Battery cell production in China fell both MoM and YoY in October

In October 2023, battery cell production in China was 83.5Gwh, down 2% MoM and 3% YoY. Ternary batteries production was 23.72Gwh, down 2% MoM and 30% YoY. However, LFP battery cell production hit 59.46Gwh, down 3% MoM but up 15% YoY. Battery cell companies primarily focused on inventory reduction in October. Although lithium carbonate prices briefly rose mid-month, insufficient end-user demand led to a late October price drop, causing a continuous decline in key lithium battery material prices like cathodes and electrolytes. Due to lower raw material prices and lack of end-user demand, both power and energy storage battery cell prices continued to decline in October.