Lithium salt prices remain under pressure from oversupply 

SHANGHAI, Aug 22 (SMM) – Prices of lithium salts faced further downward pressure as the market remained well-supplied despite production cuts and slower commissioning of new capacity, an SMM survey showed on Thursday August 22. 

SMM learned that some newly-opened lithium salt producers in Jiangxi province slashed offers to acquire customers. Costs pressure also drove producers of lithium iron phosphate (LFP) and lithium manganese oxide (LMO) materials to demand lower prices of lithium raw materials, such as lithium carbonate. 

As of Thursday August 22, trades of battery-grade lithium carbonate occurred at prices below 60,000 yuan/mt, compared with 62,000-65,000 yuan/mt last week. 

Separately, prices of refined cobalt and cobalt salts extended gains from the previous week amid improved trades. Downstream consumers replenished their inventories of refined cobalt, and battery materials mills began a new round of restocking for cobalt salts. 

SMM assessment showed that prices of domestic battery-grade lithium carbonate with a grade of 99.5% fell 500 yuan/mt from August 21 to stand at 61,500-64,500 yuan/mt as of Thursday August 22. 

Prices of refined cobalt stood at 247,000-257,000 yuan/mt as of Thursday, up 5,000 yuan/mt from the start of the week, and prices of cobalt sulphate climbed 3,000 yuan/mt from Wednesday to 46,000-51,000 yuan/mt as of Thursday August 22.