China's November cobalt sulphate output fell to 5,700 mt in metal content, down 13% MoM and 22% YoY, due to falling prices, decreased demand, and rising inventories, creating a market oversupply. Firms with external raw material sourcing face cost inversion from high-cost stock, leading to production cuts.
December's cobalt sulphate production is expected to decline further due to pessimistic market forecasts and reduced output by downstream precursor firms, exacerbating weak demand amid oversupply. The estimated December production is 4,822 mt in metal content, down 15% MoM and 30% YoY.
