PCAM and CAM price review review and forecast

Published: May 24, 2024 22:26

Source: SMM

Save

In the week of May 20-23, the prices of ternary cathode precursor rose, driven by rising prices of nickel salt and cobalt salts, which significantly increased its raw material costs.

Ternary Cathode Precursor

In the week of May 20-23, the prices of ternary cathode precursor rose, driven by rising prices of nickel salt and cobalt salts, which significantly increased its raw material costs. Precursor producers were plagued by rising nickel salt prices and tight nickel salt supply. Some integrated ternary cathode makers reduced their production of in-house stocked up in advance. To cope with rising raw material prices and raw material shortages, precursor producers mainly focused on fulfillment of long-term contracts. Looking ahead, high raw material prices should keep precursor prices at high levels, but weak demand means upside room will be minimal.

Ternary Cathode Material

Ternary cathode material prices rose in the week of May 20-23, boosted by climbing raw material prices. With growing amount of client-supplied lithium carbonate, cathode makers may reduce external procurement. On the supply side, since mid-to-late May, some ternary cathode material manufacturers have seen a reduction in orders, leading to a greater-than-expected decrease in May's production schedule. On the demand side, major battery cell manufacturers have reduced their demand for ternary cathode materials in May due to considerations of their finished product and raw material inventories. In the consumer and e-bike markets, the recent fluctuations in lithium prices have led to a wait-and-see sentiment among downstream buyers. It is expected that ternary cathode materials will remain weak in the future.

LFP

LFP price decline slowed down in the week of May 20-23, mainly tracking swings of lithium carbonate prices. LFP processing fees saw no large adjustments. LFP market was relatively stable in May. Energy storage market maintained positive growth rate. NEV sales were robust, but risk falling in June. To cope with rising stocks, some battery cell makers reduced LFP orders for June, but most LFP producers have not yet reported a sharp decline in their orders.

LCO

In the week of May 20-23, LCO prices remained stable. LCO supply saw a slight increase in May. Competition among manufacturers remains intense. On the demand side, battery cell manufacturers continue to restock as needed. Looking ahead, as lithium prices are expected to decline, LCO material prices are anticipated to remain weak as well.

Nickel New Energy

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

58 mins ago

[SMM Flash] Supply tightness caused by the Hormuz situation continued to escalate, driving sulfur prices higher.

As of June 10, market sources indicated that the transaction price for China spot sulfur broke through 10,000 yuan/mt on the day. SMM EXW Shandong Sulfur quotation range was 9,307-10,000 yuan/mt, while SMM CIF Indonesia Sulfur quotation range was $1,250-1,300/mt, with the price center continuing to shift upward. The supply-side tightness remained unchanged, and short-term prices still faced upward pressure.

58 mins ago

1 hour ago

China's NEVs Are Going on a Diet

Data shows that in 2024, the average curb weight of China's passenger cars reached 1,704 kg, nearly 400 kg heavier than in 2012. Additionally, around the year 2000, common household NEVs on the market mostly had a width of around 1.7 meters. In 2015, the width increased to 1.8 meters. This week, household vehicles that often weigh close to 2 tons are sparking discussions due to their growing size and weight. Automaker engineers state that for every 10 mm increase in the width of an NEV's auto body, approximately 0.8 kWh more electricity can be packed in. However, experts say that vehicles becoming "fatter" is not solely due to this reason. Experts explain: Some automakers use driving range as a selling point, claiming that their cars can travel 800 or 1,000 kilometers on a single charge. In fact, behind this is the need to install a large battery pack inside the vehicle, which may weigh 700 to 800 kg. On January 1 this year, a mandatory national standard for EVs was officially implemented. For any new car model failing to meet energy consumption standards, the MIIT will not grant registration; the vehicle cannot be produced, sold, or licensed, guiding automakers to curb the growing trend of "obesity" in EVs. In the future, NEVs may hopefully return to standard dimensions.

1 hour ago

Yongtai Technology: Subsidiary Signs Electrolyte Cooperation Agreement with CATL

Yongtai Technology announced that its wholly-owned subsidiary Yongtai New Energy has signed an Electrolyte Cooperation Agreement with CATL, stipulating that from 2026 to 2028, CATL is expected to procure a total of 470,000 mt of electrolyte from Yongtai New Energy (including fluctuation range), subject to specific orders. The agreement is valid until December 31, 2028, and is expected to positively impact the company's operating results from 2026 to 2028.

1 hour ago