June 23 lithium hydroxide price weak operation

Price Quotes

Today, the cash price including tax in China's battery-grade lithium hydroxide monohydrate (LiOH:56.5%) market fell, currently between 58300 and 72100 yuan/ton, with an average price of 65200 yuan/ton, down 200 yuan/ton from yesterday.

Today, China's industrial grade lithium hydroxide monohydrate (LiOH ≥ 56.5%;Na≤ 0.002%) The market acceptance price including tax fell, currently at 49100~59100 yuan/ton, with an average price of 54100 yuan/ton, down 200 yuan/ton from yesterday.

Integrated

Today, the lithium hydroxide market continues the pattern of weak shocks, the current contradiction between supply and demand has not been alleviated. Although the upstream lithium salt plant intends to stand up the price, but the high inventory pressure superimposed on the circulation of sufficient supply, resulting in limited bargaining power. Downstream materials enterprises procurement strategy is cautious, only on-demand replenishment, no large-scale stocking demand, market transactions to just need-based. In addition, the uncertainty of tariff policy has exacerbated supply fluctuations in overseas markets, but the decline in domestic lithium carbonate prices has further dragged down the lithium hydroxide market.

raw material market

Lithium pyroxene price weak operation, overseas mine price willingness and downstream receiving weak formation of a see-saw, the transaction range narrowed. Lithium salt plant acceptance of high-priced ore is low, some smelters due to profit upside down production reduction, but the head enterprises through technical reform to maintain high production, the overall supply of loose pattern has not changed. It is worth noting that the price of lithium carbonate continued to fluctuate at a low level, further weakening the cost support of lithium hydroxide.

Downstream Market

The recent weak performance of the downstream market is mainly affected by the traditional off-season of new energy vehicles and the contraction of overseas orders. Domestic power battery enterprises procurement will be sluggish, high nickel ternary material demand growth rate is not as expected, some positive material factories even take the initiative to reduce inventory, exacerbating the market supply and demand imbalance. The energy storage sector was affected by the decline of policy subsidies, and the project promotion slowed down, further curbing lithium hydroxide consumption. On the export side, China's lithium hydroxide exports decreased month-on-month in major overseas markets such as South Korea due to high inventories and a significant decline in purchases. In addition, lithium carbonate prices continue to bottom out to weaken the cost support, downstream enterprises to strengthen the price mentality, market transactions to low-cost just demand-based, short-term demand side is difficult to show a warming signal.

Aftermarket Forecast

Short-term lithium hydroxide prices or the continuation of low volatility. On the one hand, lithium salt plant inventory high superimposed on the release of new capacity, the pressure of oversupply is difficult to ease, on the other hand, downstream demand is subject to the seasonal adjustment of new energy vehicles and weak end consumption, procurement enthusiasm is limited. Against the backdrop of depressed market sentiment, prices are likely to continue to test the lows of the year. Need to focus on the lithium salt plant joint production reduction trend and new energy vehicle subsidy policy adjustment, if the policy is favorable release or inventory accelerated de-stocking, prices or usher in a phased repair, but the rebound space is subject to fundamental pressure.