[SMM Cobalt Lithium spot Weekly] downstream buying downturn Cobalt and Lithium prices are double depressed (0609-0614)

Published: Jun 14, 2019 17:10

SMM, June 14 / PRNewswire-Asianet /-

Power batteries, this week released new energy vehicles, power battery production, power battery installed capacity and other data. New energy vehicles: production of new energy vehicles was 112000 in May, up 10.4% from a month earlier, up 16.9% from a year earlier, and sales reached 104000, up 7.9% from a month earlier, up only 1.8% from a year earlier. Although production and sales of new energy vehicles are still growing, it is already the slowest year-on-year growth rate since 2018. Power battery production: China's power battery production totaled 9.9 GWhin May, up 35.6 percent from a month earlier, according to data released by the China Automobile Power Battery Industry Innovation Alliance. Among them, the output of ternary battery increased by 49.5% compared with the previous month, accounting for 65% of the total output, while the output of lithium iron phosphate battery decreased by 16.9%, accounting for 23.4% of the total output. The output of lithium manganate battery increased significantly in May, totaling 1.1 GWhs, a sharp increase of 455.8% from the previous month. Power battery installed: according to the SMM new energy database, China's power battery installed 5.68GWh in May 2019, a slight increase of 4.94% over the previous month, an increase of 22.3% over the same period last year. Among them, the installed capacity of ternary battery was 3.75GWh, accounting for 66.1%, and that of lithium iron phosphate battery was 1.73GWh. the proportion was 30.5%, and increased by 3.2%.

According to SMM, at present, the cylindrical battery market competition is fierce, the price drops obviously, the low price of 4 yuan / piece has appeared on the market, at present 18650 model 2500mAh mainstream quotation is in 6 yuan / piece. In addition, the power battery due to the previous few years of high-quality capacity expansion speed is slower than the technology iteration upgrade, resulting in a large number of inventory, at present, some power battery enterprises in order to alleviate the pressure of cash flow, the inventory will be sold at a low price, the square three-element cell price in 0.9yuan / Wh, lithium iron phosphate cell price in 0.75yuan / Wh.

Electrolytic cobalt and cobalt hydroxide: domestic metal cobalt trading is sporadic, downstream only rigid demand procurement, manufacturers in the cost of strong quotations, market transactions are difficult. Cobalt hydroxide market continues to be priceless, domestic downstream buyers waiting for overseas prices to fall to the same level at home, SMM expects the market price trading center of gravity will continue to revise. The price of SMM electrolytic cobalt is 23.50-260000 yuan / ton, the average price is the same as last week. SMM cobalt hydroxide prices range from $9.2 to $9.50 per pound, down $0.30 per pound from last week.

Cobalt salt and nickel salt: since June, the cobalt salt market has been in the doldrums, smelters in Zhejiang and Hunan have been sending messages of production reduction, suppliers cling to the cobalt sulfate barrier of 40,000 yuan per ton, and cobalt chloride has gradually disappeared. The price of SMM cobalt sulfate is 4-42000 yuan / ton, down 1000 yuan / ton from last week. The current price of SMM cobalt chloride is 48000 yuan / ton, the average price is 3000 yuan / ton lower than last week. SMM nickel sulfate price is 23500.00-26000.00 yuan / ton, the average price is down 250 yuan / ton compared with last week.

Cobalt oxide: cobalt oxide price is loose, this week the downstream inquiry is less, the manufacturer shipment is under pressure, the quotation is reduced, the transaction price is expected to go down further. The current price of SMM cobalt oxide is 17-175000 yuan / ton, which is 1500 yuan / ton lower than that of last week.

Ternary precursor (523 dynamic): the ternary precursor market performed poorly, downstream demand shrank, manufacturers sought back-to-back orders, and trading prices fell. The price of SMM ternary precursor (523) is 7.9-81000 yuan / ton, which is 2000 yuan / ton lower than that of last week. The price of SMM ternary precursor (622 type) is 8.40-86000 yuan / ton, the average price is 2000 yuan / ton lower than that of last week.

Lithium carbonate: lithium carbonate prices have remained stable this week. Month in the middle and lower reaches of the purchase volume is less, generally for the end of the month or the beginning of the month for procurement, so the transaction price remains stable. For the "quasi-electric carbon" whose main content reaches the battery level standard, the transaction price can reach 74000 yuan / ton. Industrial-grade lithium carbonate suppliers also said orders fell in June from a month earlier and prices remained stable this week. This week, the price of SMM battery-grade lithium carbonate was 7.5-78000 yuan / ton, the average price was the same as last week. This week, the price of zero-grade lithium carbonate in SMM industry was 66-70, 000 yuan / ton, the average price was the same as last week.

Lithium hydroxide: battery grade lithium hydroxide prices continue to fall this week. The transaction price of a large number of battery-grade lithium hydroxide (coarse particles) has been less than 84000 yuan / ton, we think there is still room for decline compared with the current offer. This week, the price of SMM battery grade lithium hydroxide (coarse particles) is 8.4-88000 yuan / ton, the average price is 2000 yuan / ton lower than that of last week.

Lithium Cobalt: lithium Cobalt prices move down, downstream bearish future, procurement hesitation, large plants reduce safety stocks, lithium cobalt acid demand reduced, SMM expects future lithium cobalt prices will continue to fall. SMM4.35V lithium cobalt acid price is 21.2-222000 yuan / ton, the average price is down 3000 yuan / ton compared with last week.

Ternary materials: the price of ternary materials is declining, downstream demand is reduced, the industry is generally aware of poor sales, suppliers adjust prices to promote. The price of SMM ternary material (523 type) is 13.2-140000 yuan / ton, the average price is 1000 yuan / ton lower than that of last week. The price of SMM ternary material (622 type) is 14.8-155000 yuan / ton, the average price is 1000 yuan / ton lower than last week.

Lithium iron phosphate (power type): the price of lithium iron phosphate is flat this week. Orders for lithium iron phosphate remained stable in June and prices remained depressed. We expect this low price situation to continue with little sign of recovery. This week, the price of SMM lithium iron phosphate (power type) is 4.7-52000 yuan / ton, the average price is the same as last week.

Lithium manganate: this week lithium manganate trading is stable, the price remains unchanged. Under the influence of the new policy of electric bicycle, the market demand of high-end volume lithium manganate is better. This week SMM lithium manganate (volume type) price is 31-40, 000 yuan / ton, the average price is the same as last week. This week SMM lithium manganate (dynamic) price is 47-50, 000 yuan / ton, the average price is the same as last week.

Future forecast: the domestic consumer market is relatively stable in the third quarter, SMM maintained the previous judgment, it is expected that the future domestic cobalt smelting products for cobalt sulfate water will gradually disappear, foreign prices accelerate closer to domestic. On the lithium side, the supply and demand side of lithium salt may gradually deteriorate, trading prices are at downward risk.

SMM Cobalt Lithium Research team

Hu Yan 021 51666809

Hong Lu 021 51666814

Ning Ziwei 021 51666780

Qin Jingjing 021 51666828

 

 

 

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn
For more information on how to access our research reports, please contact:service.en@smm.cn
Related News
A mine in Henan opened bids for a 300 mt tungsten concentrate auction on February 6.
20 hours ago
A mine in Henan opened bids for a 300 mt tungsten concentrate auction on February 6.
Read More
A mine in Henan opened bids for a 300 mt tungsten concentrate auction on February 6.
A mine in Henan opened bids for a 300 mt tungsten concentrate auction on February 6.
[Tungsten Concentrate Tender Information] SMM February 7: A mine in Henan conducted an online tender on February 6 to sell 300 metric tons of low-grade tungsten concentrate. Lot A had an average WO3 grade of ≥25%, while Lots B and C had an average WO3 grade of ≥22%. The tender results for each lot are as follows: Lot A: 100 metric tons, tender price of 10,155 yuan/mtu. Lot B: 100 metric tons, tender price of 10,160 yuan/mtu. Lot C: 100 metric tons, tender price of 10,155 yuan/mtu.
20 hours ago
Ganzhou Tungsten Association Significantly Raises Tungsten Price Forecast for February 2026
21 hours ago
Ganzhou Tungsten Association Significantly Raises Tungsten Price Forecast for February 2026
Read More
Ganzhou Tungsten Association Significantly Raises Tungsten Price Forecast for February 2026
Ganzhou Tungsten Association Significantly Raises Tungsten Price Forecast for February 2026
[Ganzhou Tungsten Industry Association's February Tungsten Price Forecast] The Ganzhou Tungsten Industry Association's forecast prices for the tungsten market in February 2026 are as follows: 55% black tungsten concentrate at 670,000 yuan per metric ton unit, up 210,000 yuan per metric ton unit MoM from the January price, an increase of 45.65%; ammonium paratungstate at 970,000 yuan/mt, up 300,000 yuan/mt MoM, an increase of 44.78%; medium-grain tungsten powder at 1,630 yuan/kg, up 480 yuan/kg MoM, an increase of 41.74%.
21 hours ago
Tungsten Market Rallies Strongly, Long-Term Contract Prices Surge & Domestic-Overseas Markets Link Up
21 hours ago
Tungsten Market Rallies Strongly, Long-Term Contract Prices Surge & Domestic-Overseas Markets Link Up
Read More
Tungsten Market Rallies Strongly, Long-Term Contract Prices Surge & Domestic-Overseas Markets Link Up
Tungsten Market Rallies Strongly, Long-Term Contract Prices Surge & Domestic-Overseas Markets Link Up
Driven by tight spot raw material supply, a sharp hike in corporate long-term contract prices and festive effects, the tungsten market saw price rises on shrinking volumes this week with domestic and overseas markets moving up in tandem; the strong short-term trend is set to continue, and attention should be paid to the resumption of cemented carbide production, scrap tungsten supply and downstream demand release after the Spring Festival.
21 hours ago
[SMM Cobalt Lithium spot Weekly] downstream buying downturn Cobalt and Lithium prices are double depressed (0609-0614) - Shanghai Metals Market (SMM)