Developing local processing capacity is not simply a matter of building another plant next to a mine. It requires a country to simultaneously possess reliable energy supply, logistics infrastructure, chemical-industry capabilities, engineering expertise, customer qualification systems, access to financing, policy continuity and transparent pricing mechanisms. Resources can attract investment, but they cannot guarantee project success.

June 5 News: North China ports: South African high-iron ore at yuan/mtu 32-32.5, down WoW from last Friday; South African semi-carbonate ore at yuan/mtu 37.8-38.3, down WoW from last Friday; Gabonese ore at yuan/mtu 41.2-41.8, flat WoW from last Friday; 46% grade Australian lumps at yuan/mtu 43.5-44, down WoW from last Friday; South African medium-iron ore at yuan/mtu 38.5-39, down WoW from last Friday. South China ports: South African high-iron ore at yuan/mtu 34.9-35.4, down WoW from last Friday; South African semi-carbonate ore at yuan/mtu 36.5-37, flat WoW from last Friday; Gabonese ore at yuan/mtu 41.7-42.2, flat WoW from last Friday; 46% grade Australian lumps at yuan/mtu 43.5-44, down WoW from last Friday; South African medium-iron ore at yuan/mtu 38-38.5, down WoW from last Friday. With weakening cost support outside China and sluggish end-use demand, spot manganese ore in China fluctuates downward overall, though the short-term decline has moderated somewhat.

Zeekr Korea unveiled the premium midsize electric SUV “7X” in South Korea and will begin full-scale sales in the second half of this year. In South Korea, the model will be offered in three trims: Pro, Max and Ultra. The Pro trim is equipped with Zeekr’s self-developed 75 kWh lithium iron phosphate (LFP) “Golden Battery.” The Max and Ultra trims are equipped with 100 kWh high-performance nickel-cobalt-manganese (NCM) batteries supplied by CATL. The Pro and Max trims each feature a single electric motor, delivering a maximum output of 421 hp and maximum torque of 45 kgf·m. Their certified driving ranges are 375 km and 483 km, respectively. The Ultra trim is an all-wheel-drive (AWD) model based on a dual-motor system, with motors mounted on the front and rear axles. It delivers up to 645 hp and maximum torque of 72.4 kgf·m, with a maximum driving range of 440 km.

Consumer battery cell manufacturers are generally adopting a wait-and-see attitude, expecting further declines in raw material prices. A few manufacturers have made small-batch restocking purchases, while most are waiting for prices to drop further.

This week, ternary cathode precursor prices pulled back. Nickel sulphate prices performed relatively strongly this week, while cobalt sulphate prices declined and manganese sulphate prices remained stable. Discount side, for June and Q2 orders, as nickel sulphate raw materials were relatively tight and prices ran strong, some producers were willing to raise discounts. Long-term contract side, some producers' long-term contracts had been agreed upon, with no direct raises yet. Spot order side, as nickel sulphate prices remained at a relatively high level, nickel coefficients for some consumer-segment spot orders in June rose notably, but cobalt sulphate prices performed relatively weakly, and coefficients had not yet recovered significantly. Production side, driven by end-use demand, some producers saw strong export orders; coupled with raw material price increases, this pushed downstream stockpiling willingness in China to recover, with top-tier producers maintaining high production schedule levels. Looking ahead, sulphate cost support has been relatively strong recently, but downstream price acceptance is expected to depend on downstream demand conditions in Q2.

As of Wednesday, the spot price of SiMn 6517 (cash) in the north China market was 5,900-6,000 yuan/mt, down WoW from the previous Wednesday; the spot price of SiMn 6517 (cash) in the south China market was 6,000-6,100 yuan/mt, also down WoW from the previous Wednesday. Currently, SiMn futures and spot prices were moving sideways within a mid-range overall, and the short-term support of raw material costs for spot prices had somewhat weakened.