[SMM Cobalt Lithium spot Weekly report (1109-1113)] the price of cobalt lithium salt rises and the cost pressure of the material factory increases.

SMM, Nov. 13:

Battery and downstream end market: power market, this week released new energy vehicle production and sales data and power battery production data. According to the China Automobile Association, the production and sales of new energy vehicles completed 167000 and 160000 respectively in October, an increase of 69.7 per cent and 104.5 per cent respectively over the same period last year. Among them, the production and sales of pure electric passenger vehicles increased significantly, with a month-on-month ratio of 32.1% to 82.3%, mainly due to the increase in demand at the high and low end of the market. The high-end market is driven by car companies such as Tesla, BYD and the new power of car building, while the low-end market is SAIC GM Wuling and so on. Further boost market demand through October auto show and new energy policies to the countryside. According to the China Automotive Power Battery Industry Innovation Alliance, China's power battery production totaled 9.9 GWH in October, up 47.9 percent from the same period last year and 14.5 percent from the previous month. Among them, the output of ternary batteries was 5.5 GWH, accounting for 56% of the total output, an increase of 39.6% over the same period last year and 16.1% compared with the previous year; and the output of lithium iron phosphate batteries was 4.3 GWH, accounting for 44% of the total output, an increase of 63% over the same period last year and 12.6% from the previous year. The increase in the output of new energy vehicles has led to the demand for ternary and iron-lithium batteries, and the month-on-month growth rate of iron-lithium batteries is slightly lower than that of ternary batteries. The main reason is that the iron-lithium main material factory is currently in full production, the power market is in short supply, and the growth rate of iron-lithium battery production has decreased slightly.

Electrolytic cobalt and cobalt intermediates: spot prices of electrolytic cobalt fell this week. Electrolytic cobalt domestic inventory pressure, low demand, difficult transaction, low-cost inventory gradually reduced, superimposed cobalt salt price rise, electrolytic cobalt price or weak stability. The price of cobalt intermediate goods has risen this week. Cobalt intermediate domestic spot supply is tight, the price is high, the mainstream long-term association has not yet been signed, the price and coefficient may be higher than this year. The price of SMM electrolytic cobalt this week is 26-270000 yuan / ton, the average price is 2000 yuan / ton lower than last week. The price of SMM cobalt intermediate product is 11.9-12.3 US dollars per pound, the average price is 1000 yuan / ton higher than last week.

Cobalt salt and nickel salt: the price of cobalt salt rose this week. Cobalt sulfate price rise, gradually accepted downstream, the market turnover of 5.4-55000 yuan / ton gradually increased, reference costs and downstream price pressure, rising space is limited. The price of cobalt chloride has increased, the purchase volume of downstream demanders has increased, and the market turnover of 6.40-65000 yuan per ton has increased, and the price may gradually rise higher than that of cobalt sulfate. The price of cobalt sulfate in SMM this week is 535-56000 yuan / ton, an average price up 250 yuan / ton compared with last week. The current price of SMM cobalt chloride is 635-66000 yuan / ton, with an average price of 250 yuan / ton higher than last week. The price of SMM battery-grade nickel sulfate is 2.73-27500 yuan / ton, the average price is 200 yuan / ton lower than last week.

Cobalt tetroxide: the price of cobalt tetroxide is the same this week. Cobalt tetroxide quotation rose slightly this week 1000-2000 yuan / ton, newly signed orders sporadic; in late November, cobalt tetroxide will begin to sign December orders, downstream demand trend decreases, four cobalt prices or slightly lower. The current price of cobalt tetroxide in SMM this week is 20.5-215000 yuan / ton, the average price is the same as last week.

Ternary precursors: the prices of ternary precursors are unchanged this week. In the power market, the price of cobalt salt rose slightly this week and has now been transmitted to the precursor plant, but the cost of raw materials is strictly controlled downstream near the end of the year, and the price of the precursor is expected to remain stable in the near future. From the perspective of small power and digital market, the prices of precursors are still seriously upside down, it is more difficult for many enterprises to purchase low-priced raw materials, and there are not many transactions in the market. The price of SMM ternary precursor (523) is 8.1-83000 yuan per ton this week, the average price is the same as last week. The price of SMM ternary precursor is 8.4-86000 yuan / ton, the average price is the same as last week. The price of SMM ternary precursor (622) is 8.9-93500 yuan / ton, the average price is the same as last week. The price of SMM ternary precursor (811) is 9.85-104000 yuan / ton, the average price is the same as last week.

Lithium carbonate: the price of industrial and battery-grade lithium carbonate rose this week. In terms of electric carbon, the transaction price of large lithium salt factories rose to 45000 yuan / ton, and some enterprises reported that the output of lithium salt plants declined, but the high demand led to the difficulty of procurement and the intention to lock up the order at a high price. Some big factories have signed orders for next year and there is a shortage of spot supply. On the other hand, lithium salt manufacturers have a strong ability to control prices downstream, and prices may still have a upward trend. In terms of industrial carbon, the heat of quasi-electric carbon remains the same, and the demand for lithium iron phosphate still increased slightly in November, superimposed by the technological transformation of some enterprises to a decline in production, and there is still room for a slight increase in industrial carbon prices. The price of SMM battery-grade lithium carbonate is 4.1-45000 yuan / ton this week, up 1500 yuan / ton from last week. The price of SMM industrial grade lithium carbonate is 3.65-39500 yuan / ton, up 1000 yuan / ton compared with last week.

Lithium hydroxide: lithium hydroxide prices are flat this week. The recent upward trend of electric carbon is more obvious, and some lithium salt factories intend to raise the price of electricity and hydrogen slightly. At present, the Matthew effect of battery-grade lithium hydroxide is obvious, and the head enterprise has a certain supply bargaining power to the downstream. However, according to SMM, there may be a slight decline in high nickel demand in November, and downstream sentiment for price increases has not been accepted for the time being. It is expected that the price of lithium hydroxide will remain stable next week. The price of SMM battery-grade lithium hydroxide (coarse particles) is 4.5-51000 yuan / ton this week, the average price is the same as last week. The price of SMM industrial grade lithium hydroxide is 4.1-43000 yuan / ton, the average price is the same as last week.

Lithium cobalt: the price of lithium cobalt is flat this week. Lithium cobalt in the near future long order is talking about, quotation is rising, zero order is talking about order increase, cost support, transaction price or gradually slightly upward. The price of SMM4.35V lithium cobalt is 21.8-226000 yuan per ton this week, the average price is the same as last week.

Ternary materials: the price of ternary materials remains unchanged this week. In terms of the power market, the price of the precursor has remained unchanged recently, the price of electric carbon has risen slightly, and downstream battery enterprises have strong bargaining power. Most ternary material enterprises have purchased lithium salt in the fourth quarter before National Day holiday, and the actual cost of ternary materials has changed little. The price remains the same. The price of SMM ternary material (523) is 11.15-123500 yuan per ton this week, the average price is the same as last week. The price of SMM ternary material (622) is 13.45-145500 yuan / ton, the average price is the same as last week. The price of SMM ternary material (type 811) is 15.55-170000 yuan per ton, the average price is the same as last week.

Lithium iron phosphate: the price of lithium iron phosphate remains unchanged this week. In terms of the power market, the price of lithium salt continues to rise this week, and the current increase has reached 5000 yuan / ton, which has a high impact on the cost of iron and lithium. Some iron-lithium factories have begun to raise prices, basically at 1000-3000 yuan / ton. The current market trading volume is not high. It is expected to be transmitted to small and medium-sized battery enterprises. The price of SMM lithium iron phosphate (power type) is 3.2-36000 yuan / ton this week, the average price is the same as last week. The price of SMM lithium iron phosphate (energy storage type) is 2.65-29500 yuan / ton, the average price is the same as last week.

Lithium manganate: the price of lithium manganate remains unchanged this week. Lithium carbonate prices continue to rise this week, lithium manganate enterprises are more willing to increase prices, but the downstream acceptance is not high. There are many lithium manganate enterprises, the market concentration is not high, the market competition is fierce, the price increase may bring the order to reduce the risk sharply. The price of SMM lithium manganate (capacity type) is 2-28000 yuan / ton this week, the average price is the same as last week. The price of SMM lithium manganate (power type) is 3.2-35500 yuan / ton, the average price is the same as last week.

Negative materials: the price of negative materials remains unchanged this week. Recently, the price rise of needle coke has been transmitted to the negative enterprises, the downstream power market orders are higher, but the head battery enterprises mostly sign long orders, the negative material enterprises have weak bargaining power, the overall market cost space is high, and the price is still stable. The price of SMM artificial graphite (high-end) is 650-70000 yuan per ton this week, the average price is the same as last week. The price of SMM artificial graphite (mid-end) is 5. 7-62000 yuan per ton, the average price is the same as last week. SMM natural graphite (high-end) price is 480-60000 yuan / ton, SMM natural graphite (middle-end) price is 30,000-40000 yuan / ton, the average price is the same as last week.

Diaphragm: the price of diaphragm is flat this week. Diaphragm to maintain high demand, battery factory cost reduction consideration, diaphragm price is more difficult to fluctuate. The new production capacity of the head enterprise is gradually released, the order is increased, and the production schedule is increased. The concentration of the diaphragm industry is high, and the demand for wet coating base membrane increases in the future. This week, the prices of SMM wet base membrane (5 μ m), SMM wet base membrane (7 μ m) and SMM wet base membrane (9 μ m) are 2.5-3.3 yuan / square meter, 1.8-2.2 yuan / square meter and 1.2-1.5 yuan / square meter, respectively, which are the same as last week. The price of SMM dry base film (16 μ m) is 0.9-1 yuan per square meter, the average price is the same as last week. The price of SMM wet coating base film (5 μ m + 2 μ m) is 3-3.8 yuan / square meter, the price of SMM wet coating base film (7 μ m + 2 μ m) is 2.2-2.6 yuan / square meter, and the price of SMM wet coating base film (9 μ m + 3 μ m) is 1.8-2.5 yuan / square meter, the average price is the same as last week.

Electrolyte: the price of electrolyte remains the same this week. Recently, the prices of solvents and lithium hexafluorophosphate are basically stable, the price of raw materials has increased the highest this year, and the price of electrolyte is also much higher than expected. it is expected that the price of electrolyte may remain stable in the future. The price of SMM electrolyte (for ternary power) is 4.2-52000 yuan per ton this week, the average price is the same as last week. The price of SMM electrolyte (lithium iron phosphate) is 3.5-41000 yuan / ton, the average price is the same as last week. The price of SMM electrolyte (lithium cobalt oxide) is 5.3-63000 yuan / ton, the average price is the same as last week. The price of SMM electrolyte (lithium manganate) is 1.9-29000 yuan / ton, the average price is the same as last week.

Future forecast: cobalt, the price trend is divided, the demand for battery raw materials increases, the price rises slightly; the demand in traditional industries is depressed, inventory is under pressure, and prices decline. Combined with the cost of cobalt raw materials, cobalt intermediates and cobalt salts and other spot inventory shipments are tight, the overall cobalt price is good. In terms of lithium, about 2100 tons of lithium carbonate will be removed from storage in October, and a small amount of lithium carbonate is expected to be removed in November. Supply and demand are improving day by day, and it is expected that industrial and electric carbon will still have an upward trend.

SMM battery materials research team

Huo Yuan 021-51666898

Mei Wangqin 021-51666759

Liu Xiaoyi 021-51666716