[SMM Weekly Review] Energy Storage Demand Gained Momentum, and Prices of Cascaded Grade B LFP Rose First, 2026.03.09-2026.03.12

Published: Mar 12, 2026 17:04

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This week, prices for some Grade-B battery cells in the second-life battery market rose. Cost side, lithium carbonate prices fluctuated more sharply this week and showed an overall upward trend, directly pushing up battery cell production costs; nickel sulphate prices edged up, while cobalt sulphate prices remained stable, providing mild support on the cost side and lifting overall cost pressure somewhat. Supply side, the market was clearly boosted by energy storage demand, enterprises showed relatively strong willingness to sell, and circulating supply was steadily released; coupled with rising lithium carbonate prices, enterprises' expectations for higher costs strengthened, and overall pricing sentiment remained firm to slightly stronger. Demand side, demand for second-life Grade-B battery cells recovered significantly, mainly driven by the energy storage market, as downstream energy storage projects commenced and supporting demand continued to be released, noticeably boosting procurement enthusiasm.

SMM, March 12:

Second-Life Recycling Market Update This Week:

This week, prices of some Grade B battery cells in the second-life battery market increased. Cost side, lithium carbonate prices saw intensified fluctuations this week and generally trended upward, directly pushing up battery cell production costs; nickel sulphate prices edged up, while cobalt sulphate prices remained stable, providing mild support on the cost side and lifting overall cost pressure somewhat. Supply side, the market was clearly boosted by energy storage demand, enterprises showed relatively strong willingness to sell, and circulating supply was steadily released; coupled with rising lithium carbonate prices, enterprises strengthened their expectations of higher costs, and overall quotations remained firm to slightly stronger. Demand side, demand for second-life Grade B battery cells recovered significantly, mainly driven by the energy storage market, with downstream energy storage project start-ups and supporting demand continuing to be released, and procurement enthusiasm rising markedly.

Overall, under the dual drivers of cost support brought by rising lithium carbonate and continued expansion in energy storage demand, prices of second-life Grade B battery cells are expected to hold up well, and prices of LFP second-life Grade B battery cells have already led the increase.

SMM New Energy Research Team

Wang Cong 021-51666838

Ma Rui 021-51595780

Feng Disheng 021-51666714

Lv Yanlin 021-20707875

Lei Yue 021-20707873

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

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