Dear SMM Cobalt Lithium New Energy Industry customers:
With the continuous development of new energy vehicle market and the continuous increase of SMM new energy customers, customers gradually begin to pay attention to the market of anode materials, diaphragms and electrolytes except cathode materials. In view of this, in order to serve the relevant enterprises of the new energy industry chain, provide them with prices that truly reflect the spot market, and constantly improve and deepen the research of the new energy industry chain, SMM will formally release the spot quotation of SMM graphite anode materials from May 25th, 2020.
I. General principles of SMM Price Methodology
Shanghai Nonferrous Network (hereinafter referred to as SMM) is a completely independent third-party service organization that does not participate in any substantive / transaction, but maintains close communication with the buyer or seller of the transaction as a market observer or organizer, and provides relevant services for the market. By communicating with industry insiders, SMM continuously develops, reviews and revises its methodology to adopt the most common product specifications, terms of trade and terms of trade in the industry. And pay equal attention to the normal transactions that meet the specifications and standards. SMM reserves the right to exclude any price information deemed to be unreliable or unrepresentative from its quotation evaluation.
SMM publishes daily spot metal prices (or indices, etc., including the Chinese market or markets outside China), often referred to as SMM prices. SMM has formulated the corresponding methodology for the published SMM prices (all will be published on SMM's official website www.smm.cn for inquiry). The methodology stipulates the methods and procedures for the formation and release of SMM prices, and forms and publishes SMM prices in strict accordance with the provisions of the methodology.
In order to meet the actual situation of the spot market, SMM will make necessary revisions to the SMM price methodology and announce it on SMM's official website www.smm.cn 28 days before its official implementation. If you have any questions or suggestions about SMM price and its methodology, please contact SMM customer service personnel (please check the contact information on SMM's official website www.smm.cn). Please read this paragraph in conjunction with SMM methodology review and change policy, and SMM complaint policy.
This document sets out the setting standards and management methods for the spot price of SMM graphite anode materials. The purpose of SMM in formulating this standard is to establish a transparent and verifiable SMM pricing mechanism to provide an important pricing index for market participants.
The SMM benchmark Management Committee also reviews the methodology and its evaluation and release process on a regular basis. The committee maintains oversight of the SMM methodology and the compilation process and ensures that the price or index reflects the physical spot market of the relevant goods as truthfully as possible. If the Committee considers that there are any problems, it will immediately point them out and propose external consultations and modifications to the methodology or process being implemented in order to improve the quality of the prices or indices published by SMM. The Committee can only propose changes to the methodology and steps used in future price or index evaluations, and it cannot change published prices or indices.
II. The formation of the spot price of SMM graphite anode materials.
The spot price of SMM graphite anode materials is an evaluative price formed and issued by SMM according to this methodology and can be used by both parties as a reference basis for spot trade settlement of graphite anode materials. The price is mainly based on the daily spot transaction price situation across the country, including taxes, capital occupation costs and other related trade expenses.
There are four quotation points for graphite anode materials, including artificial graphite (high end), artificial graphite (middle end), natural graphite (high end) and natural graphite (middle end).
2.2 method of generating quotation
SMM collects the data information used to evaluate the spot price of graphite anode materials by means of standard acquisition (that is, collecting the original data information in accordance with the SMM standard), including the quotations of buyers and sellers that have not been concluded on the same day provided by the bid acquisition unit (that is, the data provider), the actual transaction price of the transaction provided by the bid acquisition unit, and so on. The quantity of each transaction such as quotation or transaction of graphite anode materials that can be included in the standard should not be less than 30 physical tons.
2.3 methods of adopting standards
According to the standard adoption confirmation agreement, SMM will collect data and information on the spot price of graphite anode materials from the bid adoption unit on a regular basis (between 09:30 and 12:00 on each trading day) by the price analyst by telephone, QQ, WeChat, fax and e-mail. The price data information may include the price that has been closed on the day, the most likely price to be closed by the enterprise, the offer, the counter-offer, and so on. All instant messaging content, email communication content and any face-to-face communication records will be archived; phone communication details will be summarized and entered into the database. The price data information must be a typical, repeatable transaction between non-affiliated market participants (financially and legally independent).
SMM price analysts are required to comply with the Compliance system when reporting to their supervisors any forced or threatened communication from market participants, or any induced offer that attempts to influence the outcome of the assessment. After the price is released, SMM will not revise or adjust it on the same day.
2.4 Product standards
In line with the requirements of GB/T 24533Mir 2009 for graphite anode materials.
2.5 pricing units and forms of expression
RMB yuan / ton; presented in the form of range, including tax price (including 13% VAT)
2.6 Methodology change
All markets are changing, and SMM is responsible for ensuring that the methodology for market reporting changes synchronously with the market. As a result, SMM conducts regular internal reviews of the appropriateness of the methodology based on industry feedback. SMM will follow the formal external consultation process for all substantive and non-urgent potential changes. Major changes are then announced and at least 28 days' notice is given, inviting comments from the industry, unless special circumstances, especially force majeure (natural disasters, wars, exchange bankruptcies, etc.) shorten the notice period. SMM promises to scrutinize all comments about proposed methodological changes, but in some cases it may have to change the methodology against the wishes of some market participants. In addition, SMM has a formal methodological consultation process. SMM promises to hold a formal consultation on the report of graphite anode materials at least once a year. The date of the last consultation and the deadline of the SMM's commitment to hold the next consultation are at the top of the methodology document. For details, see SMM Methodology Review and Policy change.
Welcome more related enterprises in the industrial chain to participate in and support SMM to better serve new energy related enterprises.
If in doubt, please call:
Lin Fangwen, new energy research team of Shanghai Nonferrous Network, contact: 021 Fang Wen 5166 6878