In October 2025, domestic ternary cathode precursor production continued its growth trend, up 4.92% MoM and 18.59% YoY. The industry's average operating rate further increased to 49.13%. By product structure, the market share of 6-series precursors continued to expand, accounting for 46.16%; the shares of other series were correspondingly squeezed, with the 5-series, 8-series, and 9-series accounting for 13.38%, 27.60%, and 10.41%, respectively.
Influenced by the phase-out of some NEV subsidy policies next year, a noticeable front-loading of orders occurred in the current market, and demand is expected to persist until year-end. Furthermore, strengthened expectations of rising raw material prices, combined with the early delivery of overseas orders prompted by the release of precursor export control policies, jointly drove further supply growth this month. The small power and consumer markets overall performed steadily. Precursor producers generally faced significant raw material cost pressure this month, which somewhat impacted shipments for some small and medium-sized producers.
Looking ahead to November, precursor demand is expected to remain at a relatively high level. However, as the market was already at a high level in October, the November production schedule is basically flat, projected to decrease slightly by 0.11% MoM but still increase 20.40% YoY.
