Recently, some lithium insiders put forward that the domestic mainstream battery companies have notified their potential customers to re-negotiate prices, and the offer may be revised up by about 20%. According to SMM, the China battery industry is likely to see unified price hikes, while the execution of long-term contracts next year are currently under negotiation with the downstream, from which it has been clear that the enterprises are firm in inflating prices.

Shenzhen Capchem Technology plans to invest 1.984 billion yuan in Chongqing Capchem lithium battery materials and semiconductor chemicals projects.

The average refined cobalt prices stand at 431,500 yuan/mt as of November 30, hitting a record high in the past three years. The booming growth of global NEVs production and sales drives the demand for cobalt. The worsening of COVID in Africa and international shipping led to a continued decline in the imports of cobalt raw materials. According to customs data, China imported 5399 mt of cobalt raw material in metal content in October, a month-on-month decrease of 31% and year-on-year decrease of 49%. The imports of cobalt raw materials totalled 73,700 mt in metal content from January to October, up 3% YoY.

Imports of cobalt intermediate products were 5,166 mt in metal content in October (calculated at 27% grade), down 30% MoM.

According to customs data, China imported 5,399 mt of cobalt raw material in metal content in October, a month-on-month decrease of 31% and year-on-year decrease of 49%. The imports totalled 73,700 mt in metal content from January to October, up 3% YoY Imports of cobalt ore were 69 mt in metal content in October (calculated at 8% grade), down 56% MoM and 58% YoY.

It is estimated that new projects and capacity ramp-up will expand the output of spodumene concentrates to xxx mt LCE by 2025, with a compound annual growth rate of xx%. Among them, the output in Australia accounts for xx%, and that in Africa accounts for xx%.

 Electronic Information Division of MIIT (Ministry of Industry and Information Technology) issued the Lithium-ion Battery Industry Standard Conditions (2021) (draft) and Administrative Measures for the Announcement of Lithium-ion Battery Specification (2021) (draft) for public opinions on November 18 in order to further strengthen the lithium-ion battery industry management, and to promote the industry transformation and upgrading as well as technological progress. The Standard Conditions provides standardised guidance on the operation of lithium-ion battery companies and projects from many aspects. At the same time, the document also stipulates the performance of almost every type of lithium-ion batteries and battery packs, including consumer batteries and motive power batteries.

The new production capacity of lithium resources will be put into operation intensively after 2022-2023, and the production may be lower than expected. It is expected that there will still be a supply shortage of 24,000 mt LCE in 2022.

China produced 38,879 mt of ternary cathode material in October, up 4.7% MoM and 54% YoY.

Tesla unveiled its 4680 battery during its Battery Day in September 2020, which is a cylindrical battery with a diameter of 46mm and a height of 80mm.