On April 1, Tianqi Lithium announced on its investor interaction platform that the company is paying close attention to the technological developments of solid-state batteries and is actively engaging in related areas through various approaches. Regarding key materials, the company has successfully completed industrialization preparations for lithium sulfide (Li₂S), a core raw material for next-generation solid-state batteries. It continues to improve product quality and optimize cost-reduction technologies. Tianqi Lithium has finalized the equipment and process development for lithium sulfide industrialization, forming a complete and transferable technical package with advanced and practical processes. This will enable the company to quickly industrialize lithium sulfide, helping address the bottleneck issue of key materials for all-solid-state batteries and promoting the development of the solid-state battery industry chain. Additionally, the company has made progress in metallic lithium materials. Its Tongliang production base in Chongqing currently has an annual capacity of 600 tons of metallic lithium, and the construction of a 1,000-ton metallic lithium project with supporting raw materials is underway, laying the foundation for solid-state battery material applications. Moving forward, Tianqi Lithium will continue exploring strategic opportunities in the new energy value chain, including potential collaborations in next-generation battery technologies such as new en

[Impacted by Intensified Market Competition and Raw Material Price Fluctuations, Ronbay Technology Expects Revenue and Net Profit to Decline in 2024] ① Based on Ronbay Technology's projected 2024 performance, the company expects to achieve a net profit attributable to shareholders of 176 million yuan in Q4 2024, marking the highest single-quarter profit for the year; ② Ronbay Technology disclosed that the second phase of its South Korea plant is expected to commence trial production in H1 this year; the precursor production line is likely to achieve breakthroughs this year; and layered oxide materials are projected to achieve large-scale mass production and delivery within the year. (Sci-Tech Innovation Board Daily)

This week, the prices of ternary, pure cobalt, and iron-lithium black mass remained largely stable, with most companies maintaining low flow rate operations.

In the global lithium market, radical changes have taken place in recent years. With surging demand for electric vehicles, renewable energy storage systems, and burgeoning needs for advanced batteries. In light of industries moving towards cleaner and more sustainable forms of energy, lithium became one of the most essential commodities in the global supply chain. Similarly, the IEA estimated that global demand for lithium would increase 40 times house equivalent by 2040, thus further highlighting the need to understand the shifting dynamics of supply and demand for the element. This "lithium boom" brings with it great opportunities and serious challenges for businesses, governments, and investors alike.

[ExxonMobil Signs Agreement with Battery Cell Factory] On June 25, SK On announced that it had signed a non-binding memorandum of understanding with ExxonMobil, seeking up to 100,000 tons of lithium supply from the latter for electric vehicle battery production in the United States. ExxonMobil introduced that the agreement paved the way for a multi-year procurement agreement of up to 100,000 tons of Mobil lithium for its first project in Arkansas. SK On plans to use it in its electric vehicle battery manufacturing business in the United States. According to the introduction, the project plans to extract lithium from underground brine deposits in Arkansas and convert it into battery-grade lithium materials on-site. This method can produce lithium more efficiently than traditional hard rock lithium mining while reducing environmental impact.

The 20,000-ton lithium iron phosphate battery recycling project of Zijin Mining is about to be put into operation. Recently, Liao Yuanhang, Vice President of Zijin Mining, stated that Zijin Mining is building a trinity circular economy development model for new energy materials industry, which is "non-ferrous metals - new materials - green and low-carbon". The 20,000-ton lithium iron phosphate battery recycling project of Zijin Youli, a joint venture of Zijin Lithium Materials, is planned to be put into operation in 2025.

[Review of the Annual Reports of the Three-Element Industry Chain Enterprises: How Did the Three-Element Material Enterprises Fare in 2023?] In 2023, SMM statistics showed that China's production of three-element materials was 620,000 tons, a year-on-year decrease of 5% compared to 2022, and the capacity utilization rate was around 40%. Looking back at the changes in annual production throughout 2023, "the industry chain destocking" and "the terminal share being squeezed out by iron lithium materials" were the two main reasons. In terms of material prices, taking the price of three-element material 523 (polycrystalline/consumer type) as an example, material price fluctuations under the condition of overcapacity in the three-element material industry are mainly affected by the cost end, namely the prices of three-element precursors and lithium carbonate. In 2023, the price of three-element precursors continued to decline due to the downward cycle of nickel and cobalt prices and the oversupply of three-element precursors. The average price of battery-grade lithium carbonate fell from 510,000 yuan/ton at the beginning of the year to SMM's quoted price of 166,000 yuan/ton at the end of the year, with the price trend of three-element materials following the same trend as the raw material prices.

Positive production in March 2024 increased by 55% compared to the previous month, with growth expected to slow down to 16% in April. The total production of the four main materials in March increased by 55%, with the growth in iron-lithium materials at 70%. In March, orders for iron-lithium companies gradually recovered, with significant increases in orders for top iron-lithium companies, leading to increased production and supply. The growth in ternary materials was 33%, with medium-nickel materials being a hot product in the market, maintaining significant growth in March. Low-nickel and high-nickel materials also saw a recovery from the low point in February. Lithium cobaltate and lithium manganate achieved an environmental increase of 44% and 26% respectively. In April, it is expected that the overall month-on-month increase in the four main materials will be 16%, with iron-lithium materials leading among the four main materials.

As a key component of lithium batteries, the price of ternary precursors and materials is affected by multiple factors. Raw material costs, market supply and demand, technological advances, policy adjustments and the international trade situation have a profound impact on the price. Price fluctuations of the diaphragm electrolyte and other supporting components also affect the overall cost. In the face of the complex and changing market environment, manufacturers and market participants need to maintain a keen insight and flexible response. Meanwhile, the government should strengthen policy guidance to promote the healthy development of the new energy industry. Looking ahead, as technology advances and the market matures, ternary precursor and material prices are expected to stabilize and continue to empower the new energy industry.

SMM Weekly Review: Prices of iron phosphate and lithium iron phosphate rose due to increasing costs. This week, the price of iron phosphate remained strong, with the center of small single transactions moving upward, and only a small increase in prices for large transactions. The price of lithium carbonate, the raw material, continued to rise, with a weaker downward transmission of lithium iron phosphate prices and a slow follow-up in the price of iron lithium materials.