[SMM Analysis] Ternary Cathode Production Reached a Record High

Published: May 28, 2026 15:02

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This week, ternary cathode material prices continued to fluctuate. Raw material side, nickel sulphate prices were slightly raised, cobalt sulphate edged down marginally, manganese sulphate remained relatively stable, and lithium carbonate and lithium hydroxide generally fluctuated downward. Transaction sentiment side, lithium chemicals prices are currently in a downward fluctuation phase, battery cell manufacturers carried out partial restocking, and month-end transaction sentiment was relatively active. Discount side, as the future trajectory of raw material prices remains unclear and upstream and downstream players continue to negotiate, the June discount coefficient is expected to remain at the existing level.

Demand side, the EV market saw solid overall order performance in May, with a fast production pace, and some top-tier producers achieved notable production increases. The main reasons include: on one hand, battery cell manufacturers in China were actively stockpiling, with an accelerated pace of cargo pick-up; on the other hand, the European auto market performed strongly with robust demand. Meanwhile, orders from cathode plants outside China also increased. The consumer market saw overall mediocre demand, mainly driven by producers' rigid restocking needs. Looking ahead to June, top-tier cathode plants are expected to maintain relatively high production schedules overall, and ternary market demand is expected to be at a cyclical high.

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