LiPF6 Prices Extend the Fall while There Seems to be a New Trend of Pricing Scheme based on SMM Lithium Carbonate Prices

SHANGHAI, Dec 22 (SMM) - According to SMM survey, most battery cell producers strived to bring down their inventory with the approaching year-end, thus their demand for electrolyte inched lower. On the contrary, the LiPF6 capacity was sufficient and LiPF6 costs dipped following the slow decline in lithium carbonate prices. As a result, the downstream buyers were cautious about purchasing LiPF6 based on bearish outlook for its prices. The spot prices of LiPF6 have dropped constantly, but the trades in the market were muted, leaving some manufacturers with mounting inventory. As of press time, the average price of LiPF6 already fell to 245,000 yuan/mt.

Basically, the cost of lithium carbonate accounts for almost 60% of the total cost of LiPF6. Previously, the high lithium carbonate prices and tight capacity of LiPF6 sent LiPF6 prices soaring to 600,000 yuan/mt. SMM believes that with the following commissioning of LiPF6 capacity and the decrease in lithium carbonate prices, LiPF6 prices will enter a new downward track. When LiPF6 capacity is sufficient, LiPF6 price trend will be closely related to lithium carbonate prices.

It is because that the market players are now actively promoting new pricing scheme for LiPF6 based on lithium carbonate prices. For example, a battery cell maker planned to refer to SMM lithium carbonate prices when issuing electrolyte bid prices. Similarly, an electrolyte plant also decided to refer to SMM battery-grade lithium carbonate monthly price when setting LiPF6 bid price.