[SMM Analysis] Ternary Cathode Market Demand Continues to Improve

This week, ternary cathode material prices continued their upward trend. Raw material side, nickel sulphate, cobalt sulphate, and manganese sulphate prices were basically flat this week. Mainly driven by spot lithium carbonate and lithium hydroxide prices still rising sharply, ternary cathode material prices reached a periodic high. Transaction side, spot lithium carbonate and lithium hydroxide prices saw a slight correction in the latter half of the week, providing some producers with pricing opportunities and resulting in small-batch order transactions. Long-term contract side, discounts showed no significant change recently.

Demand side, China's EV market was in a phase of concentrated stockpiling for new car models, with orders recovering notably; markets outside China also saw strong demand, driven by impressive European auto sales and stockpiling for new product launches by certain brands, jointly boosting order growth at cathode plants in China. Consumer market side, demand remained mediocre recently due to the traditional off-season and continuously rising raw material prices.