SMM, February 14:
In this week's iron phosphate market, prices remained relatively stable. As a key raw material for producing battery materials, the price dynamics of iron phosphate have consistently drawn attention from both within and outside the industry. This week, the prices of critical raw materials such as phosphorus sources and iron sources showed no significant fluctuations, laying a foundation for the stability of iron phosphate prices.
On the supply side, as market inventory levels remained relatively sufficient, some companies adopted more flexible pricing strategies to boost sales and market share. These companies were willing to negotiate prices with buyers to increase transaction volumes. This approach not only helped alleviate inventory pressure but also strengthened cooperation between companies and their customers.
However, not all companies chose the path of price reductions for promotions. Some companies, considering raw material costs and cash flow conditions, decided to maintain higher selling prices. These companies typically have relatively stable customer bases and supply chains, focusing more on preserving profit margins. Under such market strategies, iron phosphate prices showed a polarizing trend, with intense price competition on one side and firm price adherence on the other.
Entering February, due to factors such as planned equipment maintenance and production cuts by several companies, iron phosphate production is expected to decline MoM compared to January.
On the demand side, as an essential component of NEV battery materials, the market demand for iron phosphate is closely tied to EV production and sales. Currently, with the global emphasis on renewable energy and environmental protection technologies, the EV market has maintained steady growth, driving positive demand for battery materials such as iron phosphate.
Overall, while iron phosphate prices remained generally stable this week, internal market polarization has emerged. Future market trends will be influenced by multiple factors, including raw material costs, company maintenance plans, downstream demand changes, and international market dynamics. Market participants need to closely monitor these developments to formulate reasonable procurement and sales strategies.
SMM New Energy Research Team
Cong Wang 021-51666838
Rui Ma 021-51595780
Disheng Feng 021-51666714
Yanlin Lü 021-20707875
Yujun Liu 021-20707895
