		24,118		60,867
Other non-current assets		46,640		17		6		4,706		1,027		52,396
Non-current assets		2,424,541		22,113		39,229		31,674		544,233		3,061,790

 158

Notes to the Consolidated Interim Financial Statements June 30, 2023

Note 24    Effect of fluctuations in foreign currency exchange rates

(a) Reserves for foreign currency exchange differences:

For the periods ended June 30, 2023, and December 2022, are detailed as follows:

Details	June 30,  2023			December 31,   2022
	ThUS$			ThUS$
Changes in equity generated by the equity method value through conversion:
Comercial Hydro S.A.		1,004			1,004
SQMC Internacional Ltda.		(9	)		(9	)
Proinsa Ltda.		(10	)		(10	)
Comercial Agrorama Ltda.		137			175
Isapre Norte Grande Ltda.		(81	)		(130	)
Almacenes y Depósitos Ltda.		646			568
Sacal S.A.		(3	)		(3	)
Sociedad Prestadora de Servicios de Salud Cruz del Norte S.A.		(29	)		(38	)
Agrorama S.A.		483			666
SQM Vitas Fzco		(1,897	)		(3,614	)
Ajay Europe		(1,650	)		(1,911	)
SQM Oceanía Pty Ltd.		(579	)		(579	)
SQM Indonesia S.A.		(124	)		(124	)
SQM Holland B.V.		99			99
SQM Thailand Limited		(68	)		(68	)
SQM Europe		(1,983	)		(1,983	)
SQM Australia Pty Ltd.		(1,591	)		(1,642	)
Pavoni & C. Spa		(282	)		(363	)
SQM Colombia SAS		(80	)		(80	)
Total		(6,017	)		(8,042	)

(b) Functional and presentation currency

The functional currency of these companies corresponds to the currency of the country of origin of each entity, and its presentation currency is the dollar.

(c) Reasons to use one presentation currency and a different functional currency

– A relevant portion of the revenues of these subsidiaries are associated with the local currency.

– The cost structure of these companies is affected by the local currency.

 159

Notes to the Consolidated Interim Financial Statements June 30, 2023

Note 25   Disclosures on the effects of fluctuations in foreign currency exchange rates

a) Assets held in foreign currency subject to fluctuations in exchange rates are detailed as follows:

Class of assets	Currency	As of  June 30,  2023		As of   December 31,  2022
		ThUS$		ThUS$
Cash and cash equivalents	USD		1,142,614		1,637,507
Cash and cash equivalents	CLP		635,890		806,106
Cash and cash equivalents	CNY		158,630		92,394
Cash and cash equivalents	EUR		6,935		14,963
Cash and cash equivalents	GBP		1		1
Cash and cash equivalents	AUD		108,557		89,602
Cash and cash equivalents	MXN		911		1,406
Cash and cash equivalents	AED		299		2
Cash and cash equivalents	JPY		973		686
Cash and cash equivalents	ZAR		7,030		11,647
Cash and cash equivalents	KRW		926		918
Cash and cash equivalents	IDR		3		3
Cash and cash equivalents	PLN		1		1
Subtotal cash and cash equivalents			2,062,770		2,655,236
Other current financial assets	USD		28,117		722,165
Other current financial assets	BRL		114		39
Other current financial assets	CLP		562,499		239,151
Subtotal other current financial assets			590,730		961,355
Other current non-financial assets	USD		18,857		35,237
Other current non-financial assets	AUD		3,983		9,516
Other current non-financial assets	CLF		114		259
Other current non-financial assets	CLP		63,938		85,608
Other current non-financial assets	CNY		236,368		56,404
Other current non-financial assets	EUR		541		1,046
Other current non-financial assets	COP		230		217
Other current non-financial assets	MXN		3,369		4,685
Other current non-financial assets	THB		2		2
Other current non-financial assets	JPY		172		158
Other current non-financial assets	ZAR		347		3,203
Other current non-financial assets	KRW		9,556		-
Subtotal other non-financial current assets			337,477		196,335
Trade and other receivables	USD		672,580		788,596
Trade and other receivables	BRL		23		22
Trade and other receivables	CLF		1,456		550
Trade and other receivables	CLP		58,516		58,412
Trade and other receivables	CNY		195,457		161,492
Trade and other receivables	EUR		35,831		36,318
Trade and other receivables	GBP		786		76
Trade and other receivables	MXN		995		889
Trade and other receivables	AED		1,737		3,116
Trade and other receivables	JPY		40		129
Trade and other receivables	AUD		1,042		1,708
Trade and other receivables	ZAR		13,562		33,361
Trade and other receivables	COP		2,685		2,751
Trade and other receivables	KRW		8		-
Subtotal trade and other receivables			984,718		1,087,420
Receivables from related parties	USD		56,890		79,331
Receivables from related parties	EUR		6,047		1,250
Receivables from related parties	AUD		-		1,041
Subtotal receivables from related parties			62,937		81,622

 160

Notes to the Consolidated Interim Financial Statements June 30, 2023

Class of assets	Currency	As of  June 30,  2023		As of  December 31,  2022
		ThUS$		ThUS$
Current inventories	USD		1,854,200		1,784,281
Subtotal Current Inventories			1,854,200		1,784,281
Current tax assets	USD		191,691		127,068
Current tax assets	BRL		2		1
Current tax assets	CLP		1,601		2,125
Current tax assets	CNY		73,695		77,397
Current tax assets	EUR		14,026		14,042
Current tax assets	MXN		1,898		59
Current tax assets	ZAR		431		28
Current tax assets	COP		2,195		1,481
Current tax assets	KRW		1		2,713
Subtotal current tax assets			285,540		224,914
Non-current assets or groups of assets classified as held for sale	USD		361		346
Subtotal Non-current assets or groups of assets classified as held for sale			361		346
Total current assets			6,178,733		6,991,509
Other non-current financial assets	USD		56,371		32,126
Subtotal Other non-current financial assets			56,371		32,126
Other non-current non-financial assets	USD		54,309		52,396
Subtotal Other non-current non-financial assets			54,309		52,396
Other receivables, non-current	USD		715		713
Other receivables, non-current	CLF		79		77
Other receivables, non-current	MXN		240		88
Other receivables, non-current	KRW		653		-
Other receivables, non-current	CLP		696		1,213
Subtotal Other receivables, non-current			2,383		2,091
Investments classified using the equity method of accounting	USD		36,360		22,959
Investments classified using the equity method of accounting	AED		19,399		19,597
Investments classified using the equity method of accounting	EUR		10,166		11,830
Subtotal Investments classified using the equity method of accounting			65,925		54,386
Intangible assets other than goodwill	USD		160,636		166,336
Subtotal intangible assets other than goodwill			160,636		166,336
Purchases goodwill, gross	USD		958		967
Subtotal Purchases goodwill, gross			958		967
Property, plant and equipment	USD		3,147,888		2,726,838
Subtotal property, plant and equipment			3,147,888		2,726,838
Right-of-use assets	USD		63,681		60,867
Subtotal Right-of-use assets			63,681		60,867
Non-current tax assets	USD		201,317		127,114
Subtotal non-current tax assets			201,317		127,114
Deferred Tax Assets	USD		629,739		604,471
Subtotal Deferred Tax Assets			629,739		604,471
Total non-current assets			4,383,207		3,827,592
Total assets			10,561,940		10,819,101

 161

Notes to the Consolidated Interim Financial Statements
June 30, 2023

			As of June 30, 2023						As of December 31, 2022
Class of liability	Currency		Up to 90 days		More than 90 days to 1 year		Total		Up to 90 days		More than 90 days to 1 year		Total
			ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Current liabilities
Other current financial liabilities		USD		97,360		761,496		858,856		120,652		381,922		502,574
Other current financial liabilities		CLF		21,849		351		22,200		20,094		331		20,425
Subtotal other current financial liabilities				119,209		761,847		881,056		140,746		382,253		522,999
Lease liabilities, current		USD		-		7,488		7,488		-		6,549		6,549
Lease liabilities, current		CLF		-		2,569		2,569		-		2,331		2,331
Lease liabilities, current		MXN		-		1,972		1,972		-		436		436
Lease liabilities, current		EUR		-		430		430		-		387		387
Lease liabilities, current		AUD		-		1,912		1,912		-		2,446		2,446
Subtotal Lease liabilities, current				-		14,371		14,371		-		12,149		12,149
Trade and other payables		USD		280,916		6		280,922		121,260		110		121,370
Trade and other payables		CLF		1,370		-		1,370		2,618		-		2,618
Trade and other payables		BRL		6		-		6		10		-		10
Trade and other payables		THB		4		-		4		4		-		4
Trade and other payables		CLP		171,971		28		171,999		162,470		-		162,470
Trade and other payables		CNY		-		-		-		4,757		-		4,757
Trade and other payables		EUR		51,702		143		51,845		56,118		564		56,682
Trade and other payables		GBP		18		-		18		18		-		18
Trade and other payables		INR		-		-		-		-		-		-
Trade and other payables		MXN		889		-		889		802		-		802
Trade and other payables		AUD		31,722		-		31,722		24,394		-		24,394
Trade and other payables		ZAR		-		639		639		1,256		-		1,256
Trade and other payables		AED		24		-		24		72		-		72
Trade and other payables		JPY		-		4,631		4,631		-		-		-
Trade and other payables		CHF		24		-		24		32		-		32
Trade and other payables		COP		306		-		306		115		-		115
Trade and other payables		CAD		2		-		2		-		-		-
Trade and other payables		KRW		885		-		885		189		-		189
Subtotal trade and other payables				539,839		5,447		545,286		374,115		674		374,789
Trade payables due to related parties		USD		1,689		-		1,689		-		-		-
Subtotal Trade payables due to related parties				1,689		-		1,689		-		-		-
Other current provisions		USD		775,061		260		775,321		1,300,878		2,051		1,302,929
Other current provisions		CLP		445		-		445		-		217		217
Other current provisions		JPY		127		28		155		-		-		-
Subtotal other current provisions				775,633		288		775,921		1,300,878		2,268		1,303,146

 162

Notes to the Consolidated Interim Financial Statements
June 30, 2023

			As of June 30, 2023						As of December 31, 2022
Class of liability	Currency		Up to 90 days		91 days to 1 year		Total		Up to 90 days		91 days to 1 year		Total
			ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Current tax liabilities		USD		-		38,948		38,948		-		348,658		348,658
Current tax liabilities		CLP		-		905		905		-		999		999
Current tax liabilities		EUR		-		7,457		7,457		-		1,386		1,386
Current tax liabilities		MXN		-		-		-		-		5,568		5,568
Current tax liabilities		CNY		-		10,654		10,654		-		-		-
Current tax liabilities		AUD		-		62		62		-		-		-
Current tax liabilities		JPY		-		41		41		-		-		-
Current tax liabilities		KRW		-		939		939		-		-		-
Subtotal current tax liabilities				-		59,006		59,006		-		356,611		356,611
Provisions for employee benefits, current		USD		11,840		-		11,840		25,867		8,631		34,498
Provisions for employee benefits, current		AUD		297		-		297		390		-		390
Provisions for employee benefits, current		EUR		38		-		38		385		-		385
Provisions for employee benefits, current		MXN		1		-		1		103		-		103
Provisions for employee benefits, current		CLP		236		-		236		-		-		-
Subtotal Provisions for employee benefits, current				12,412		-		12,412		26,745		8,631		35,376
Other current non-financial liabilities		USD		255,487		96		255,583		393,401		98		393,499
Other current non-financial liabilities		BRL		11		-		11		1		-		1
Other current non-financial liabilities		CLP		29,805		1,554		31,359		8,281		39,456		47,737
Other current non-financial liabilities		CNY		45		-		45		92		-		92
Other current non-financial liabilities		EUR		1,519		552		2,071		1,564		250		1,814
Other current non-financial liabilities		MXN		643		-		643		725		14		739
Other current non-financial liabilities		JPY		47		9		56		47		-		47
Other current non-financial liabilities		COP		48		-		48		250		-		250
Other current non-financial liabilities		ARS		51		-		51		26		-		26
Other current non-financial liabilities		ZAR		878		-		878		-		1		1
Other current non-financial liabilities		KRW		6,547		-		6,547		2,271		-		2,271
Subtotal other current non-financial liabilities				295,081		2,211		297,292		406,658		39,819		446,477
Total current liabilities				1,743,863		843,170		2,587,033		2,249,142		802,405		3,051,547

 163

Notes to the Consolidated Interim Financial Statements
June 30, 2023

			As of June 30, 2023
Class of liability	Currency		Over 1 year to 2 years		Over 2 years to 3 years		Over 3 years to 4 years		Over 4 years to 5 years		Over 5 years		Total
			ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Non-current liabilities
Other non-current financial liabilities		USD		249,747		197,933		97,032		-		1,530,088		2,074,800
Other non-current financial liabilities		CLF		-		-		-		-		433,868		433,868
Subtotal Other non-current financial liabilities				249,747		197,933		97,032		-		1,963,956		2,508,668
Non-current lease liabilities		USD		-		11,913		-		2,647		-		14,560
Non-current lease liabilities		CLP		-		-		-		22		-		22
Non-current lease liabilities		CLF		-		-		-		9,961		-		9,961
Non-current lease liabilities		MXN		-		-		-		1,359		-		1,359
Non-current lease liabilities		EUR		-		-		-		3,533		-		3,533
Non-current lease liabilities		AUD		-		-		-		20,381		-		20,381
Subtotal non-current lease liabilities				-		11,913		-		37,903		-		49,816
Non-current Trade and other payables		USD		-		-		-		-		-		-
Subtotal Non-current Trade and other payables				-		-		-		-		-		-
Other non-current provisions		USD		-		29,309		-		-		32,723		62,032
Subtotal Other non-current provisions				-		29,309		-		-		32,723		62,032
Deferred tax liabilities		USD		-		338,625		-		-		-		338,625
Subtotal Deferred tax liabilities				-		338,625		-		-		-		338,625
Provisions for employee benefits, non-current		USD		49,043		-		-		-		14,399		63,442
Provisions for employee benefits, non-current		CLP		669		-		-		-		-		669
Provisions for employee benefits, non-current		MXN		364		-		-		-		-		364
Provisions for employee benefits, non-current		AUD		-		-		-		-		55		55
Provisions for employee benefits, non-current		JPY		200		-		-		-		-		200
Provisions for employee benefits, non-current		EUR		31		-		-		-		-		31
Subtotal Provisions for employee benefits, non-current				50,307		-		-		-		14,454		64,761
Total non-current liabilities				300,054		577,780		97,032		37,903		2,011,133		3,023,902
Total liabilities														5,610,935

 164

Notes to the Consolidated Interim Financial Statements
June 30, 2023

			As of December 31, 2022
Class of liability	Currency		Over 1 year to 2 years		Over 2 years to 3 years		Over 3 years to 4 years		Over 4 years to 5 years		Over 5 years		Total
			ThUS$		ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Non-current liabilities
Other non-current financial liabilities		USD		-		197,521		249,531		-		1,544,654		1,991,706
Other non-current financial liabilities		CLF		-		-		-		-		402,512		402,512
Subtotal Other non-current financial liabilities				-		197,521		249,531		-		1,947,166		2,394,218
Non-current lease liabilities		USD		-		13,566		-		22,500		-		36,066
Non-current lease liabilities		CLP		-		-		-		23		-		23
Non-current lease liabilities		CLF		-		-		-		10,982		-		10,982
Non-current lease liabilities		MXN		-		-		-		1,094		-		1,094
Non-current lease liabilities		EUR		-		-		-		1,420		-		1,420
Subtotal non-current lease liabilities				-		13,566		-		36,019		-		49,585
Non-current Trade and other payables		USD		-		-		-		-		-		-
Subtotal Non-current Trade and other payables				-		-		-		-		-		-
Other non-current provisions		USD		-		3,648		-		26,200		28,205		58,053
Subtotal Other non-current provisions				-		3,648		-		26,200		28,205		58,053
Deferred tax liabilities		USD		-		289,825		-		-		-		289,825
Subtotal Deferred tax liabilities				-		289,825		-		-		-		289,825
Provisions for employee benefits, non-current		USD		34,326		-		-		-		9,006		43,332
Provisions for employee benefits, non-current		CLP		540		-		-		-		-		540
Subtotal Provisions for employee benefits, non-current				34,866		-		-		-		9,006		43,872
Total non-current liabilities				34,866		504,560		249,531		62,219		1,984,377		2,835,553
Total liabilities														5,887,100

b) Effects of changes in foreign currency exchange rates on the statement of net income and other comprehensive income.

	For the period from January to June of the year
Foreign currency exchange rate changes	2023		2022
	ThUS$		ThUS$
Foreign currency loss		1,977		(14,817	)
Foreign currency translation reserve		1,868		(28	)
Total		3,845		(14,845	)

The average and closing exchange rate for foreign currency is disclosed in Note 3.3

 165

Notes to the Consolidated Interim Financial Statements
June 30, 2023

Note 26    Income tax and deferred taxes

Tax receivables as of June 30, 2023 and December 31, 2022, are as follows:

26.1 Current and non-current tax assets

(a) Current

Current tax assets	As of June 30, 2023		As of December 31, 2022
	ThUS$		ThUS$
Monthly provisional income tax payments, Chilean companies		129,714		459
Monthly provisional income tax payments, foreign companies		23,199		94,327
Corporate tax credits (1)		1,215		822
1st category tax absorbed by tax losses (2)		581		169
Taxes in recovery process		130,831		129,137
Total		285,540		224,914

(b) Non-current

Non-current tax assets	As of June 30, 2023		As of December 31, 2022
	ThUS$		ThUS$
Total tax paid by SQM Salar (see note 21.3)		201,317		127,114
Total		201,317		127,114

(1) These credits are available for companies and are related to corporate tax payments in April of the following year. These credits include, among others, credits for training expenses (SENCE), credits for acquisition of fixed assets, donations and credits in Chile for taxes paid abroad.

(2) This concept corresponds to the tax loss absorption determined by the company at the end of the year, which must be attributed to the dividends received during the year.

 166

Notes to the Consolidated Interim Financial Statements
June 30, 2023

26.2 Current tax liabilities

Current tax liabilities	As of June 30, 2023		As of December 31, 2022
	ThUS$		ThUS$
1st Category income tax		27,494		337,245
Foreign company income tax		31,512		19,366
Article 21 single tax		-		-
Total		59,006		356,611

Income tax is calculated based on the profit or loss for tax purposes that is applied to the effective tax rate applicable in Chile. As established by Law No. 20,780 is 27%.

The royalty is determined by applying the taxable rate to the net operating income obtained, according to the chart in force. The Company currently provisioned 6.81% for mining royalties that involve operations in the Salar de Atacama and 5.0% for caliche extraction operations.

The income tax rate for the main countries where the Company operates is presented below:

	Income tax		Income tax
Country	2023		2022
Spain		25%		25%
Belgium		25%		25%
Mexico		30%		30%
United States		21% + 3.44%		21% + 3.51%
South Africa		27%		28%
South Korea		24%(2)		25%
China		25%+12%(1)		25%+12%(1)

(1) Additional tax of 12% on VAT payable.

(2) Sliding scale from 9% to 24% of taxable income.

 167

Notes to the Consolidated Interim Financial Statements
June 30, 2023

26.3 Income tax and deferred taxes

(a) Deferred tax assets and liabilities as of June 30, 2023

	Net liability position
Description of deferred tax assets and liabilities as of June 30, 2023	Assets		Liabilities
	ThUS$		ThUS$
Unrealized loss		659,404		-
Property, plant and equipment and capitalized interest (1)		-		(247,807	)
Restoration and rehabilitation provision		5,373		-
Manufacturing expenses		-		(184,358	)
Employee benefits and unemployment insurance		-		(6,071	)
Vacation accrual		9,209		-
Inventory provision		30,826		-
Materials provision		13,012		-
Others employee benefits		4,332		-
Research and development expenses		-		(13,517	)
Bad debt provision		1,817		-
Provision for legal complaints and expenses		5,820		-
Loan acquisition expenses		-		(9,141	)
Financial instruments recorded at market value		5,487		-
Specific tax on mining activity		-		(4,070	)
Tax loss benefit		15,117		-
Other		5,594		-
Foreign items (other)		87		-
Balances to date		756,078		(464,964	)
Net balance				291,114

(1) This includes right-of-use assets.

 168

Notes to the Consolidated Interim Financial Statements
June 30, 2023

(b) Deferred tax assets and liabilities as of December 31, 2022

	Net liability position
Description of deferred tax assets and liabilities as of December 31, 2022	Assets		Liabilities
	ThUS$		ThUS$
Unrealized loss		655,695		-
Property, plant and equipment and capitalized interest (1)		-		(244,560	)
Restoration and rehabilitation provision		4,685		-
Manufacturing expenses		-		(139,383	)
Employee benefits and unemployment insurance		-		(8,995	)
Vacation accrual		7,650		-
Inventory provision		27,512		-
Materials provision		11,915		-
Others employee benefits		1,177		-
Research and development expenses		-		(12,294	)
Bad debt provision		715		-
Provision for legal complaints and expenses		6,827		-
Loan acquisition expenses		-		(8,793	)
Financial instruments recorded at market value		5,226		-
Specific tax on mining activity		-		(5,799	)
Tax loss benefit		10,059		-
Other		2,913		-
Foreign items (other)		96		-
Balances to date		734,470		(419,824	)
Net balance				314,646

(1) This item includes right-of-use assets.

Deferred tax assets and liabilities in the consolidated statement of financial position as of June 30, 2023 and December 31, 2022, are as follows:

Movements of deferred tax assets and liabilities	As of June 30, 2023			As of December 31, 2022
	ThUS$			ThUS$
Deferred tax assets		629,739			604,471
Deferred tax liabilities		(338,625	)		(289,825	)
Total		291,114			314,646

 169

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

(c) Reconciliation of changes in deferred tax assets (liabilities) as of June 30, 2023

Reconciliation of changes in deferred tax assets (liabilities) in deferred tax as of June 30, 2023	Deferred tax asset (liability) at beginning of period		Deferred tax (expense) benefit recognized in profit loss for the year		Deferred taxes related to items (credited) charged directly to equity		Total change in deferred taxes		Deferred tax asset (liability) at end of period
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Unrealized loss	655,695		3,709		-		3,709		659,404
Property, plant and equipment and capitalized interest	(244,560	)	(3,247	)	-		(3,247	)	(247,807	)
Restoration and rehabilitation provision	4,685		688		-		688		5,373
Manufacturing expenses	(139,383	)	(44,975	)	-		(44,975	)	(184,358	)
Employee benefits and unemployment insurance	(8,995	)	(201	)	3,125		2,924		(6,071	)
Vacation accrual	7,650		1,559		-		1,559		9,209
Inventory provision	27,512		3,314		-		3,314		30,826
Materials provision	11,915		1,097		-		1,097		13,012
Derivative financial instruments	-		4,966		(4,966	)	-		-
Others employee benefits	1,177		3,155		-		3,155		4,332
Research and development expenses	(12,294	)	(1,223	)	-		(1,223	)	(13,517	)
Bad debt provision	715		1,102		-		1,102		1,817
Provision for legal complaints and expenses	6,827		(1,007	)	-		(1,007	)	5,820
Loan approval expenses	(8,793	)	(348	)	-		(348	)	(9,141	)
Financial instruments recorded at market value	5,226		-		261		261		5,487
Specific tax on mining activity	(5,799	)	1,719		10		1,729		(4,070	)
Tax loss benefit	10,059		5,058		-		5,058		15,117
Others	2,913		2,681		-		2,681		5,594
Foreign items (other)	96		(9	)	-		(9	)	87
Total temporary differences, unused losses and unused tax credits	314,646		(21,962	)	(1,570	)	(23,532	)	291,114

 170

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

(d)       Reconciliation of changes in deferred tax liabilities (assets) as of December 31, 2022

Reconciliation of changes in deferred tax assets (liabilities) in deferred tax as of December 31, 2022	Deferred tax asset (liability) at beginning of period		Deferred tax (expense) benefit recognized in profit loss for the year		Deferred taxes related to items (credited) charged directly to equity		Total change in deferred taxes		Deferred tax asset (liability) at end of period
	ThUS$		ThUS$		ThUS$		ThUS$		ThUS$
Unrealized loss	144,181		511,514		-		511,514		655,695
Property, plant and equipment and capitalized interest	(189,073	)	(55,487	)	-		(55,487	)	(244,560	)
Restoration and rehabilitation provision	6,567		(1,882	)	-		(1,882	)	4,685
Manufacturing expenses	(108,181	)	(31,202	)	-		(31,202	)	(139,383	)
Employee benefits and unemployment insurance	(7,486	)	(2,779	)	1,270		(1,509	)	(8,995	)
Vacation accrual	6,039		1,611		-		1,611		7,650
Inventory provision	20,557		6,955		-		6,955		27,512
Materials provision	10,554		1,361		-		1.361		11,915
Derivative financial instruments	-		7,172		(7,172	)	-		-
Others employee benefits	929		248		-		248		1,177
Research and development expenses	(5,387	)	(6,907	)	-		(6,907	)	(12,294	)
Bad debt provision	2,708		(1,993	)	-		(1,993	)	715
Provision for legal complaints and expenses	334		6,493		-		6,493		6,827
Loan approval expenses	(8,967	)	174		-		174		(8,793	)
Financial instruments recorded at market value	5,243		-		(17	)	(17	)	5,226
Specific tax on mining activity	(4,545	)	(1,257	)	3		(1,254	)	(5,799	)
Tax loss benefit	8,557		1,502		-		1,502		10,059
Others	(4,274	)	7,187		-		7,187		2,913
Foreign items (other)	11,828		(11,732	)	-		(11,732	)	96
Total temporary differences, unused losses and unused tax credits	(110,416	)	430,978		(5,916	)	425,062		314,646

(e)     Deferred taxes related to benefits for tax losses

The Company’s tax loss carryforwards were mainly generated by losses in Chile, which in accordance with current Chilean tax regulations have no expiration date.

As of June 30, 2023, and December 31, 2022, tax loss carryforwards are detailed as follows:

Deferred taxes related to benefits for tax losses	As of June 30, 2023	As of December 31, 2022
	ThUS$	ThUS$
Chile	12,200	10,059
Foreign	2,917	-
Total	15,117	10,059

The tax losses as of June 30, 2023, which are the basis for these deferred taxes correspond mainly to Comercial Hydro, Orcoma SpA., Orcoma Estudio SpA and SCM Búfalo, SQM Potasio S.A., SQM Holland B.V., SQM Africa Pty Ltda, SQM Iberian S.A. and SQM Ecuador S.A.

 171

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

(f)        Movements in deferred tax assets and liabilities

Movements in deferred tax assets and liabilities as of June 30, 2023 and December 31, 2022 are detailed as follows:

	Assets (liabilities)
Movements in deferred tax assets and liabilities	As of June 30, 2023			As of   December 31,  2022
	ThUS$			ThUS$
Deferred tax assets and liabilities, net opening balance		314,646			110,416
Increase (decrease) in deferred taxes in profit or loss		(21,962	)		(430,978	)
Increase (decrease) deferred taxes in equity		(1,570	)		5,916
Total		291,114			(314,646	)

(g)       Disclosures on income tax (expenses) benefit

Current and deferred tax (expenses) benefit are detailed as follows:

	(Expense) Income
Disclosures on income tax (expense) benefit	For the period ended June 30, 2023			For the period ended June 30,  2022
	ThUS$			ThUS$
Current income tax (expense) benefit
Current tax expense		(484,763	)		(1,152,152	)
Adjustments to prior year current income tax (expense) benefit		3,459			(549	)
Current income tax expense, net, total		(481,304	)		(1,152,701	)
Deferred tax (expense) benefit
Deferred tax benefits relating to the creation and reversal of temporary differences		(17,933	)		481,317
Tax adjustments related to the creation and reversal of temporary differences from the previous year		(4,028	)		3,298
Total deferred tax benefits, net		(21,961	)		484,615
Income tax expense		(503,265	)		(668,086	)

Income tax (expenses) benefits for foreign and domestic parties are detailed as follows:

	(Expense) Income
Income tax (expense) benefit	For the period ended June 30, 2023			For the period ended June 30, 2022
	ThUS$			ThUS$
Current income tax benefit (expense) by foreign and domestic parties, net
Current income tax (expenses), foreign parties, net		(48,769	)		(100,432	)
Current income tax (expenses), domestic, net		(432,535	)		(1,052,269	)
Current income tax expense, net, total		(481,304	)		(1,152,701	)
Deferred tax benefit (expense) by foreign and domestic parties, net
Current income tax benefit (expense) benefit, foreign parties, net		(34,279	)		13,807
Current income tax benefits, domestic, net		12,318			470,808
Deferred tax expense, net, total		(21,961	)		484,615
Income tax expense		(503,265	)		(668,086	)

 172

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

(h)       Disclosures on the tax effects of other comprehensive income components:

	For the period ended June 30, 2023
Income tax related to other income and expense components with a charge or credit to net equity	Amount before taxes (expense) gain		(Expense) income for income taxes		Amount after taxes
	ThUS$		ThUS$		ThUS$
(Losses) gains from defined benefit plans	(10,507	)	3,135		(7,372	)
Cash flow hedge	18,394		(4,966	)	13,428
Reserve for gains (losses) from financial assets measured at fair value through other comprehensive income	(968	)	261		(707	)
Total	6,919		(1,570	)	5,349

	For the period ended June 30, 2022
Income tax related to other income and expense components with a charge or credit to net equity	Amount before taxes (expense) gain	(Expense) income for income taxes		Amount after taxes
	ThUS$	ThUS$		ThUS$
Gains (losses) from defined benefit plans	67	(19	)	48
Cash flow hedges	26,614	(7,170	)	19,444
Reserve for gains (losses) from financial assets measured at fair value through other comprehensive income	4,205	(1,135	)	3,070
Total	30,886	(8,324	)	22,562

(i)        Explanation of the relationship between (expense) benefit for tax purposes and accounting income.

Based on IAS 12, paragraph 81, letter “c”, the company has estimated that the method that discloses the most significant information for users of the financial statements is the numeric conciliation between the tax benefit (expense) and the result of multiplying the accounting profit by the current rate in Chile. The aforementioned choice is based on the fact that the Company and subsidiaries established in Chile generate a large part of the Company’s tax benefit (expense). The amounts provided by subsidiaries established outside Chile have no relative importance in the overall context.

 173

Notes to the Consolidated Interim Financial Statements  
June 30, 2023  

Reconciliation between the tax benefit (expense) and the tax calculated by multiplying income before taxes by the Chilean corporate income tax rate.

	(Expense) Benefit
Income Tax Expense (Benefit)	For the period ended June 30, 2023		For the period ended June 30, 2022
	ThUS$		ThUS$
Consolidated income before taxes	1,835,569		2,327,003
Statutory Income tax rate in Chile	27	%	27	%
Tax expense using the statutory tax rate	(495,604	)	(628,291	)
Net effect of specific mining tax payments	(13,071	)	(31,142	)
Tax effect of income from regular activities exempt from taxation and dividends from abroad	(1,225	)	351
Tax rate effect of non-tax-deductible expenses for determining taxable profit (loss)	2,967		(969	)
Tax effect of tax rates supported abroad	4,039		(7,827	)
Other tax effects of reconciliation of accounting income to tax expense	(371	)	(208	)
Tax expense using the effective tax rate	(503,265	)	(668,086	)

 174

Notes to the Consolidated Interim Financial Statements June 30, 2023

(j) Tax periods potentially subject to verification:

The Group’s Companies are potentially subject to income tax audits by tax authorities in each country These audits are limited to a number of interim tax periods, which, in general, when they elapse, give rise to the expiration of these inspections.

Tax audits, due to their nature, are often complex and may require several years. Below, we provide a summary of tax periods that are potentially subject to verification, in accordance with the tax regulations in force in the country of origin:

(i) Chile

According to article 200 of Decree Law No 830, the taxes will be reviewed for any deficiencies in terms of payment and to generate any taxes that might arise. There is a 3-year prescriptive period for such review, dating from the expiration of the legal deadline when payment should have been made. This prescriptive period can be extended to 6 years for the revision of taxes subject to declaration, when such declaration has not been filed or has been presented with maliciously false information.

(ii) United States

In the United States, the tax authority may review tax returns for up to 3 years from the expiration date of the tax return. In the event that an omission or error is detected in the tax return of sales or cost of sales, the review can be extended for a period of up to 6 years.

(iii) Mexico:

In Mexico, the tax authority can review tax returns up to 5 years from the expiration date of the tax return.

(iv) Spain:

In Spain, the tax authority can review tax returns up to 4 years from the expiration date of the tax return.

(v) Belgium:

In Belgium, the tax authority may review tax returns for up to 3 years from the expiration date of the tax return if no tax losses exist. In the event of detecting an omission or error in the tax return, the review can be extended for a period of up to 5 years.

(vi) South Africa:

In South Africa, the tax authority may review tax returns for up to 3 years from the expiration date of the tax return. In the event that an omission or error in the tax return is detected, the review can be extended for a period of up to 5 years.

(vii) China:

Tax returns up to 3 years old from the due date of the return can be reviewed, in special circumstances this can be extended to 5 years. When tax evasion or fraud is involved, the tax authorities will pursue the collection of tax and there is no time limit.

(viii) South Korea:

Tax returns up to 5 years old from the due date of the return can be reviewed, but this can be extended to 7 years for cross-border transactions. Failure to file the tax return on the legal due date will result in this deadline being extended by up to 5 years and 10 years for cross-border transactions. When tax evasion or fraud is involved, it will be extended by up to 10 years and 15 years for cross-border transactions.

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Notes to the Consolidated Interim Financial Statements June 30, 2023

Note 27 Events occurred after the reporting date

27.1 Authorization of the financial statements

The consolidated financial statements of the Company and its subsidiaries, prepared in accordance with IAS 34 “Interim Financial Reporting” for the year ended June 30, 2023, were approved and authorized for issuance by the Company´s Board of Directors on August 16, 2023.

27.2 Disclosures on events occurring after the reporting date

(a) On July 5, 2023, the Company announced it had signed a long-term agreement with LG Energy Solutions to supply 100,000 tons of battery grade lithium carbonate and lithium hydroxide during 2023-2029.

(b) On July 28, 2023, the Company filed amendment 1 to its annual report with the SEC using form 20-F. This document introduces the changes described in the explanatory note to that amendment.

(c) On August 15, 2023, the Company reported that it has negotiated a potential change in control of Azure Minerals Limited.

(d) On August 16, 2023, the Board agreed to pay an interim dividend of US$ 0.60940 per share from the Company’s net income for 2023. This dividend will be paid in Chilean pesos at the official US dollar exchange rate published in the Official Gazette on November 6, 2023.

Management is not aware of any other significant events that occurred between June 30, 2023, and the date of issuance of these consolidated financial statements that may significantly affect them.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

  CHEMICAL AND MINING COMPANY OF CHILE INC.

  (Registrant)

Date: September 25, 2023	/s/ Gerardo Illanes
	By: Gerardo Illanes
	CFO

Persons who are to respond to the collection of information contained SEC 1815 (04-09) in this form are not required to respond unless the form displays currently valid OMB control number.

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