During the National Day holiday, the manganese sulphate market exhibited the characteristics of "building momentum before the holiday and temporarily stabilizing after the holiday."
On the raw material side, manganese ore shipments from major overseas production areas faced transportation delays due to extreme weather, leading to tight availability of circulating supply in the domestic market. Traders generally maintained a reluctance to budge on prices. Although some factories attempted to drive down prices before the holiday, the average quoted prices remained high. The sulphuric acid market entered its traditional peak demand season, with industrial-grade sulphuric acid prices in east China rising 8% MoM from September. As demand from sectors such as fertilizers and chemicals continues to be released, prices are expected to have further upside room, driving up the production cost of battery-grade manganese sulphate by approximately 200 yuan/mt MoM from September.
Supply side, structural growth was observed: domestic manganese salt plants' operating rates climbed in September. In Guangxi's core production area, leveraging resource advantages, the capacity utilization rate exceeded 65%, effectively alleviating supply pressure while driving a significant MoM increase in high-purity manganese sulphate production. Demand side, the September-October peak season effect continued to unfold, with downstream cathode and ternary cathode precursor enterprises showing strong enthusiasm for stockpiling before the holiday. Orders at mainstream manganese salt plants increased 10%-15% MoM in September, while inventory in major production areas fell 5% MoM, maintaining a tight supply-demand balance.
Looking ahead, the peak season price increase cycle for sulphuric acid is not yet over, and the tight supply situation for manganese ore is unlikely to change in the short term, meaning cost support will continue to strengthen. Demand side, downstream ternary cathode precursor enterprises' October production schedules are expected to increase MoM, and cathode plants' restocking demand continues to be released. It is anticipated that the lower end of battery-grade manganese sulphate prices may break through the 6,200 yuan/mt mark.
