SMM Inclusive: China LFP Output In March And Analysis

SHANGHAI, Apr 11 (SMM) - China produced 70,377 mt of LFP in March, down 1.5% month-on-month, but up 13% year-on-year. The output jumped 24% YoY in the first quarter. Orders from power battery market barely improved. What’s worse, customers from energy storage sector delayed placing orders as LFP prices extended declines. In the second half of March, some buyers either cancelled orders or delayed order pick-up. Following aggressive price cuts by gasoline car manufacturers in early March, the impact had spilled over into the NEV market in the second half of the month. With growing wait-and-see sentiment among consumers, the finished product inventory of LFP plants accumulated, sending its prices down steadily. Falling lithium carbonate and iron phosphate prices brought down the costs of LFP plants.