China LMO output in October and forecast for November

In October 2023, China's LMO production was 8,495 mt, up 16% MoM and 37% YoY.The spot price of lithium carbonate on the raw material side experienced a brief recovery, which prompted some downstream battery cell factories to start locking orders in advance. Therefore, most LMO enterprises reported a slight increase in order volume in October. In November, the spot price of lithium carbonate maintained a slight downward trend, cooling down downstream battery cell factories’ willingness to purchase LMO. Consumption in the electric two-wheeled bicycle, consumer electronics and power tool markets is sluggish. The demand in traditional peak season of Double Eleven has not been realized, there are only few market orders. Most battery cell factories are reducing production and destocking. Therefore, in November, the orders of LMO enterprises declined MoM. LMO production is expected to reach approximately 7,186 mt in November, down 15% MoM and 20% YoY.