[SMM Analysis: Solid-State Battery Layout of US Nuvvon in the Polymer Electrolyte Track] Nuvvon is a solid-state battery startup based in New Jersey, US, pursuing a pure solid polymer electrolyte (SPE) route that contains no sulphides or oxides and can operate at ambient temperature and pressure without cooling, heating, or pressurization systems. Its 1 Ah/5 Ah pouch cells use NMC811 cathodes and lithium metal anodes, deliver more than 2,000 cycles, operate at -20°C to +60°C, and have passed independent nail penetration tests to verify safety. The company is currently moving from the laboratory toward commercial sample delivery, has raised $5.3 million in seed funding, and its new laboratory is now operational.

Nuvvon is a New Jersey–based solid‑state battery startup pursuing a pure solid polymer electrolyte (SPE) route, free of sulfides or oxides. Its cells operate at ambient temperature and pressure, requiring no cooling, heating, or pressurisation systems. The company's 1Ah and 5Ah pouch cells feature NMC811 cathodes and lithium‑metal anodes, delivering over 2,000 cycles and operating across a temperature range of –20°C to +60°C.

Entering Q3, the battery-grade nickel sulphate spot market appears to be "losing vitality," with reduced transaction frequency and relatively weak price trends. SMM believes this is primarily driven by a combination of three factors: weakening cost support, a gradually loosening supply-demand pattern, and a shift in market structure. This article will discuss these three factors in detail. I. Cost Side: Weakening Nickel Prices and Raw Materials Together In terms of nickel prices, August marks the period for the release of additional quotas in Indonesia, which has tempered market expectations of a significant shortage of Indonesian nickel ore. Coupled with the ongoing "shadow" of macroeconomic interest rate hikes, nickel prices have weakened. On the MHP payables front, following the concentrated arrival of sulphur in Indonesia, the supply of Indonesian intermediate products is expected to continue rising. According to SMM data, Indonesia's MHP supply-demand balance turned positive in July for the first time in a month. Meanwhile, downstream nickel and cobalt salt prices (especially cobalt salts) remain relatively weak, and downstream players are under pressure from losses, showing lower acceptance of high payables. Consequently, MHP payables remain under pressure overall. The market availability of high-grade nickel matte remains tight, and its payables are expected to hold steady. With both nickel prices and raw material payables declining, the spot production cost of nickel sulphate in August is expected to weaken overall from a spot cost perspective. II. Supply Side: High Raw Material Flexibility, Production Schedules Expected to Rise Since Q2, although MHP production schedules fell sharply at one point, nickel sulphate supply levels remained relatively stable, and no prolonged undersupply emerged. In Q3, as intermediate product production schedules gradually recover, this trend is expected to become more pronounced. According to SMM data, while battery-grade nickel sulphate production in July dipped 2% MoM due to production cuts or maintenance at some salt plants, August output is expected to rise over 8% MoM, returning supply to high levels. Total battery-grade nickel sulphate production from January to August 2026 grew 33% YoY. Behind this steady output lies strong supply flexibility in nickel salt raw materials. In addition to the adjustments using refined nickel raw materials and the substitution between high-grade nickel matte and MHP discussed in previous articles, recycled materials have also contributed a significant supply scale for nickel sulphate this year. On the one hand, after China opened up imports of lithium battery black mass last year, recycled raw materials have been able to be imported steadily, providing incremental raw material for recycled nickel sulphate. On the other hand, as the scale of ternary battery decommissioning gradually expands, and with some companies launching new recycling projects this year, the overall supply scale of black mass in the industry has risen. According to SMM data, the output from pulverising scrap ternary batteries in July doubled compared to the same period last year, providing significant flexibility for nickel sulphate supply. III. Demand Side: NMC Demand Supports Overall Consumption Volume but Fails to Directly Drive External Spot Purchases NMC demand exceeded expectations this year, serving as a key reason nickel sulphate maintained a relatively high premium. Consumption of nickel sulphate by downstream enterprises is expected to remain elevated in Q3. On one hand, with the September-October peak season for auto sales approaching, top-tier downstream players hold favorable demand expectations for mid-to-high nickel materials, driving higher production schedules at associated precursor plants. On the other hand, overseas high-nickel orders secured by leading firms have also stayed at high levels, supported by robust demand in Europe and other regions and by installation rush strategies triggered by adjustments to battery cell export tax rebate policies. According to SMM data, demand for battery-grade nickel sulphate in the new energy sector rose 1.55% MoM in July and is expected to grow a further 0.9% in August. However, the top-tier precursor enterprises with relatively strong orders are highly integrated, with several possessing refined nickel production capacity and ample flexibility to adjust in-house nickel sulphate output. As a result, the downstream demand increase provides limited direct stimulus to spot nickel sulphate procurement. According to SMM data, the combined production schedule of the five leading integrated and semi-integrated enterprises rose 11% MoM in August, and in-house output can meet over 80% of their raw material needs, meaning the incremental demand for externally purchased nickel sulphate was not significant. IV. Market Structure: Expanding Long-Term Contract Scale Squeezes Spot Order Space A notable structural shift in the Q3 nickel sulphate market is the expansion in the scale of long-term contracts. SMM estimates show that monthly spot orders for nickel sulphate stood at roughly 3,500-4,500 mt in metal content in 2025 and Q1 this year. Against the backdrop of rising NMC demand, this scale has shrunk to around 2,000 mt in metal content in Q3. At the start of the quarter, spot orders were expected to gradually retreat from monthly just-in-time procurement to a supplementary role for long-term contracts in corporate purchasing strategies, with additional purchases made only when clear downstream demand increments or raw material supply disruptions occur. This has suppressed market activity in August and early September. Moreover, with no significant decline in nickel sulphate supply, downstream acceptance of spot prices remains generally low. The expansion of long-term contracts stems from two factors. First, the high volatility in nickel prices and raw materials this year has intensified decision-making pressure on enterprises for spot orders, prompting a tendency to lock in demand through long-term contracts. Second, after persistent overcapacity, few new entrants have emerged, and industry supply chains have stabilized, with upstream and downstream enterprises gradually forming steady cooperative relationships. In the long term, the overall scale of long-term contracts is still expected to trend upward. V. Market Outlook As mentioned above, the supply and demand of nickel sulphate spot orders has shifted from relative tightness in Q2 to a slight surplus. From August to early September, prices are expected to be generally in the doldrums; after the downstream demand for the 'September-October peak season' becomes clear in September, the spot order market activity may recover to some extent, driving a rebound in nickel sulphate prices.

[SMM Analysis: US Lyten's "Dip-Buying Acquisition" of Northvolt's European Assets Lithium-Sulfur Solid-State Battery Global Layout] Through successive acquisitions of the core assets of bankrupt European battery giant Northvolt, Lyten obtained 16 GWh of existing capacity, Europe's largest battery R&D center, and over 100 GWh of expansion space at a steep discount far below valuation. Meanwhile, leveraging its lithium-sulfur battery technology built on the patented 3D Graphene platform, Lyten's material system completely eliminates nickel, cobalt, manganese, and graphite, forging a technological path entirely different from traditional solid-state batteries.

Integrals Power, a British battery technology firm, will take part in a £2 million, 30-month battery innovation project funded by the UK government, supplying hundreds of kilograms of its self-developed lithium manganese iron phosphate (LMFP) cathode material. Led by battery supplier Denchi, the project seeks to develop advanced battery technologies for defence and electric vehicle applications. Pouch and cylindrical cells will be manufactured at the UK Battery Industrialisation Centre (UKBIC), before being assembled into battery packs for validation. Integrals Power states its LMFP material eliminates the need for critical minerals such as cobalt and nickel, and can be produced using feedstocks sourced from Europe and North America. Compared with conventional LFP, it delivers up to approximately 20% higher energy density, alongside superior safety, cost competitiveness and enhanced performance, making it suitable for defence, automotive and other use cases. In the initial phase, the project will adopt Denchi’s existing military BB-2590 battery pack design. The original NMC (nickel manganese cobalt) cells will be replaced with LMFP cells for validation and testing in applications including military radios, sensors, unmanned aerial vehicles (UAVs) and backup power supplies.

SMM July 29 News: Metals market, as of midday close, domestic base metals showed mixed performance. SHFE copper fell 0.27%, SHFE aluminum gained 0.88%. SHFE lead rose 0.38%. SHFE zinc declined 0.28%. SHFE tin advanced 0.44%. SHFE nickel dropped 0.3%. Additionally, cast aluminum the most-traded contract futures rose 0.61%, alumina the most-traded contract gained 0.19%. Lithium carbonate the most-traded contract advanced 1.91%. Silicon metal the most-traded contract fell 0.73%. Polysilicon the most-traded contract futures continued the decline from the previous trading day to fall further 1.16%. Ferrous metals mostly fell. Iron ore dropped 0.61%, rebar edged down, hot-rolled coil rose 0.15%. Stainless steel declined 0.17%. In coking coal and coke: coking coal the most-traded contract fell 0.12%, coke the most-traded contract gained 0.85%. In overseas base metals, as of 11:38, LME metals nearly all rose. LME copper fell 0.13%, LME aluminum gained 0.19%. LME lead rose 0.24%. LME zinc edged up, LME tin advanced 1.12%. LME nickel increased 0.65%. In precious metals, as of 11:38, COMEX gold fell 0.34%, COMEX silver rose 0.31%. In domestic precious metals: SHFE gold declined 0.8%, SHFE silver the most-traded contract dropped 0.83%. Additionally, as of midday close, platinum the most-traded contract futures fell 0.78%, palladium the most-traded contract futures declined 0.94%. As of midday close, the most-traded European container freight futures contract rose 2.63%, to 2,870 points. As of 11:38 on July 29, some futures midday market conditions: Spot and Fundamentals Zinc: Today, #0 zinc mainstream transaction prices concentrated at 24,685-24,790 yuan/mt, Shuangyan mainstream traded at 24,815-24,910 yuan/mt, and #1 zinc mainstream traded at 24,615-24,720 yuan/mt. Early in the session, the market was at a premium of 30 yuan/mt against the SMM average price for cargoes with invoices dated next month, and no quotes were available against the contract…… Macro Front Domestic: [China's Total Social Logistics Value in H1 Exceeds 180 Trillion Yuan] The China Federation of Logistics and Purchasing released today (29th) the logistics operation data for H1 this year. In H1, the scale of logistics demand continued to expand, with prominent features of structural optimization and momentum shift. In H1 this year, China's total social logistics value reached 181.1 trillion yuan, up 5.1% YoY, 0.4 percentage points higher than the GDP growth rate in the same period. The supporting and leading role of logistics demand in national economic growth continues to strengthen. On a quarterly basis, growth was 6.2% in Q1 and 4.4% in Q2, showing an overall trend of stable growth with incremental advances.（CCTV News) [CO2 emissions per unit of GDP to drop by 17% during the 15th Five-Year Plan period] The Ministry of Ecology and Environment, together with 18 departments including the National Development and Reform Commission (NDRC), jointly released the National Climate Change 15th Five-Year Plan. According to the Plan, by 2030, CO2 emissions per unit of GDP will be reduced by 17% from 2025 levels, and CO2 emissions per unit of product in industries covered by the national carbon emissions trading market will drop by around 3% compared with 2025. A nationwide voluntary greenhouse gas emission reduction trading market that is transparent and credible, with unified methodologies, broad participation, and aligned with international practices will be established. A product carbon footprint management system will be basically in place. Monitoring and control of non-CO2 greenhouse gases will be strengthened, forming a carbon dioxide equivalent (CO2e) emission reduction capacity of 30 million tonnes. Climate change adaptation work systems will become more complete, phased progress will be made in building a climate-resilient society, and awareness and capacity to address climate change will continue to strengthen. China’s influence, guiding power, shaping power, and moral appeal in global climate governance will be significantly enhanced. (from Wall Street News APP) The PBOC today conducted 206.5 billion yuan of 7-day reverse repo operations at an interest rate of 1.40%. On the same day, 253 billion yuan of reverse repos matured. The PBOC also conducted 600 billion yuan of overnight reverse repo operations. US Dollar: As of 11:38 am, the US dollar index fell 0.11 to 101.3. Market attention returned to the Strait of Hormuz, as the risk of energy supply disruptions complicated the inflation outlook, coinciding with the Fed’s interest rate decision due this Wednesday, further increasing uncertainty. Markets currently price in about a 70% probability that the Fed will hold rates steady this Wednesday, with the current target range at 3.5% to 3.75%. JPMorgan analysts believe the probability of a rate hike "may be lower than the roughly 30% currently priced in by markets," citing that "while inflation is elevated, there is no risk of it surging further." The bank assigns a 50% probability to a "hawkish hold," believing the Fed will remain vigilant while noting the downward signal on inflation from recent energy price movements. (from Wall Street News APP) BNP Paribas Markets 360 team expects the Fed to keep rates unchanged, "although the possibility of an unexpected rate hike cannot be completely ruled out." The bank’s base case is for one rate hike in December, but "there is a significant risk that policymakers will strengthen the inflation language in the FOMC statement, which would be tantamount to hinting that a September rate hike is on the table." The wording on price stability will be the focal point of discussions at this meeting, while the statement will reflect a willingness to act if necessary. However, even if such wording is absent from the statement, a September rate hike cannot be ruled out; conversely, if such wording is included, it does not necessarily guarantee a rate hike in September. At the press conference, Warsh is expected to broadly follow the June playbook: brief opening remarks, concise answers, and very limited forward guidance. Assuming the statement sees relatively small changes from June, we believe the opening statement will closely track Warsh's congressional testimony, and his commentary on inflation and labor data, the economic outlook, and his commitment to restoring price stability will also remain consistent with that testimony. (Jin10 Data APP) Gary Pzegeo, Chief Investment Officer of Private Wealth US at CIBC, noted that Warsh's hawkish remarks on price stability, combined with a batch of soft data (CPI and nonfarm payrolls), may be enough for the US Fed to stand pat. This aligns with market sentiment. "Interest rate futures are pointing to a hold at the July meeting," Pzegeo said, "but expectations for a September rate hike have been rising. In the current geopolitical backdrop, September is a long way off, and the US Fed will have more data to process between now and September 16." (Jin10 Data APP) According to CME "FedWatch": The probability that the US Fed will keep interest rates unchanged in July is 69.5%, and the probability of a cumulative 25-basis-point rate hike is 30.5%. The probability that the US Fed will keep rates unchanged through September is 23.4%, the probability of a cumulative 25-basis-point hike is 56.4%, and the probability of a cumulative 50-basis-point hike is 20.2%. (Jin10 Data APP) Data Front: Data to be released today include Australia's June unadjusted monthly CPI, Switzerland's July ZEW investor sentiment index, and UK June mortgage approvals from the Bank of England. Additionally, SK Hynix will report its Q2 earnings. Crude Oil Front: As of 11:38 AM, oil prices on both benchmarks surged sharply, with WTI up 3.92% and Brent up 3.55%. Renewed tensions in the Middle East fueled a sharp rebound in oil prices. The immediate trigger for this oil price rebound was a statement issued by US Central Command. Ryan McKay, Senior Commodity Strategist at TD Securities, said, "We remain cautious on any potential agreement that does not specifically address the Strait of Hormuz issue, as disagreements over control of the waterway have previously led to aggressive actions by Iran and caused earlier memoranda of understanding to fall apart prematurely." (from Wallstreetcn APP) Spot Market Overview: ► ► ► ► ► ► ► ► ► ►