Prices of Most Battery Materials Fell in June, but Prices of Lithium Salts Remained Firm

SHANGHAI, July 12 (SMM) – In June, the prices of all cobalt products fell. The average prices of refined cobalt and cobalt intermediate products fell by more than 15% MoM. The arrivals of imported intermediate products improved in June, allowing the output of smelters who use intermediate products to increase. Battery recycling activities boomed amid firm lithium prices, and the output of cobalt salt smelters who use scrap also rose. The improvement of the pandemic, combined with top tier precursor plants’ rush to achieve half-year targets, boosted the demand for cobalt salt. However, as precursor plants focused on self-supplied cobalt salts, trades in the spot market remained thin.    

In June, the average prices of industrial-grade and battery-grade lithium carbonate gained 5% and 1% respectively on a month-on-month basis. There was a wave of sell-off by smelters and traders at lower prices in early June, but market prices rebounded in the second half of the month as the recovery of end demand transmitted to the LFP sector, which had a positive impact on lithium carbonate demand and prices. The low-end prices rose rapidly when compared with May. With some lithium carbonate smelters under maintenance, and LFP and NMC sectors benefiting from the recovery of end demand, lithium carbonate prices are likely to climb further in July.