[SMM Analysis] July LiPF6 Production Slightly Expanded, Limited Growth and Low Inventory Support Market Recovery

Published: Aug 11, 2026 16:31

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[SMM Analysis: July LiPF6 Production Slightly Expanded, Limited Growth and Low Inventory Support Market Recovery] In July 2026, China's LiPF6 production saw steady expansion, with industry monthly production up about 1.5% MoM and about 75% YoY, while the overall supply release pace remained relatively slow.

In July 2026, China's LiPF6 production saw steady expansion, with industry monthly production up about 1.5% MoM and about 75% YoY, while the overall supply release pace remained relatively slow.

Demand side, downstream electrolyte production maintained rapid growth, directly boosting LiPF6 procurement demand, which climbed steadily. Supply side, the LiPF6 market had been in a prolonged downward price trajectory previously. To stabilize prices, producers proactively controlled the pace of production increases, and the industry’s overall inventory fell to low levels. In mid-July, driven by increased end-user stockpiling demand and supply-side news catalysts, electrolyte producers’ enthusiasm for price inquiries and purchases heated up notably, and LiPF6 market prices bottomed out. With the price rise, a few producers launched new production lines to release capacity, but the overall supply growth was limited. Most LiPF6 producers’ facilities were already at full capacity, leaving little room for production increases. Some enterprises with integrated operations produced LiPF6 to match their own electrolyte production, with limited surplus for exports and fairly limited actual growth, resulting in weak overall growth for the industry in July.

Looking ahead, in August, downstream electrolyte production is expected to rise further, supported by power battery peak-season stockpiling and continued strong energy storage demand, sustaining demand support for LiPF6. However, supply-side constraints exist. Some producers will arrange periodic facility maintenance, coupled with slow progress in the ramp-up of new capacity, making it difficult for the industry to release new supply significantly. China’s LiPF6 production is expected to continue to see slow growth in August.

Note: If you have any supplements or corrections regarding the details mentioned in this article, please feel free to contact us. Contact information is as follows:

Tel: 021-20707858 Hu Xuejie, Thank you!

SMM New Energy Research Team

Wang Cong 021-51666838

Ma Rui 021-51595780

Feng Disheng 021-51666714

Lyu Yanlin 021-20707875

Zhang Haohan 021-51666752

Wang Zihan 021-51666914

Wang Jie 021-51595902

Xu Yang 021-51666760

Xu Mengqi 021-20707868

Hu Xuejie 021-20707858

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