China's December cobalt sulphate production was 5,193 mt in metal content, down 10% MoM and 25% YoY due to slower demand recovery, causing inventory buildup and market oversupply. Despite lower product prices and the raw material inventory cycle, smelters faced losses, leading to continued production cuts and inventory reduction.
January may see a temporary cobalt sulphate demand spike due to improved orders for some firms, advanced production of February orders by ternary companies, and pre-holiday stockpiling, limiting production cuts. Expected January output is 5,109 mt in metal content, down 2% MoM and 19% YoY.
