SMM October 9 News:
Electrolyte prices have recently increased. The average prices of electrolyte for ternary power batteries, LFP, and LMO were 22,600 yuan/mt, 18,450 yuan/mt, and 15,000 yuan/mt, respectively. Cost side, LiPF6 and some additives continued to see price increases due to tight supply, putting production costs of electrolyte under pressure. After a period of transmission, cost pressures have translated into price drivers, pushing up electrolyte prices. Demand side, with the arrival of the September-October peak season, demand in both the EV and ESS core markets has been released simultaneously. In the power battery sector, strong new energy auto sales have prompted battery producers to raise capacity utilization rates; in the ESS sector, domestic and overseas demand continues to recover, boosting procurement volumes for ESS batteries. The incremental demand has been transmitted upward to the electrolyte segment, directly driving an overall rise in electrolyte demand. Supply side, growing downstream demand has led to higher operating rates among electrolyte producers, but the long-term overcapacity situation in the industry remains unchanged, and competition remains intense. However, significant increases in raw material prices are expected to provide some short-term support for electrolyte prices.
SMM New Energy Research Team
Wang Cong 021-51666838
Ma Rui 021-51595780
Feng Disheng 021-51666714
Lyu Yanlin 021-20707875
Zhou Zhicheng 021-51666711
Xu Mengqi 021-20707868
Hu Xuejie 021-20707858
