[SMM Cobalt Lithium spot Weekly report (1123-1127)] Automobile companies end-of-year impulse costs are high and cobalt prices are limited.

SMM, November 27th:

Battery and downstream terminal market: from the point of view of the domestic power market, the terminal consumer demand increases and the year-end impulse of car companies is increased, and the sales volume is expected to remain high in December, and the demand for power batteries is also high. In addition, Tesla and Volkswagen have begun to gradually purchase batteries for new models early next year, and the demand for ternary batteries has increased. In addition, the overseas epidemic has intensified and the export of consumer goods overseas has slowed down, but home isolation has also driven an increase in tablet computer orders, while other consumer goods have reduced orders due to transport problems, affecting some of the demand for ternary and lithium manganate batteries.

Electrolytic cobalt and cobalt intermediates: the spot price of electrolytic cobalt fell this week. The annual demand for electrolytic cobalt in traditional domestic industries is 5000-6000 tons. Affected by the epidemic, the export order of electrolytic cobalt is reduced and the import is increased. The overall domestic supply of electrolytic cobalt is much higher than the demand. Inventory digestion still takes time, combined with cost prices have room for a small decline. The price of cobalt intermediate goods has risen this week. Cobalt intermediate spot inventory is tight, transactions sporadic, a little transaction price rise, quoted at $13 / lb, the price is still likely to rise in the future. The price of SMM electrolytic cobalt this week is 25.8-270000 yuan / ton, the average price is 1000 yuan / ton lower than last week. The price of SMM cobalt intermediate product is 12-12.40 US dollars per pound, the average price is 500 yuan / ton higher than last week.

Cobalt salt and nickel salt: the price of cobalt salt is flat this week. The supply and demand structure of cobalt sulfate is better and the cost is high, but the price transmission pressure of ternary precursors downstream of the mainstream is larger, and the high price of cobalt sulfate is difficult to close the deal. The downstream demand of cobalt chloride is basically satisfied, and the transaction is expected to be sporadic in the next 2 weeks, and the price will remain stable. The price of cobalt sulfate in SMM this week is 5.4-56000 yuan / ton, the average price is the same as last week. The current price of SMM cobalt chloride is 6. 4-66000 yuan / ton, the average price is the same as last week. The price of SMM battery grade nickel sulfate is 2.78-28000 yuan / ton, the average price is 300 yuan / ton higher than last week.

Cobalt tetroxide: the price of cobalt oxide fell on Thursday. The volume of cobalt oxide is sporadic on Thursday, the price game between upstream and downstream, and mainstream orders may be signed one after another next week. Entering the off-season of procurement, the quotation is lowered, and the transaction price may gradually decline. According to SMM research, mainstream manufacturers can accept the shipping price is still more than 205000 yuan / ton. Combined with the recent high cost and cobalt tetroxide inventory, the order price may drop slightly to 20.4-210000 yuan / ton next week. The current price of cobalt tetroxide in SMM this week is 20.5-213000 yuan / ton, which is 1000 yuan / ton lower than that of last week.

Ternary precursors: the prices of ternary precursors are unchanged this week. In terms of power market, raw material prices are basically stable this week, the market is mainly talking about orders next month, the actual transaction is not high, the price of single crystal products is expected to rise slightly. The market competition of conventional 523 products is fierce, and it is difficult for prices to rise. The recent transaction price is basically maintained at about 8-82000 yuan / ton. In terms of small power and digital market, downstream orders decreased, precursors were oversupplied, and market prices remained low. 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-grade and battery-grade lithium carbonate rose this week. There is almost no supply of low-price electric carbon, and the price range continues to narrow. at present, China has gradually entered the stage of stock preparation at the end of the year, with an increase in downstream inquiries and a shortage of lithium salt factories. However, the cost of the material factory has increased more recently, the price is under pressure, the upstream and downstream game continues, and the transaction price of electric carbon is expected to be temporarily stable next week. At present, there are few long orders signed in China, and it is expected that they will be signed gradually in mid-late December. Recently, the mood of industrial carbon increase is relatively high. In Qinghai, the external quotation of Salt Lake Industrial carbon has risen to about 40, 000 yuan / ton, and the price of quasi-electric carbon has been traded at 42000 yuan / ton. Downstream begins to replenish inventory at the end of the year, and prices may continue to rise. The price of SMM battery-grade lithium carbonate is 4.3-45000 yuan / ton this week, up 1000 yuan / ton from last week. The price of SMM industrial grade lithium carbonate is 3.75-41000 yuan / ton, up 750 yuan / ton compared with last week.

Lithium hydroxide: the price of lithium hydroxide remains unchanged this week. There is no obvious change in the cost support price of lithium hydroxide, but the accumulation of lithium hydroxide in the fourth quarter is grim. At the end of the year, manufacturers may sell goods at low prices due to the withdrawal of funds, and prices may not be strong, and they may continue to go down in December; but lithium hydroxide manufacturers are stable at the demand end and the price is stable for the time being. As the price of lithium carbonate goes up, some manufacturers are willing to raise their quotations. Therefore, the price polarization of lithium hydroxide will gradually deepen. 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. Only a little feedback from the battery factory considers the low price of lithium cobalt in December, the demand may still weaken in December, the price of raw material cobalt tetroxide will decline, and the price of lithium cobalt may be slightly reduced. 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. Power market, the recent precursor quotation rose slightly, the price of electric carbon continues to rise, this week the market talks more about next month's orders, the actual signing quantity is not high. The price of ternary materials increases slightly with lithium salt, and the market demand of 6 and 8 series products is relatively stable, which is expected to increase by 3000-5000 yuan / ton with raw materials. 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 rose this week. In the power market, the price of lithium salt continues to rise, the cost of superimposed iron phosphate increases, and the cost of iron lithium increases by 2000-3000 yuan / ton. Recently, with the price of iron lithium enterprises rising by 1000-3000 yuan / ton, the price of small and medium-sized iron lithium factories adjusted by 1000-1500 yuan / ton, the price of downstream battery enterprises has been depressed for a long time, and the price of iron lithium has risen slowly. The price of SMM lithium iron phosphate (power type) is 3.35-36000 yuan / ton this week, an average price of 250 yuan / ton higher than last week. The price of SMM lithium iron phosphate (energy storage type) is 2.75-29500 yuan / ton, the average price is the same as last week.

Lithium manganate: the price of lithium manganate remains unchanged this week. Industrial carbon continued to rise this week, it is more difficult to buy low-cost raw materials on the market, lithium manganate enterprises increased cost pressure, some enterprises quoted an increase of 1000 yuan / ton. However, due to the fierce competition in the lithium manganate market, other enterprises have not raised prices in the near future, considering that the price increase will reduce downstream orders. 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, raw material prices began to rise, is gradually transmitted to negative manufacturers, power market demand continues to improve, negative enterprise orders are higher, the current graphite price is still relatively stable, is expected to increase slightly in the future. 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. The battery factory is opened and maintained, and the high demand for diaphragm continues. A few manufacturers consider raising prices, but the transmission is that battery factories are weak and prices remain stable in the short term. Some of the new production capacity of the head company will be put into production in December to meet the high demand downstream. 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. The tight situation of solvent supply has been alleviated, the price is relatively stable, and the price of lithium hexafluorophosphate remains high. As the price of electrolyte is basically the highest in the whole year, it is expected that the future price can be maintained. 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 import of cobalt raw materials increased in October, the price of cobalt intermediate products is higher, and the inventory of high-priced raw materials and finished products gradually increases. The transaction prices of electrolytic cobalt and cobalt powder are gradually reduced, the domestic inventory of electrolytic cobalt is under pressure, and the demand for zero order of cobalt powder is low; in December, the prices of cobalt salt and four cobalt may go down slightly in the off-season of traditional procurement. In terms of lithium, the price of industrial carbon continues to rise, and the downstream stock starts gradually at the end of the year, and the price of industrial carbon may rise to 40,000 yuan / ton in December; the battery-grade lithium hydroxide reservoir is high, the price is slightly bearish in December, and the polarization is aggravated.

SMM battery materials research team

Huo Yuan 021-51666898

Mei Wangqin 021-51666759

Liu Xiaoyi 021-51666716

Yuan Ye 021-51595792