Around June 24, 2026, import and export data for products related to the cobalt and lithium battery industry chain for May were released. The data shows that spodumene imports in May continued to pull back from April, reaching 681,000 mt in physical content, down 10% MoM, equivalent to approximately 66,000 mt of lithium carbonate equivalent (LCE). On the lithium carbonate import side, China imported 37,555 mt of lithium carbonate in May, up 15% MoM and up 78% YoY. Cumulative imports of lithium carbonate from January to May reached 153,000 mt, up 53% YoY year-to-date... SMM has consolidated the import and export situation of battery materials, as follows: Upstream Lithium Concentrates Customs data indicates that spodumene imports in May continued to pull back from April, reaching 681,000 mt in physical content. By source country, port arrivals of Australian ore returned to relatively normal levels, with arrivals exceeding 330,000 mt this month, down 6% MoM; shipments from Zimbabwe that were loaded earlier arrived at 63,800 mt this month, down 41% MoM; exports from South Africa and Nigeria from April to May were relatively stable, with port arrivals ranging from 90,000 to 110,000 mt per month. Arrivals from Mali were low this month, at only 38,000 mt, which increased MoM but have not returned to relatively high levels. Additionally, after SMM screening, it can be seen that the incoming ore for the month was equivalent to 66,000 mt of LCE. Lithium concentrates accounted for 81% of the incoming ore, with the trend rising MoM compared to the previous month. Source: China Customs, compiled by SMM > [SMM Analysis] China's spodumene imports reached 681,000 mt in physical content in May 2026, down 10% MoM, equivalent to approximately 66,000 mt of LCE On the spot quotation for spodumene concentrates (CIF China), according to SMM spot quotes, the spot quotation for spodumene concentrates (CIF China) in May showed a trend of rising first and then falling. As of May 29, the spot quotation for spodumene concentrates (CIF China) was around $2,571/mt, up $31/mt from $2,540/mt at month-end April, an increase of 1.22%. > Click to view SMM's spot quotes for new energy products In May, enterprises that purchase spodumene externally for lithium extraction still hovered near the break-even line. At the beginning of the month, lithium carbonate prices rebounded, but spodumene concentrates followed suit and at one point rose more than salt prices, leading to continued losses. In the first half of May, lithium carbonate prices further rose, and non-integrated enterprises might briefly achieve slim profits on the spot; after mid-month, ore prices fluctuated at highs while lithium carbonate pulled back, causing enterprises to fall back into losses, which lasted until month-end. Enterprises that purchase lepidolite externally for lithium extraction continued to see stable profits in May. Although lepidolite concentrate prices fluctuated at highs due to tight supply, their increase was smaller than the rise in lithium carbonate, leaving profit margins for the smelting end. May 12: Yichun Mining auctioned 5,700 mt of 2% lepidolite concentrate at a transaction price of 5,760 yuan/mt, reflecting the tight balance at the ore end. As of June 24, spodumene concentrate (CIF China) spot prices remained at $2,291/mt. Lithium Carbonate According to customs data, China imported 37,555 mt of lithium carbonate in May, up 15% MoM and up 78% YoY. Of this, 24,522 mt came from Chile (65% of total imports), 11,422 mt from Argentina (30%), and 1,023 mt from Indonesia (3%). From January to May, China’s cumulative lithium carbonate imports reached 153,000 mt, up 53% YoY. In May, China exported 201 mt of lithium carbonate, down 46% MoM and down 30% YoY. Cumulative exports from January to May totaled 2,087 mt, up 1% YoY. China imported 12,107 mt of lithium sulfate in May, down 33% MoM but up 53% YoY. Cumulative imports from January to May reached 71,000 mt, up 105% YoY. According to SMM spot price data, spot lithium carbonate prices in May also showed a pattern of rising first and then falling. As of May 29, spot lithium carbonate prices stood at 177,500 yuan/mt, up 500 yuan/mt from 177,000 yuan/mt on April 30, an increase of 0.28%. 》Click to view SMM New Energy product spot prices Looking back at the May lithium carbonate market, according to SMM, spot lithium carbonate prices in China fluctuated upward with a notable rise in the price center, and the average monthly price rose 12% MoM. From the fundamental side, supply-side disruptions continued to fester, while on the demand side, production schedules for downstream cathode materials and battery cells remained at high levels. The June production schedule is expected to accelerate further, and the supply-demand time mismatch remains unresolved. Upstream lithium chemical plants maintained firm prices and held back from selling throughout the month. The downstream showed divergence: some enterprises restocked on dips, but most had limited acceptance of high prices and mainly made just-in-time procurement, leaving actual transactions relatively sluggish. In May, spot battery-grade lithium carbonate prices kept rising amid fluctuations, with a notable gain at month-end compared to the start of the month. The most-traded futures contract briefly broke through the 200,000 yuan/mt mark during the month. As of June 24, spot battery-grade lithium carbonate prices were quoted at 154,000-161,000 yuan/mt, averaging 157,500 yuan/mt. According to SMM, entering June, the lithium carbonate market saw a clear tug-of-war between longs and shorts, with the price center shifting significantly lower than in May. On the supply side, disruptions such as declining exports from Chile and license renewals for mines in Jiangxi provided bottom support for lithium carbonate prices. However, pressure from high warrant levels and expectations of Zimbabwean ore arrivals capped the upside for prices. Downstream material plants maintain a dip-buying strategy amid falling lithium carbonate prices, with stronger willingness to restock when prices hit psychological levels but lacking momentum to chase rallies. Upstream lithium chemical plants, on the other hand, still hold sentiment to hold prices firm. Currently, the tug-of-war between longs and shorts intensifies. In the future, close attention should be paid to the warrant inflection point, the arrival pace of Zimbabwe lithium ore, and the extent to which downstream production schedules materialize. Spot lithium carbonate quotes are expected to remain in the doldrums in the near term. Lithium Hydroxide According to customs data, in May 2026, China imported 3,932 mt of lithium hydroxide, down 41% MoM and up nearly fourfold YoY. Among them, imports from South Korea amounted to 2,029 mt, accounting for 51% of total imports; from Indonesia were 360 mt, marking a notable pullback; from Australia and Chile were 1,204 mt, making up 30%. In May, China exported 3,549 mt of lithium hydroxide, down 36% MoM and down 36% YoY, with 2,799 mt going to South Korea and 608 mt to Japan. Battery Materials LFP In May 2026, China's LFP exports reached 7,625.4 mt, up 29.3% MoM from April and up 710.0% YoY from May last year, setting a new monthly high for the year. On the pricing front, total export value in May was $62.6062 million, with an average unit price of roughly $8,210/mt, equivalent to about 55,951 yuan/mt, up around 6.9% from the April average. In terms of export destinations, there was a notable shift in May: exports to the US were the highest at 3,014.7 mt, leaping to first place; Thailand ranked second with 2,030.6 mt; exports to Malaysia totaled about 886 mt, ranking third; Japan and Vietnam recorded 620 mt and 420 mt, respectively. Compared with April, exports to Vietnam and Thailand increased significantly, while those to Poland and Canada declined. The overall export center shifted towards Southeast Asia and the US, which is closely related to the locations of battery cell manufacturers' clients. Overall, overseas demand remains robust. China's total LFP exports kept increasing, achieving multiple-fold growth YoY. In the future, as overseas battery capacity gradually comes onstream, China's LFP exports are expected to stay high. LiPF6 According to China customs data, in May 2026, China's cumulative exports of LiPF6 were approximately 1,500 mt, up about 72.8% MoM, while cumulative imports of LiPF6 were about 53.5 mt. On the export front, in May 2026, China's LiPF6 exports were about 1,500 mt, up about 72.8% MoM from April and up about 15.5% YoY. Specifically, this month, LiPF6 was mainly exported to South Korea, Poland, Malaysia, Japan, and other countries. Exports to Poland were 451.88 mt, up about 33.89% MoM; exports to South Korea were 591.006 mt, up about 622.47% MoM; exports to Japan were 109.8 mt, down about 42.62% MoM; and exports to the US were 77.4 mt, down about 24.05% MoM. Overall, overseas procurement volume for LiPF6 recovered somewhat in May. Artificial Graphite In May 2026, China's artificial graphite imports were 980 mt, up 29.5% MoM but down 21.8% YoY. In terms of the average import price, in May 2026, the average import price of China's artificial graphite stood at 60,148 yuan/mt, down 20.8% MoM but up 37.3% YoY. In May 2026, China's artificial graphite exports were 50,038 mt, up 9.03% MoM but down 4% YoY. In terms of the average export price, in May 2026, the average export price of China's artificial graphite stood at 7,729 yuan/mt, down 16.12% MoM and down 12.91% YoY. Looking at the overall export data, while total artificial graphite exports recorded MoM growth in May, the combined shipments of the top five exporting provinces in China registered a 19% MoM pullback. Performance by province diverged significantly, with two provinces seeing their exports down sharply 40% MoM, another province posting an MoM decline approaching 30%, and major production regions showing marked export weakness. Flake Graphite In May 2026, China's flake graphite imports were 5,944 mt, up 87% MoM and up 22% YoY. Data source: China Customs, SMM In May 2026, China's flake graphite exports were 7,641 mt, up 87% MoM but down 12% YoY. The significant 87% MoM rise in flake graphite exports in this period was mainly driven by the low base effect stemming from the delayed delivery of export orders in April. Affected by earlier logistics delays, production schedule postponements, and other factors, export shipments in April were at a relatively low level, and previously backlogged export orders were concentrated for customs declaration and shipment in May, driving a sharp MoM increase in export volumes this month. Phosphate Ore In May 2026, China's phosphate ore imports stood at 131,000 mt, down 36.4% MoM, with an average price of $93/mt, down slightly 2.6% MoM. Import sources were highly concentrated in Egypt (128 kt, accounting for 97.7%), while shipments from Peru and Jordan were interrupted. Exports stood at 32 kt, up 189.6% MoM, with Hubei resuming exports of 21 kt. The Egyptian government halted new export contracts in mid-May, intensifying supply uncertainty going forward, which may further pressure import costs. The provincial mix shifted dramatically as Hubei imports fell to zero and Guangxi reclaimed the top spot. Characteristics of China’s phosphate ore import market in May: First, total volume pulled back significantly, with imports down more than one-third MoM; second, sources were highly concentrated, with Egypt alone accounting for as much as 97.7%, while shipments from Peru and Jordan were interrupted; third, the provincial mix shifted dramatically, as Hubei imports fell to zero and Guangxi reclaimed the top spot. The Egyptian government announced in mid-May that it would stop signing new phosphate ore export contracts. The uncertainty surrounding Egyptian cargo supply will rise markedly in the coming months, potentially pushing import costs higher and exacerbating tight supply. At the same time, the recovery in exports from Hubei and Guizhou reflects a rebalancing of the regional supply-demand pattern for domestic phosphate ore. Cobalt Cobalt Hydrometallurgy Intermediate Products In May 2026, China’s imports of cobalt hydrometallurgy intermediate products were approximately 2,584 mt in physical content, up 107% MoM and down 95% YoY. Imports from the DRC were approximately 2,066 mt in physical content, up 119% MoM and down 96% YoY. The average import price of cobalt hydrometallurgy intermediate products in China in May 2026 was $16,607/mt in physical content, down 3.37% MoM. Reports indicate that some Chinese-invested miners have gradually increased chartered shipments since May, with several leading miners progressively resuming shipments from June onward. Port arrivals of intermediate products are expected to slowly pick up in the coming months and are likely to achieve bulk arrival volumes after August. Unwrought Cobalt In May 2026, China’s imports of unwrought cobalt were approximately 673 mt, down 50% MoM and up 3% YoY. In May, the top three sources by refined cobalt import volume were Indonesia (211 mt), Madagascar (93 mt), and Canada (85 mt). The sharp MoM decline in imports was mainly due to the depletion of low-priced cobalt raw materials previously accumulated outside China, while newly imported cobalt plates and cobalt briquettes were priced higher than other domestic cobalt raw materials, reducing smelters’ willingness to purchase for dissolution. The average import price of unwrought cobalt in China in May 2026 was $54,557/mt, up 3.48% MoM. Cumulative imports in January-May 2026 totaled 6,589 mt, up 120% YoY. Exports, in May 2026 China's unwrought cobalt exports were approximately 370 mt, up 70% MoM and down 88% YoY. By destination, exports to the Netherlands surged to 205 mt in May, up 791% MoM. Average export price, the average export price of China's unwrought cobalt in May 2026 was $53,403/mt, down 2.17% MoM. Cumulative exports in January-May 2026 totaled 2,161 mt, down 79% YoY.

On June 17, 2026, the 2026 SMM (3rd) ASEAN Automotive Supply Chain Conference , organized by Shanghai Metals Market (SMM), successfully wrapped up at the Hyatt Regency Bangkok Suvarnabhumi Airport in Bangkok, Thailand! This conference serves as an annual gathering of Southeast Asia's auto industry, bringing together 500+ delegates, 40+ speakers, 10+ partners and 35+ exhibitors from 15+ countries. Conference Background The Southeast Asian EV industry is at a strategic crossroads. Thailand's "30/30" policy is driving adoption, with EV penetration projected to near 15% by 2025. Indonesia is building a full battery chain using its nickel resources, while Vietnam's market potential grows. Amidst supply chain restructuring and technological competition, strategic action is key. The 3rd SMM Asean Automotive Supply Chain Summit 2026 is designed to empower businesses by focusing on: Unlocking NEV Potential: Analyzing ASEAN's role as a production/export hub and examining OEM technology roadmaps. Bridging the Supply Chain: Leveraging SMM's platform to integrate resources and facilitate deals. Establishing a Price Benchmark: Promoting the use of SMM Southeast Asia metals price assessments in procurement. We believe in turning consensus into action. Join us in Bangkok in 2026 to transform strategic blueprints into tangible advantages. 》Click to Watch the Conference Live Video 》Click to View the Conference Photo Live Stream June 16 Main Forum Opening Address Speaker: Adam Fan, Chairman of SMM Opening Keynote: Thailand EV Outlook 2026 Guest Speaker: Dr. Yossapong Laoonual, Honorary Chairman and Advisors, Electric Vehicle Association of Thailand (EVAT) Dr. Yossapong Laoonual noted that the ownership of battery electric vehicle (BEV) models is expected to surpass that of hybrid models in the medium and long term. Thailand’s BEV penetration rate will also rise steadily, supported by well-developed charging infrastructure. Data shows that the number of DC charging piles in Thailand has continued to grow, with installations already exceeding the government’s planned phased targets. The country’s 2030 charging pile target is 12,000 units, and multiple supporting regulations for motor vehicles have already been implemented locally. Local planning stipulates that each pile should serve 10-15 BEVs. Compared with markets outside China, where each pile in Europe serves fewer than 15 BEVs on average and in China fewer than 10, Thailand currently faces an imbalanced vehicle-to-pile ratio and still requires the large-scale addition of new charging piles. Thailand’s charging piles are primarily located at gas stations, with shopping malls and office buildings as secondary deployment sites. Local gas stations feature diverse commercial formats, offering excellent conditions for setting up charging stations. However, range anxiety remains widespread among consumers, and charging facilities along highways need to be further improved to alleviate concerns about recharging on the road. Opening Keynote: Southeast Asia’s New Automotive Ambition:Can Industry Players Successfully Navigate Transformation Amid Challenges? Guest Speaker: Krzysztof Tokarz, Chairman of the Automotive Working Group, TEBA Founder of Auteneo He stated that there were four core strategic challenges in the electrification transformation of Southeast Asian automakers: First, a shortage of professional talent, with undersupply of high-quality talent in the EV and software fields, fierce competition for industry talent, and enterprises needing to plan for talent cultivation and retention; Second, cross-cultural coordination difficulties: significant differences in working models among Chinese, Japanese, Korean, European, American, and local enterprises, which easily led to issues such as lack of trust and poor cooperation; Third, complex and changing regional regulations: fragmented regulatory systems across Southeast Asian countries, with a fast pace of policy updates over the past year or more, placing high demands on enterprises' policy adaptation capabilities; Fourth, profitability pressure, as electrification reshaped the pricing system, with many automakers experiencing simultaneous contraction in revenue and profit margins, necessitating the exploration of long-term profitable models. Overall, he believed that while he currently maintained a cautiously optimistic attitude towards the development of industry technology and products, the aforementioned challenges still urgently needed to be addressed. Panel Discussion: Leadership Dialogue: East Asian Titans' "Southeast Asian Chessboard" Moderator: David Huang, The Head of Strategy, Marketing and Business Development, Forvia China Panelists: Dr. Yossapong Laoonual, Honorary Chairman and Advisors, Electric Vehicle Association of Thailand (EVAT) Suphot Sukphisarn, Honorary Chairman, Auto Parts Industry Club (APIC), The Federation of Thai Industries (FTI), Deputy Secretary General, Thai Auto-Parts Manufacturers Association (TAPMA） Krzysztof Tokarz, Chairman of the Automotive Working Group at TEBA, Founder of Auteneo Dr. Viroj Patcharawatanakul, Chief Marketing Officer (CMO), AAPICO Hitech PCL. The panelists noted that ASEAN countries have distinct industrial advantages: Malaysia has ample electronic factory resources, Indonesia possesses mineral resources needed for battery production, and Vietnam offers comprehensive labor incentive policies. To fully leverage each country's locational appeal, overall integrated planning is required. The ASEAN NEV market is expanding rapidly overall, with the regional EV penetration rate more than doubling. Thailand and Vietnam have seen impressive growth in XEV production and sales. Local vehicle production capacity remains stable, and Chinese new energy brands such as BYD, MG, and Great Wall have established a presence in Thailand, driving up demand for new energy parts supply. Thailand has a well-established multi-tier parts supply system: 27 vehicle manufacturers, 500 Tier 1 suppliers, and 1,800 Tier 2 and Tier 3 parts producers. Traditional mechanical processing industries like stamping, injection molding, rubber processing, machining, casting and forging, and assembly have a solid foundation, with huge annual parts capacity, providing the manufacturing capability to support new energy parts production. Keynote Speech: Navigating Automotive Disruption in Southeast Asia Guest Speaker: Timothy Wong, Principal, Roland Berger Roland Berger noted that AI-driven automation continues to advance and autonomous driving is developing steadily. It is expected that by 2040, autonomous driving will still struggle to become mainstream. However, AI technology has already disrupted the automotive industry, becoming a core driving force for enterprises to build differentiated advantages, enhance competitiveness, and innovate business models. The automotive industry is currently undergoing comprehensive disruptive changes, mainly in five dimensions: First, the automotive supply chain value chain is undergoing fundamental transformation, with vehicles and core parts upgrading toward electrification and electronics. Industry enterprises urgently need to adjust their product structures and proactively position themselves in emerging tracks; passively responding to market changes will entail significant risks. Second, the nature of automotive products is being reshaped by technology, shifting from traditional mechanical vehicles to software-defined vehicles. Sole mechanical manufacturing capabilities can no longer meet development needs; enterprises must build diversified cooperation ecosystems involving semiconductors, software, and sensors to cultivate new industrial capabilities. Third, the consumer market is undergoing significant iteration, with consumer car purchase preferences gradually tilting toward emerging brands, and industry competition continuing to intensify. Fourth, the pace of market iteration has greatly accelerated. Compared with the model update pace of once every few years by traditional automakers, Chinese brands iterate at a much faster pace, forcing the supply chain toward agile transformation and adaptation to rapidly changing vehicle specifications. Fifth, the aftersales distribution model is being disrupted, with traditional parts revenue being impacted by the growth of EVs. New direct-to-consumer models are emerging, requiring enterprises to restructure their distribution networks and expand aftersales services related to power batteries and electrification. Overall, all industry participants must proactively face transformation risks, actively transform and strategically restructure supply chains, vigorously explore new clients and deploy new businesses, abandon passive thinking that clings to existing models, and proactively plan future business development directions, so as to continuously maintain market competitiveness. Keynote Speech: Moving Beyond Negotiation: Fostering a New Framework for Southeast Asian Supply Chain Collaboration Based on the SMM Price Index Guest Speaker: Sing Yao, Director of Steel Business Unit, SMM Information & Technology Co., Ltd. She noted that Southeast Asia as a whole exhibits low per capita automobile ownership, limited NEV penetration, and a large young population, which holds enormous incremental market potential. This vast blue ocean is attracting leading Chinese NEV manufacturers to accelerate their footprint in the region. At the same time, however, Southeast Asian auto parts are highly dependent on imports, and the industry chain has long faced two major pain points: procurement difficulties and disorderly pricing. The launch of the SMM Southeast Asia Price Index may open up a new path for collaborative development of the local automotive supply chain. Low Per Capita Automobile Ownership, Limited NEV Penetration, and Large Young Population Create Vast Market Opportunities for Automakers According to SMM, in recent years, Southeast Asia’s automotive industry chain has shown remarkable resilience, with regional automobile production growing by 24.1% from 2020 to 2022. Although 2024 saw a cyclical decline for the first time due to global economic sluggishness, the decline in production and sales in Thailand and the broader Southeast Asian market has narrowed in 2025, underscoring the self-repair capability of the regional supply chain. As the region’s core hub, Thailand continues to dominate Southeast Asia’s automotive industry landscape with a capacity share of over 40%. In the short term, Thailand will maintain its position as a regional production center and export base, but its long-term competitive advantages are facing structural challenges: the sustained contraction of local capacity and the upgrading of neighboring countries’ industry chains are compelling it to accelerate technological transformation and supply chain restructuring. Driven by the immense allure of this industry “blue ocean,” leading Chinese NEV manufacturers are accelerating their expansion into the Southeast Asian automotive market. Keynote Speech:Baowu JFE Southeast Asia Strategy Sharing Guest Speaker: Liang Chen, Vice General Manager, Baowu Jiefuyi Special Steel Co., Ltd. He that overall steel production in Southeast Asia is declining, but the penetration rate of new energy electric vehicles (EVs) is surging: Thailand’s EV-related demand is up 80% YoY, while Indonesia’s demand has experienced a multiple-fold rise, with subsequent growth potential continuing to be released. Local NEV manufacturers previously purchased Japanese steel, but are gradually switching suppliers now, driven by industry competition and cost pressure. This also represents a core opportunity for the company to promote its supporting supply services. Leadership Panel: The Steel vs. Aluminum Debate and Cost Challenges Moderator: Michelle Leung, Head of Asia Metals and Mining, sustainability, Bloomberg LP Panelists: Thanakorn Thangwanichkapong, Director of Asia Operations, Maxion Wheels Martin Dilly, Southeast Asia Area Sales Director, Bureau Veritas The panelists noted that multiple disruptions, including the situation in the Strait of Hormuz and national tariff adjustments, have moved beyond short-term impact and are driving the restructuring of the entire steel and aluminum industry chain, with the structural transformation of the aluminum industry being particularly pronounced. Global supply chain vulnerability continues to intensify, and upward cost pressure on the industry has increased. Tariff barriers are reshaping the global trade landscape, and market competition is becoming increasingly fierce. The implementation of industrial localization has accelerated, but the pace of progress in Southeast Asia has seen a slowdown. Overall, only enterprises that possess both flexible logistics and procurement capabilities and a robust compliance management system can gain an advantage amid the industry transformation. Keynote Speech: Analysis of Southeast Asia's Secondary Aluminum Market and Price Trends Guest Speaker: Wong Yan Ling, Senior Aluminum Analyst, SMM Information & Technology Co., Ltd. She noted that Southeast Asia has become one of the fastest-growing secondary aluminum markets globally, and the worldwide competition for scrap resources is continuously reshaping the regional supply landscape. As resource protection policies are progressively implemented across various countries and regional manufacturing demand steadily expands, ASEAN countries are expected to further consolidate their core position in the global secondary aluminum industry chain. Regarding secondary aluminum price trends in H2 2026, SMM analysis suggests that weak seasonal demand in Southeast Asia may suppress the upside room for secondary aluminum prices, while the geopolitical situation in the Middle East remains a key variable affecting market trends. If shipping through the Strait of Hormuz returns to normal, cost pressures from logistics could ease. However, persistently tight scrap supply coupled with potential logistics disruptions may still drive up regional secondary aluminum prices. Specialized Seminar: Co-building a Resilient Automotive Materials Supply Chain for Southeast Asia Moderator: Sing Yao, Director of Steel Business Unit, SMM Information & Technology Co., Ltd. Panelists: Zongyan Fu, Purchasing Manager, Changan Auto Southeast Asia Co., Ltd. Weijiang Xue, Chief Engineer of Product R&D, Jiangsu Yonggang Group Co.,Ltd. Hui Yuan, General Manager, Tianjin Dewy Metal Surface Treatment Co., Ltd. Yi Huang, Deputy General Manager, Guangdong Superband Precision Industry Co.，Ltd. Thanakorn Thangwanichkapong, Director of Asia Operations, Maxion Wheels Hongwei Liu, General Manager, BYH NEW TECHNOLOGY CO., LTD. Saurabh Sharma, Sr General Manager & Executive Director, Hero Motors Thai Ltd. Zou Xiang, Business Office Director, Baowu Jiefuyi Special Steel Co., Ltd HaiBin Jia, Deputy Marketing Director, Beijing Jianlong Heavy Industry Group Co., Ltd. The panelists engaged in in-depth exchanges, drawing from their own business practices, focusing on the core topic of deep development in the Southeast Asian automotive industry. They focused on enterprises' current business layouts, operating status, and development trends in the Southeast Asian automotive market, and deeply analyzed core pain points and challenges such as supply chain adaptation, stable supply, and logistics support in the process of going global. At the same time, they shared detailed experiences regarding common challenges faced by enterprises going global, including localization certification, compliance system adaptation in and outside China, and alignment of policy standards. They also discussed core paths for enterprises to anticipate market changes, precisely allocate industrial resources, and quickly adapt to regional market rules and industry demands, focusing on industry trends. Furthermore, focusing on supply-demand coordinated development, they elaborated on their expectations for future cooperation models, collaboration mechanisms, and partnership needs with Chinese material suppliers. As buyers, they also clarified the types and directions of high-quality Southeast Asian clients they plan to prioritize for connection and cooperation, providing practical ideas and references for precise supply-demand matching and deep cultivation of the Southeast Asian automotive market for Chinese enterprises going global. Day 2: June 17 Keynote Speech: Analysis and Outlook of the Supply Chain in the Southeast Asian New Energy Market Speaker: Jena Wang, New Energy Consulting Project Manager, SMM Information & Technology Co., Ltd. She stated that driven by the rapid growth of the Southeast Asian NEV market, several automakers are accelerating their localization strategies. Battery demand in each country will also increase rapidly, with the region's total battery demand expected to grow by about ten times from 2025 to 2030, reaching approximately 201 GWh. However, it is worth noting that currently, Southeast Asia faces issues with low localization rates, significant structural gaps, and heavy import dependence for cathode materials and motor components. In Southeast Asia, the supply of local cathode materials and key motor components cannot meet demand, and the low localization rate and large capacity gaps have become key bottlenecks restricting the development of the NEV industry chain in the region. Data indicates that China's global production share of key new energy raw materials—such as batteries, cathode materials, lithium chemicals, and rare earth permanent magnets—generally exceeds 70%, with its capacity ranking first worldwide, demonstrating a significant advantage. In addition, she introduced the capacity distribution and industrialisation progress of key materials in the new energy markets of core Southeast Asian countries. Vietnam: Local automaker VinFast is boosting rapid development of the entire vehicle and upstream/downstream supporting industry chain. Thailand: As a core hub for automotive manufacturing and export in Southeast Asia, it boasts a relatively complete supporting system for motor and electric drive-related industries. Malaysia: It possesses a mature automotive industry foundation, but its local supporting capability for the three electric systems is insufficient; local policies focus on supporting vehicle assembly and regional distribution operations. Indonesia: With abundant nickel resources, it holds a pronounced competitive edge in the battery raw material industry. Overall, SMM believes that the capacity for core new energy components in Southeast Asia is relatively small. National policies are promoting localisation and industrial upgrading, leaving significant room for supply chain development. Leadership Panel: Supply Chain Security and Opportunities in Southeast Asia Moderator: Peter Klöpfer, Senior Manager Automotive Business Unit, RUTRONIK Electronics Worldwide Panelists: Akshay Prasad, Principal, Arthur D. Little SEA Alex Zhan, Head, ZF LIFETEC Thailand Asst.Prof.Uthane Supatti Ph.D., Head of the Power Electronics Applications and Energy Management (PEEM) Research Unit, Faculty of Engineering at Sriracha, Kasetsart University, Thailand Vice President, Electric Vehicle Association of Thailand (EVAT) The panelists discussed about core themes of the Southeast Asian automotive supply chain. First, they addressed the delivery timeline crisis caused by sudden supply shortages, the crisis of lacking transparency in the industry chain, the crisis of industry-wide collaboration barriers, and the crisis of trust failure between upstream and downstream players. They jointly explored systematic resolution strategies and elaborated on their respective countermeasures. Building on this, the on-site guests further discussed the Japanese industry chain and China’s domestic supply chain, analyzing the development opportunities, long-term prospects, and practical implementation logic of two-way opening, healthy competition and cooperation, and deep integration between the two. Leadership Panel: Capacity Coopetition and Customer Breakthrough: Winning the Southeast Asian Supply Chain Battle Moderator: Wacharapisuth Thannapong, Researcher, BCG (Bio-Circular-Green Economy Policy) Research Team, Thailand Development Research Institute (TDRI) Panelists: MARK BRIAN PIRIE, Senior Vice President Purchasing & Supplier Management Asia Pacific, Executive Board Member, Schaeffler Frank Yu, General Manager of the Automotive Rubber & Metal Components Business Unit and Thailand Branch, Shanghai Baolong Automotive Corporation The panelists assessed the overheating of three-electric system (battery, motor, electronic control) capacity in Southeast Asia. They noted that overcapacity in three-electric systems is a global trend. The capacity now deployed in Southeast Asia and Thailand already exceeds confirmed demand, intensifying market uncertainty and heightening investment concerns. Risks are structurally differentiated: Tier-1 suppliers are more conservative and risk-averse compared to China’s domestic vehicle makers that are rapidly going global. There is localized overcapacity in basic e-drive parts and low-difficulty electronic components, while supply bottlenecks persist for key items such as high-performance automotive-grade semiconductors, advanced materials, and electrical steel. This is also a core motivation for Chinese suppliers setting up in Southeast Asia. Moreover, Southeast Asia’s geographical advantages are prominent, and mine development in Australia is progressing rapidly. Many mines are set to commence production by Q3 next year. The core contradiction in the industry is not simply overall surplus, but a mismatch between the regional allocation of capacity, the technologies adopted, and actual market demand. Additionally, the guests noted that the core challenges in Southeast Asia and Thailand revolve around three major issues: regional adaptation, supply chain gaps, and industrial competition and collaboration. Enterprises must independently weigh risks and expansion scales based on their own supply chain conditions to find a development balance suited to their needs. Meanwhile, to adapt to the unique environment of Southeast Asia—characterized by high temperatures, high humidity, floods, complex road conditions, and underdeveloped charging infrastructure—the EV technologies originally designed for the Chinese and European markets must undergo localized R&D and verification. This process ensures the reliability of batteries, electronic controls, and lubrication systems, as well as overall vehicle durability. It is recommended that Tier 1 suppliers and upstream partners proactively collaborate in depth with OEM design teams. Even for domestically mature production car models going global in Southeast Asia, it is essential to iterate and optimize products by leveraging local expansion opportunities while drawing on the cost, process, and quality control expertise gained from large-scale domestic production. Leadership Panel: Techno-Economic Analysis and Strategic Pathways for Battery Material Localization in Southeast Asias Moderator: Jay Yu, Senior director, SMM Information & Technology Co., Ltd. Panelists: Brian, Sales Director for the Electrolyte Division in Japan, South Korea, and Southeast Asia, TINCI Materials Max Miao, Director, SEVB Thailand Feng Hao, Southeast Asia Marketing Director, Hefei Guoxuan High-Tech Power Energy Co., Ltd. The panelists noted that amid the restructuring of global manufacturing, Southeast Asia’s lithium battery industry faces both challenges and opportunities. Enterprises are following downstream OEM clients in going global, establishing nearby supply systems centered on customer needs. Three key operational aspects require consideration. First, at the policy level, Southeast Asia’s lithium battery industry must supply both the local market and target exports to Europe and the U.S. Regional policy changes have far-reaching impacts, requiring enterprises to conduct ongoing in-depth analysis and implement corresponding response strategies. Second, in terms of human and cultural factors, local traditions and family values are distinct, necessitating flexible management that fully respects local customs, cares for local employees, and stabilizes production teams. Third, regarding the industry chain, the region’s upstream lithium battery materials are notably underdeveloped. Key raw materials such as high-purity solvents, lithium chemicals, and functional additives currently rely heavily on imports from China, Japan, and South Korea. The establishment and improvement of local upstream and downstream supply capabilities urgently need to be addressed, making this a key focus for future enterprise deployment. In addition, they also mentioned that in H2 this year, NEV-related subsidies in Southeast Asia may be gradually phased out, and Thailand's EV 4.0 policy and the year-end tax rebate policy will also undergo adjustments. Drawing on China's NEV development experience, local automakers will gradually break free from reliance on policy subsidies and instead compete in the market by leveraging product strength and market-based pricing. This year, Thailand's NEV sales are conservatively estimated to reach 120,000 units, with a potential to hit 160,000 units. Compared with Japanese car models, Chinese NEV models have ample room for price adjustment, offering a clear advantage. Currently, battery enterprises are actively assisting automakers in expanding markets and securing more orders, while also suggesting that automakers moderately raise vehicle selling prices. The industry generally believes that automakers will most likely offset the operational pressure from subsidy reductions through price adjustments in the future. Procurement Matchmaking Meeting >Click to view more highlights from the event Check-in & Networking This is the end of the 2026 SMM (3rd) ASEAN Automotive Supply Chain Conference . Thank you for the support of all industry peers. See you next year!

Cangzhou Mingzhu announced that the remaining production lines of its downstream subsidiary Wuhu Separator's "200 million sq m/year wet-process lithium-ion battery separator project" and Mingzhu Lithium Battery's "500 million sq m/year dry-process lithium-ion battery separator project" have been fully put into operation. With a combined annual capacity of 700 million square meters, these two projects will significantly boost the company's market share and competitiveness in the lithium battery separator industry.

On June 23, Fulin Precision announced that its board of directors has approved a proposal regarding a subsidiary signing a "Project Investment Cooperation Agreement" for a new integrated project producing 200,000 tons of lithium dihydrogen phosphate annually, along with a supporting 100,000-ton thermal-process phosphoric acid project. The project has an estimated total investment of 3 billion yuan and plans to cover an area of approximately 300 mu. The project will be advanced in phases. The lithium dihydrogen phosphate section, covering the process from lithium carbonate to lithium dihydrogen phosphate, is scheduled to be completed and put into production by March 30, 2027. The upstream section, covering the process from lithium concentrate to lithium sulfate, is scheduled to be completed and put into production by September 30, 2027, reaching an annual scale of 200,000 tons.

On June 22, CATL and Octopus Energy, the largest energy company in the UK, announced plans to establish a joint venture. The two parties will jointly build a heavy-duty truck battery swap network in Europe. CATL will introduce its Qiji battery swap technology to Europe, promoting the electrification transformation of road freight by enhancing the charging efficiency of heavy-duty trucks. According to the plan, in 2027, the two parties will complete the construction of the first batch of demonstration battery swap stations in the UK, prioritizing coverage of major highway trunk lines and key logistics ports. It is expected that by 2035, the battery swap station network will expand to more than 30 stations, with business reach extending to Scotland and Wales, forming a battery swap network covering the UK's core trunk routes.

On June 18, Shenzhen Dynanonic Co., Ltd. disclosed a plan for a private placement of shares to specific qualified investors in 2026. The company plans to issue shares to no more than 35 qualified investors, raising a total amount not exceeding 2.9 billion yuan. The primary investment project for this private placement is the Integrated Lithium Battery New Materials (Phase I) project, which is the 200,000 tons/year advanced phosphate materials project. The implementing entity for this project is Qujing Zhanyi Dynanonic Technology Co., Ltd., with an estimated construction period of 24 months. The project will add a new annual production capacity of 200,000 tons of next-generation high-compaction advanced phosphate materials.

Sila Nanotechnologies, Inc. and Georgia Tech Research Corporation filed a Section 337 complaint with the U.S. International Trade Commission (ITC) on June 18, alleging that certain anode materials used in battery cells and batteries violate Section 337 of the U.S. Tariff Act of 1930 through their importation, sale, or distribution in the United States. The filing concerns lithium battery anode materials and is currently at the complaint stage pending ITC review.

Dynanonic announced a proposed private placement to raise up to RMB 2.9 billion. Proceeds will mainly be used for its Phase I integrated lithium battery materials project, which is expected to add 200,000 tonnes per year of high-density phosphate material capacity.

Yinghe Technology announced plans to acquire a 100% stake in Aonhua (Shanghai) Automation Engineering Co., Ltd. for Yuan 204 million. Upon completion, Aonhua Automation will become a wholly owned subsidiary of the company. Yinghe stated that the acquisition will strengthen its downstream integration capabilities and enable full-process equipment coverage from electrode manufacturing to module and PACK assembly, enhancing its one-stop lithium battery production line solutions.

[SMM Lithium Battery Anode Raw Material Market Weekly Review: Integrated Capacity Gap Supports Artificial Graphite Strength, Weak Demand and Cost Floor Keep Natural Graphite Stable] June 18 News: This week, artificial graphite anode material prices remained stable. Cost and profit side, the cost pressure caused by earlier price increases in raw materials and outsourced processing has gradually eased.