[SMM Analysis: Cathode Material Production Saw Slight MoM Increase in June, with Significant Demand Differences Between NEV and ESS Markets] SMM reported on July 2: In June, the domestic lithium carbonate market saw a significant increase in production, with total lithium carbonate production up 8% MoM and 18% YoY. Lithium hydroxide production weakened MoM, with a decrease of about 5%, and a 31% YoY decrease. Cobalt sulphate production decreased 9.71% MoM and increased 3.80% YoY. Co3O4 production decreased 8% MoM and increased 24% YoY. Ternary cathode precursor production increased 2.3% MoM and decreased 3.18% YoY. Ternary cathode material production increased 0.93% MoM and increased 31.54% YoY. The domestic iron phosphate market showed a steady increase, with production up slightly by 2% MoM and a significant increase of 56% YoY. LFP material production increased by about 1.56% MoM. LCO production decreased 3% MoM and increased 20% YoY.

The manufacturing of solid-state batteries typically requires more advanced and new-type materials. Currently, composite current collectors are being rapidly introduced into solid-state battery applications. In June this year, Sanfu New Technology disclosed externally that it had signed a strategic cooperation agreement with a European semi-solid-state battery manufacturer. After the customer successfully establishes the first set of semi-solid-state high-safety battery production lines, a formal supply contract for "key materials for 5Gwh semi-solid-state high-safety batteries" will be signed. It is reported that the key material is a composite copper foil current collector.

At a time when the world is vigorously promoting the transition to clean energy, batteries, as the core of the new energy industry, are expanding their applications, from electric vehicles (EVs) to energy storage systems (ESS), with batteries being ubiquitous. As the ownership of batteries continues to rise, the retirement period of batteries is gradually approaching, and how to handle these scrap batteries has become a focus of attention in the industry. However, at present, the battery recycling industry is fraught with chaos, and there are still many issues to be addressed in terms of business models and application scenarios. It is urgent to accelerate the large-scale and standardized utilization of scrap batteries.

In June, the domestic iron phosphate market showed a steady yet increasing trend, with production increasing slightly by 2% MoM and significantly by 56% YoY.

[SMM Analysis: Iron Phosphate Market Showed Slight Growth Amid Stability in June, with Prices Failing to Find Support amid Rush for Orders] SMM reported on July 1: In June, the domestic iron phosphate market showed a steady growth trend, with production increasing slightly by 2% MoM and significantly by 56% YoY...

[SMM Analysis: China's LFP Import and Export Situation in May] In May 2025, China's LFP exports reached 941.6 mt, down 18% MoM from April and up 429% YoY. In terms of price, the average export price of LFP in May 2025 was $5,341.3/mt, a decrease of $865.58/mt from the average price in April, representing a MoM decline of approximately 13.9%.

[SMM Lithium Battery Market Analysis: China's LFP Material Production Rose 1.56% MoM in June] In June 2025, China's LFP cathode material production rose 1.56% MoM and was up 59% YoY, with an industry operating rate of 57%. The operating rates of leading material producers were significantly increasing, but production at some small and medium-sized producers declined slightly due to fluctuations in downstream battery cell manufacturers' demand.