This week, ternary material prices edged slightly downward. From a raw material perspective, nickel sulfate, cobalt sulfate, and manganese sulfate prices remained relatively stable with no significant fluctuations. The primary downward pressure on prices came from lithium sulfates: spot prices of lithium carbonate and lithium hydroxide saw notable declines in early week, weakening the cost support for ternary materials. Despite the pronounced decline in lithium sulfate prices early this week, ternary cathode material manufacturers showed relatively limited restocking interest. There are two main reasons for this: First, prior to the price adjustment, most cathode manufacturers had already finalized March orders with downstream battery cell makers and are currently in the order delivery phase , maintaining relatively sufficient raw material inventories. Second, manufacturers generally maintain a " buy on rising, not on falling " mentality, viewing this adjustment primarily as short-term volatility influenced by international situations, with no expectation of sustained lithium sulfate price declines. In terms of pricing, although lithium carbonate futures prices experienced adjustments, cathode manufacturers' quotations did not see significant declines, mainly because their raw material costs remain higher than current futures prices . Spot market transactions were also quite subdued this week, with market activity dominated by long-term contract supplies. On the demand side, the EV market showed seasonal recovery, but downstream customers' order fulfillment pace remained slow due to Q1 new energy vehicle sales falling short of expectations . In contrast, e-mobility and consumer electronics markets saw relatively notable growth, primarily driven by some consumer batteries facing "export rush" demand , leading to forward order placements.

Looking ahead to March, production is expected to rebound as operations resume and the traditional demand recovery period begins. However, due to sluggish auto sales, weak overseas demand for ternary materials, and persistently high raw material prices, the pace of recovery may fall short of pre-holiday expectations.

Recently, the China Automotive Power Battery Industry Innovation Alliance released the monthly data for power batteries in May 2025. The data shows that in May, China's power battery installations reached 57.1 GWh, up 5.5% MoM and 43.1% YoY. From January to May, China's cumulative power battery installations amounted to 241.4 GWh, up 50.4% YoY.

This week, the prices of ternary cathode material continued to decline. In terms of raw material costs, the price of cobalt sulphate continued to drop slightly, while the prices of nickel sulphate and manganese sulphate remained stable for the time being. Lithium carbonate rebounded to a certain extent due to macro sentiment, while the price of lithium hydroxide still showed a clear downward trend.

[Canmax: Solid-State Battery Project Progressing Smoothly, Some Customers Have Achieved Sales After Evaluation] Canmax stated on an interactive platform that the company has developed new cathode materials, including high-voltage lithium cobalt oxide (LCO), high-nickel ternary materials, lithium-rich manganese-based materials, and spinel nickel-manganese materials, centered around the core requirements of "high specific energy, high safety, high C-rate, long cycle life, and low cost" for battery cell material systems. These products are suitable for applications in solid-state lithium batteries and semi-solid-state lithium batteries. The lithium-rich manganese-based and other cathode materials developed by the company have completed R&D trials and been sent to multiple solid-state battery customers for evaluation, demonstrating high specific capacity and good stability within customer systems. Among them, some customers have achieved sales after evaluation.

SMM News on May 14: Today, driven by positive policy developments, the main lithium carbonate futures contract fluctuated upward after opening, surging over 3% during the session. By the close of the daytime session, the main contract closed up 3% at 65,200 yuan/mt, up 2,640 yuan/mt from the low of 62,560 yuan/mt set during the session on May 12, representing a 4.22% increase. In terms of spot prices, according to SMM's spot quotes, the spot price of battery-grade lithium carbonate also rose slightly by 100 yuan/mt today, trading at 63,600-65,800 yuan/mt, with an average price of 64,700 yuan/mt. 》Click to view SMM's spot quotes for new energy products Regarding the reasons for the rise in lithium carbonate futures prices, SMM believes it is mainly related to positive policy news. On May 12, the Ministry of Commerce website released a joint statement on the China-US Geneva Economic and Trade Talks, announcing that the US's 24% reciprocal tariff on Chinese products would be suspended for the initial 90 days. According to the latest news today, this tariff adjustment has been temporarily implemented. SMM understands that, overall, due to exemptions for NEVs and their parts before and after this reciprocal tariff adjustment, the change in reciprocal tariffs will have a greater impact on the export of ESS batteries, potentially prompting an anticipated rush in exports of Chinese ESS battery cells, thereby driving up the demand for lithium carbonate. Starting from May 14, the tariff on new energy end-use products exported from China to the US is as follows: SMM predicts that, given the installation rush demand for ESS storage mentioned in China's Document No. 136 regarding the "May 31" grid connection deadline, the ESS battery cells produced in May may not be able to meet the installation rush demand in time this month. Therefore, the market previously expected that the production volume of ESS battery cells in May might decrease by 5-10% MoM compared to April. However, influenced by the golden export window period brought about by the change in US tariffs, and considering that it takes approximately one month for transportation and customs clearance from China to the US, it is expected that the production schedule of ESS battery cells for top-tier enterprises will remain at a high level in May and June, and the growth rate of ESS battery cell production is expected to turn from negative to positive MoM. 》Click to view details Returning to the supply and demand dynamics of the lithium carbonate market, lithium carbonate prices are currently hovering near recent lows. Under the pressure of cost losses, upstream lithium chemical plants have shown a strong sentiment to stand firm on quotes. Currently, there is only a certain level of trading activity between traders and downstream enterprises. The positive expectations for an increase in end-use demand driven by the aforementioned policy developments may, to a certain extent, drive a rebound in lithium carbonate prices. However, it should also be noted that although lithium carbonate inventory levels have slightly decreased after the Labour Day holiday, the current cumulative inventory level of lithium carbonate remains high. Moreover, ore prices continue to hit new lows, and cost support is continuously weakening. Therefore, the overall price of lithium carbonate will continue to exhibit a fluctuating trend at lows. As the futures and spot prices of lithium carbonate rose together, the shares of energy metal companies, including Tengyuan Cobalt, Huayou Cobalt, YOUNGY, Zhongkuang Resources, Weiling Co., Ltd., and Tianqi Lithium, also "rose", with multiple stocks increasing by over 1%. Dazhong Mining also responded today on the investor interaction platform regarding the progress of the lithium mine tunnel in Hunan. The company stated that as of now, the lithium mine tunnel in Hunan has been completed, laying a certain foundation for the early commissioning of mining and beneficiation operations. According to the "Lithium Exploration Report of the Tongtianmiao Ore Block in the Jijiaoshan Mining Area, Linwu County, Hunan Province" reviewed and filed by the company for its resource reserves, the associated minerals of the Jijiaoshan lithium mine in Hunan include metals such as rubidium, niobium, tantalum, tin, and tungsten. Institutional Comments Xinhu Futures commented that there are no significant positive factors in the short-term fundamentals, making it difficult for lithium prices to reverse their trend. However, at the current price level, it is necessary to be cautious about the rising expectations of supply-side disruptions and the capital-driven nature of low valuations. Given the relatively high channel inventory levels across the upstream, midstream, and downstream sectors, this will also limit the rebound space for lithium prices. Yide Futures stated that, on the supply side, the CIF price of Australian ore has fallen to $687.5/mt, while the price of African ore has remained stable at $637/mt. Port lithium ore inventory has increased, and the planned production of lithium carbonate nationwide for May has increased MoM, with the latest weekly production data showing a significant increase. On the demand side, the planned production of cathode materials, including ternary materials and LFP, has increased MoM. Based on the current production schedule, the supply and demand fundamentals still maintain a surplus pattern. In terms of inventory, the latest weekly inventory has decreased by 464 mt. Specifically, the significant increase in smelter production has not yet been transferred downstream or to traders, leading to a noticeable increase in their inventory, while the inventory of downstream traders has decreased. In the short term, the combination of front-loaded consumption and collapsing costs has led to a significant pullback in lithium carbonate prices. From a long-term industry perspective, the market requires a more thorough exit of the resource side. SDIC Futures stated that the total market inventory has decreased by 500 mt to 132,000 mt, with downstream inventory decreasing by 3,000 mt to 42,000 mt and smelter inventory increasing by 3,800 mt to 55,000 mt. The intermediate links are actively destocking. In terms of inventory structure, there is a weak willingness for downstream restocking, while passive restocking has occurred upstream, reflecting differences in market sentiment. The latest quote for Australian ore is $700, with a decline of over 15% in the past month, basically reflecting a downward shift in the price center. The midstream production has recovered rapidly, with a 28% increase in production MoM in the first week after the holiday, and an improvement in supply and demand still needs to be awaited. The futures price of lithium carbonate is in a downward channel, and short positions are being maintained.

This week, lithium salt prices fluctuated, while nickel and cobalt salts saw minor declines. The coefficients for ternary and lithium cobalt oxide black powder continued to drop. For example, the coefficient for ternary cathode black powder currently ranges between 74-77%, and that for ternary battery black powder is 71.5-73.5%. Lithium points for lithium iron phosphate (LFP) cathode black powder stand at 2,500-2,700 yuan per lithium point, while LFP battery black powder ranges from 2,200-2,400 yuan per lithium point. Suppliers and traders remain firm on pricing, though some crushing plants are holding back inventory due to thin profit margins, leading to weaker market transactions compared to April.

The CLNB 2025 (10th) New Energy Industry Expo, hosted by SMM, will be grandly held at the Suzhou International Expo Center from April 16 to 18, 2025. During the exhibition, there will be 1 main forum and 10 sub-forums, attended by government leaders, academicians from the Chinese Academy of Sciences and the Chinese Academy of Engineering, domestic and overseas scientists, foreign guests from dozens of countries, and leading entrepreneurs from various industries. Join us in Suzhou to witness the gathering of industry leaders, discuss core technologies, listen to expert insights, interpret market trends, and focus on key issues. This year's expo covers 6 major exhibition areas, with over 1,300 domestic and overseas exhibitors showcasing the entire industry chain of batteries, including power batteries, consumer batteries, energy storage, raw materials, materials, equipment, battery recycling, as well as new energy vehicles, power tools, electric drives, and the low-altitude economy in the power exhibition area, providing you with a one-stop exhibition experience. Click to fill out the registration form and register immediately to discuss the future development of the new energy industry with industry elites. We look forward to your arrival and joining SMM in opening this grand feast of the new energy industry. At this year's New Energy Industry Expo, Wudi Jinhaibay Lithium Technology Co., Ltd. will make a grand appearance, discussing industry cooperation, sharing development opportunities, and jointly painting a bright future for the new energy industry with peers. Extending the Circular Economy Chain, Building the Capital of Lithium Battery Materials. Wudi Jinhaibay Lithium Technology Co., Ltd., located in the Binzhou Lubei Chemical Industry Park, one of the first batch of chemical industry parks in Shandong Province, is a subsidiary of the state-owned Shandong Lubei Enterprise Group. Established in September 2016, the company covers an area of 115 acres, with fixed assets of 300 million yuan and 260 employees, including a R&D team of over 30 senior engineers and postgraduates. The company's main business is the R&D, production, and sales of battery-grade lithium carbonate. With strong technical capabilities, the company holds multiple national invention patents and utility model patents, including the continuous lithium precipitation process technology for battery-grade lithium carbonate. Supported by the powerful technical backing of the Lubei Lithium Battery Materials Research Institute, the company adopted the mature domestic sulfuric acid production process and resin tower purification technology, investing 300 million yuan to build a 20,000 mt/year lithium carbonate new materials project in March 2018. The first phase of the project was completed and put into production in August 2019. Currently, the company produces 10,000 mt of battery-grade lithium carbonate annually. The company's battery-grade lithium carbonate products, low in sodium and calcium and without EDTA additives, are widely used in lithium-ion battery cathode materials, electrolyte materials, and other industries, with a sales network covering the entire country. The by-product lithium slag is fully utilized by Lubei Group's listed company for the production of sulfuric acid and cement, achieving comprehensive resource utilization and clean production, and becoming an important part of the Lubei circular economy system's new energy chain. In 2022, the company achieved sales revenue of 720 million yuan and profits and taxes of over 90 million yuan. During the "14th Five-Year Plan" period, the company will adhere to the concept of green development, focus on creating new momentum with new materials, form upstream and downstream connections with Lubei Group's existing industries, further extend the Lubei circular economy industry chain, build a high-end new materials industry base in Lubei, and create the capital of lithium battery materials, making positive contributions to regional economic development. Battery-grade lithium carbonate (Li2CO3): Basic information: Battery-grade lithium carbonate is usually a white powdery crystal with a molecular weight of 73.89, a density of 2.11 g/cm³, and a melting point of 732°C, with high purity and good chemical stability. Purity standards: Battery-grade lithium carbonate requires a high lithium carbonate content, generally not less than 99.5%, with strict limits on the content of various impurities. For example, the content of metal impurities such as sodium (Na), potassium (K), iron (Fe), calcium (Ca), copper (Cu), and lead (Pb) needs to be controlled at very low levels to ensure its performance and safety in battery applications. Application fields: Lithium-ion battery cathode material production. LCO battery: Lithium cobalt oxide is the earliest commercialized lithium-ion battery cathode material, and battery-grade lithium carbonate is an important raw material for synthesizing lithium cobalt oxide. LCO batteries have high energy density and good charge-discharge performance, widely used in 3C electronic products such as mobile phones and laptops. LFP battery: Rapidly developed in recent years, with advantages such as high safety, long cycle life, and relatively low cost, widely used in electric vehicles, energy storage, and other fields. Battery-grade lithium carbonate is one of the key raw materials for preparing lithium iron phosphate. Ternary material battery: Ternary materials generally refer to lithium nickel cobalt manganese oxide or lithium nickel cobalt aluminum oxide, combining the advantages of lithium cobalt oxide, lithium nickel oxide, and lithium manganese oxide, with high energy density and good comprehensive performance, also an important application direction in electric vehicles and other fields, and its production is inseparable from battery-grade lithium carbonate. Lithium-ion battery electrolyte additive: As an electrolyte additive, battery-grade lithium carbonate can improve the ionic conductivity of the battery, enhance the charge-discharge performance, and to some extent improve the safety and service life of the battery. Other application fields: Also has certain applications in industries such as glass, ceramics, and medicine. For example, in glass manufacturing, lithium carbonate can be used as a flux to lower the melting temperature of glass and improve its quality; in the medical field, lithium carbonate can be used to treat mental illnesses. Industrial-grade lithium carbonate (Li2CO3): Basic information: Industrial-grade lithium carbonate is usually a white powdery crystal with a molecular weight of 73.89, a density of 2.11 g/cm³, and a melting point of 720°C. Purity standards: The main component content is between 99.2%-99.5%, but with more impurities compared to battery-grade lithium carbonate. Application fields: Glass and ceramic industry: In glass manufacturing, lithium carbonate can be used as a flux to lower the melting temperature and viscosity of glass, improve the processing performance of glass, and enhance its strength, transparency, and corrosion resistance. In ceramic production, lithium carbonate can be used as an additive to improve the sintering performance and microstructure of ceramics, enhancing their strength, hardness, and heat resistance. Aluminum industry: In the aluminum production process, adding industrial-grade lithium carbonate can lower the melting point and viscosity of the electrolyte, improve the conductivity of the electrolyte, thereby reducing the energy consumption and production costs of aluminum. In addition, lithium carbonate can also reduce the volatilization of hydrogen fluoride in the electrolyte, lowering environmental pollution. Refrigerant industry: As an additive in refrigerants, industrial-grade lithium carbonate can improve the refrigeration effect and stability of refrigerants, while reducing their corrosiveness and toxicity. For example, in some new environmentally friendly refrigerant formulations, lithium carbonate is an important component. Cement industry: In cement additives, lithium carbonate can act as a coagulant, shortening the setting time of cement and improving its early strength, suitable for projects with special requirements for cement setting time. Other fields: Can be used to prepare various lithium salts such as lithium chloride and lithium bromide, which are widely used in air conditioners, dehumidifiers, batteries, and other fields. In the medical field, lithium carbonate can be used to treat certain mental illnesses and as an intermediate in drug synthesis. In analytical chemistry, it can be used as an analytical reagent for component analysis and detection. It also has certain applications in the semiconductor, optical communication, and rare earth electrolysis industries. For example, in the preparation of semiconductor materials, lithium carbonate can be used as a dopant to improve the performance of semiconductors. Lithium hydroxide monohydrate (LiOH•H2O): Basic information: A highly corrosive white crystalline powder, slightly soluble in ethanol, easily soluble in water, with a melting point of 471°C and a density of 1.51 g/cm³. Application fields: Battery field: An inevitable choice for producing high-nickel ternary cathode materials, with increasing demand for lithium hydroxide monohydrate due to the rapid development of the new energy vehicle industry. Can be used as an additive in alkaline battery electrolytes to increase storage capacity and extend battery life. Chemical industry: Lithium-based grease prepared with lithium hydroxide has advantages such as long service life, oxidation resistance, and high-temperature stability, widely used in the lubrication of machinery, automobiles, and other equipment. Can be used as catalysts and additives in the petrochemical industry, for example, in the petroleum refining process, lithium hydroxide can be used as a component of catalysts to promote chemical reactions. Can be used to produce new refrigerants such as lithium bromide absorption solutions for refrigeration machines. Metallurgical field: In the metallurgical industry, lithium hydroxide monohydrate can be used for metal purification, alloy preparation, and metal surface treatment. For example, in the production of aluminum-lithium alloys, lithium hydroxide can be used as an additive to improve the performance of the alloy. Other fields: Can be used as an analytical reagent, oxidizer, etc., in chemical experiments and analysis and detection. In ceramic and glass production, it can be used as an additive to improve product performance, such as enhancing the corrosion resistance of glass and the sintering performance of ceramics. Used in the treatment of certain nuclear fuels and the separation of radioactive substances. Sodium sulfate (Na2SO4): Basic information: A white, odorless, bitter-tasting white monoclinic crystal or powder, with a relative density of 2.68, a melting point of 884°C, and a boiling point of 1,404°C. Exposed to air, it easily absorbs moisture to become hydrated sodium sulfate, transforming into hexagonal crystals at 241°C. Easily soluble in water, with an alkaline aqueous solution, soluble in glycerol, but insoluble in ethanol. Application fields: Industrial field: Widely used in the chemical, paper, glass, textile, printing and dyeing, and cement industries. Medical field: In traditional Chinese medicine, sodium sulfate has the effects of purging accumulation, softening hardness, moistening dryness, clearing heat, and reducing swelling, and can be used externally to clear heat and reduce swelling. In modern medicine, it can be used as an analytical reagent, such as a dehydrating agent, digestion catalyst in nitrogen determination, and interference inhibitor in atomic absorption spectroscopy. Other fields: Used as a filler in synthetic detergents, reducing surface tension and increasing the solubility of detergents. In sulfate galvanizing, it can be used as a buffer to stabilize the pH of the plating solution. It is a diluent for food coloring and an agent for caramel coloring production. [CLNB 2025—Hot Registration in Progress] CLNB 2025 (10th) China International New Energy Industry Expo April 16-18, 2025 Suzhou International Expo Center Contact Us

[SMM Analysis] A Review of This Week's Price Trends for Scrap Spot Cargo (April 21-27, 2025) Supply side: This week, prices of salt products such as lithium chemicals, nickel salts, and cobalt salts mainly declined steadily. This week, the coefficients for black mass of ternary and LCO remained basically stable. Taking ternary black mass as an example: Currently, the coefficient for black mass from ternary pole pieces is 75-78%, and for black mass from ternary batteries, it is 72-75%. On the supply side, the psychological selling prices of grinding mills and traders decreased with the decline in salt prices. However, some grinding mills still chose to hold back from selling due to their current profits being below the surplus line, opting to wait for market conditions to improve. Market transactions were sluggish compared to March on a MoM basis. Demand side: Most hydrometallurgy plants only made just-in-time procurement of black mass amid the continuous decline in nickel, cobalt, and lithium salt prices. Additionally, due to the market's pessimistic outlook on subsequent lithium salt prices, they only maintained a safety stock of raw materials for about one month. Cost side: Currently, except for leading integrated hydrometallurgy plants, the profits of most hydrometallurgy plants remain below the surplus line. The profits of grinding mills are slightly better than those of hydrometallurgy plants. However, due to the previous decline in copper cathode prices, the profits of grinding mills have also continued to be inverted.

Amid the global wave of accelerating the transition to sustainable energy, the CLNB 2025 (10th) New Energy Industry Expo, hosted by SMM, was held with great enthusiasm at the Suzhou International Expo Center from April 16 to 18. At this annual grand event in the new energy sector, Dr. Dongwei Yan, President of the MGL New Materials Research Institute, was invited to deliver a keynote speech titled "Innovation Strategies and Development Progress in Lithium Battery Cathode Materials." He provided an in-depth analysis of technological breakthroughs and industrialisation pathways in the field of lithium battery cathode materials, engaging in discussions with industry giants, innovative enterprises, experts, scholars, and professional audiences from around the world on the latest breakthroughs and future trends in the new energy industry. Focusing on Technical Pain Points, Proposing Innovative Strategies In his speech, Dr. Yan pointed out that as the global energy structure accelerates its transition to low-carbon, the demand for power batteries and energy storage continues to rise. The performance optimisation and cost control of lithium battery cathode materials have become the core of industry competition. He highlighted that MGL New Materials adheres to a trinity innovation strategy of "product orientation, technological breakthroughs, and industrial collaboration." Through material system innovation, process innovation, and full life cycle management, MGL is driving the iteration of cathode materials towards high energy density, ultra-fast charging, high safety, and low cost. In terms of technological innovation, MGL New Materials' products cover various material structures such as layered oxides, olivine, and spinel. The company adopts a forward development strategy, significantly enhancing the performance of cathode materials through integrated coating, precursor-free processes, and the combination of key material factor mechanisms. Addressing the current mainstream technical routes such as ternary materials and LFP, Dr. Yan focused on analysing key technologies including material structure design, doping and coating modification, and high-entropy composite materials. He also shared MGL's breakthrough achievements in the R&D of advanced materials such as LCO, ultra-high nickel ternary, and lithium-rich manganese-based materials. He stated, "Material innovation must balance performance improvement with resource sustainability, cost-effectiveness, process compatibility, and long-term stability. By precisely controlling the microstructure of materials, we can achieve dual enhancement of technological and social value." Showcasing Development Progress, Promoting Industrialisation During his speech, Dr. Yan publicly disclosed for the first time several advancements in MGL's mass production process of new-type cathode materials. The ternary 9-series ultra-high nickel product, utilising technologies such as multi-stage sintering, short-range processing, and cobalt-rich coating dry cleaning, features high capacity, high compaction, low internal resistance, and long cycle life. The product has been successfully validated by leading customers, with its comprehensive performance ranking in the first tier. The NCA product, employing low DCR, high C-rate cycling, and high stability technologies, boasts high volumetric density, high power driving range, and high safety. It has been successfully applied and expanded in various emerging fields such as high-end power tools, humanoid robots, low-altitude manned aircraft, and uninterruptible power supplies. While advancing the R&D of existing products, MGL is also committed to driving revolutionary developments in the new energy battery industry, actively researching and strategically deploying forward-looking materials, including lithium-rich manganese-based materials, solid-state electrolytes, sodium-ion battery cathode materials, high-entropy composite materials, and lithium-rich lithium iron phosphate lithium supplement additives, all of which have achieved varying degrees of progress. Additionally, he specifically mentioned MGL's deep collaboration cases with downstream battery companies and upstream resources, including shortening the technology transformation cycle through the "material-battery" joint development model and reducing reliance on primary ore through nickel-cobalt-lithium resource recycling technology. "From the laboratory to large-scale production, technological innovation must be deeply integrated with the industry chain," Dr. Yan emphasised. Today, the competition in new energy materials has shifted from single performance indicators to systematic innovation and ecosystem construction. As an innovation leader in the new energy materials field, MGL New Materials will continue to delve into the core technology breakthroughs of battery materials, building new industrial competitive advantages with forward-looking technology layouts. We firmly believe that by strengthening the collaborative innovation system across the entire chain and deepening the concept of green and low-carbon development, we will inject strong momentum into the breakthrough of high energy density battery technology. In the future, the company will accelerate the transformation of technological achievements with a global perspective, driving the iteration and upgrading of new energy materials towards high safety, long life, and low cost, helping China continue to shape its core competitiveness in the global new energy race, providing hardcore technical support for achieving the "dual carbon" goals, and jointly mapping out the sustainable development blueprint of the clean energy era with industry peers.