LiCarbonate Daily - March 27th

Published: Mar 27, 2024 17:58

Source: SMM

Save

LiCarbonate Daily: March 27 - Spot prices dip to 109,750 yuan/ton (↓750), while future contracts edge up by 0.51% to 108,400 yuan/ton.

Spot Market Update:

SMM reported that on March 27th, the battery-grade lithium carbonate spot market saw a slight decrease in prices. The average spot price ranged from 107,500 to 112,000 yuan/ton, with an average price of 109,750 yuan/ton, marking a decrease of 750 yuan/ton compared to the previous working day. Despite some fluctuations, lithium salt companies continued their relatively firm pricing strategy for spot offers. Downstream enterprises, particularly cathode manufacturers, took advantage of the lower prices following the recent decline in lithium carbonate prices to make opportunistic purchases. This resulted in an improvement in market transaction conditions compared to the previous period. However, most downstream enterprises remained cautious and refrained from making large purchases for inventory replenishment, opting instead to adopt a wait-and-see approach amid the backdrop of recent price declines.

Future Contracts Performance:

On the same day, the main contract for lithium carbonate 2407 experienced a minor increase of 0.51%. The main contract opened at 109,350 yuan/ton and closed at 108,400 yuan/ton, with a trading volume of 284,502 lots and an open interest of 201,977 lots, reflecting an increase of 1,180 lots from the previous trading day. Despite an initial sharp decline shortly after opening, the price of lithium carbonate rebounded from its intraday low of 105,800 yuan/ton and maintained an overall upward trend until the close, ultimately closing up by 0.51%.

The combined analysis of spot market dynamics and future contract performance indicates a complex landscape for lithium carbonate prices. While spot prices experienced a decline, future contracts showed resilience with a slight increase. This suggests nuanced market dynamics influenced by factors such as supply-demand balance, production capacity, and market sentiment. As lithium carbonate remains a critical component in the battery industry, closely monitoring these trends becomes essential for industry participants to make informed decisions.

If you have any questions regarding the recent movement of lithium carbonate market (e.g. what caused it and how this can affect your business), or would like to know more comprehensive pricing info on Lithium Carbonate. Please feel free to reach out to me:

Robin He

SMM Li-ion Battery Materials Department

E: robinhe@smm.cn | T: +86-21-51595884

Inventory Futures market Market review Output SMM price price of metal metal prices Energy Storage EV New Energy new energy prices Lithium Prices

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

6 mins ago

SMM Daily Review: Spot Lithium Carbonate Prices Fell Sharply on March 3

[SMM Daily Review: Spot Lithium Carbonate Prices Fell Sharply on March 3] The SMM battery-grade lithium carbonate index price fell sharply from the previous working day. Futures side, after the most-traded contract opened at 170,000 yuan/mt in the morning session, it fluctuated downward throughout the session and at one point touched the limit-down price of 150,800 yuan/mt. It then rebounded slightly and hovered around 154,000 yuan/mt, but weakened again after the midday session and ultimately stayed locked at limit-down through the close. Open interest in the most-traded contract fell by about 39,000 lots from the previous trading day. Actual transactions, upstream lithium chemical plants’ willingness to sell spot orders remained weak, with a clear sentiment to hold back sales. After prices fell rapidly in the morning, downstream material plants’ purchase willingness strengthened markedly, and most enterprises adopted a laddered order-placement strategy to buy on dips. Overall, market inquiries were active and transaction momentum increased significantly.

6 mins ago

1 hour ago

POSCO Holdings to Begin Commercial Operations at Argentina Lithium Brine Project

According to industry sources on the 3rd, POSCO Argentina, a subsidiary of POSCO Holdings, will commence operations of the first-phase lithium brine plant by the end of this month, despite partial delays caused by supply issues involving key replacement components. Initial utilization rates are expected to start at around 60%, with full-scale operations targeted after the third quarter following equipment optimization and operational improvements. The company anticipates reaching near full capacity from July to August.

1 hour ago

LG Energy Solution Showcases New Battery Technologies at InterBattery

LG Energy Solution unveils new battery technologies at InterBattery, including its LFP-based ESS solution “JF2 DC LINK 5.0,” optimized for Korea’s power environment. The company will also introduce, for the first time in Korea, an LFP-based next-generation JP6 UPS rack system for AI data centers, along with a BBU (battery backup unit) solution equipped with high-output cylindrical batteries. In addition, LG Energy Solution will reveal its next-generation LMR (lithium manganese-rich) battery, designed to maximize the balance between cost and performance to accelerate mass adoption of electric vehicles.

1 hour ago