【SMM Analysis】The supply-demand pattern and costs showed no significant fluctuations. Graphitisation tolling prices remained stable this week.

SMM April 24 News:

This week, graphitisation prices remained stable. Demand side, persistent tariff barriers significantly contracted end-user market demand, hindering the increase in operating rates of anode material producers. This impact transmitted upstream, resulting in a lack of momentum for growth in graphitisation tolling services demand. Supply side, the long-standing oversupply pattern in the market is difficult to fundamentally change in the short term. Cost side, electricity prices remained high this week, with no significant fluctuations in the cost structure, and the profit-loss imbalance dilemma for graphitisation tolling service providers remains severe. Under the overall environment where the supply-demand pattern has not significantly changed, graphitisation tolling prices remained firm this week, supported by costs.

Looking ahead, under the continued impact of tariff policies, downstream demand is expected to remain weak, while the supply in the graphitisation tolling market remains ample. The supply-demand mismatch situation may persist. In this context, downstream anode enterprises, considering cost control, have a strong desire to drive down prices. However, given that graphitisation tolling service providers have long been under pressure from losses, to maintain operations, they are expected to continue to stand firm on quotes, and graphitisation tolling prices may remain stable in the tug-of-war between sellers and buyers.

SMM New Energy Research Team

Cong Wang 021-51666838

Rui Ma 021-51595780

Disheng Feng 021-51666714

Yanlin Lyu 021-20707875

Zhicheng Zhou 021-51666711

Haohan Zhang 021-51666752

Zihan Wang 021-51666914

Jie Wang 021-51595902

Yang Xu 021-51666760

Mengqi Xu 021-20707868