SMM December 12 News:
In November, the demand for LMFP in the market did not meet expectations. Although car manufacturers were active in using LMFP materials, there was no significant short-term demand growth. Overall, market prices showed a downward trend. Despite fluctuations in lithium prices, the overall price remained on a downward trajectory due to weak demand. In terms of production, LMFP production in November slightly decreased.
Regarding prices, the market price of LMFP in November fluctuated slightly, with the average price falling below 50,000 yuan. It is expected that prices will continue to weaken in December.
Supply and demand in the LMFP market for the automotive sector: Supply of regular compaction products exceeded demand, while high compaction capacity was insufficient, and the demand market had not yet expanded.
Supply and Demand Situation in the LMFP Market
Regular Compaction Products: Supply: Adequate, Demand: Relatively low, Market Status: Oversupply.
High Compaction Products: Supply: Insufficient capacity; Demand: High potential demand; Market Status: Undersupply.
Overall Market Trend: Demand has not been fully released, and the market is in the early stages of development.
Industry Trends: The development of the LMFP market is influenced by various factors. On one hand, the rapid expansion of the NEV industry will continue to drive demand for LMFP. However, currently, LMFP batteries are only used in a few car models and are typically mixed at about 30%. Some car manufacturers are striving to increase their proportion in batteries, even up to 70%. Currently, LMFP is mainly used in the small power market.
2024 Market Dynamics for LMFP (Partial):
[LMFP: Ronbay Technology Has Completed the Construction of a 10,000 mt LMFP Solid Phase Capacity Project] On December 12, 2024, Ronbay Technology revealed in response to an investor inquiry that domestic capacity: the construction of a 10,000 mt LMFP solid phase capacity project has been completed, with Q3 shipments up over 100% YoY, maintaining the leading market share in the industry. Overseas expansion: The feasibility study for a 20,000 mt capacity project in South Korea has been completed, with mass production expected in 2026. In Europe, supporting LMFP capacity is being planned.
[100,000 mt LMFP Material Project to Be Put into Operation Soon] The lithium battery industrial park manufacturing base in Changzhi High-tech Zone, Shanxi Province, has been accelerating the construction of an annual 100,000 mt LMFP cathode active material project since its commencement in February this year, with 95% of the project completed.
[Jiangxi Ganfeng LMFP Production Project Successfully Completed Commissioning Ceremony] On the morning of November 11, Jiangxi Ganfeng Battery Materials Co., Ltd. held a grand commissioning ceremony for the pilot line of its LMFP project at the base. This commissioning ceremony marked an important milestone in the phased completion of the project, further advancing the company's development in the field of lithium battery cathode active materials.
[LMFP Patent: Hunan Yuneng "Preparation Method of LMFP Cathode Active Material and Lithium Battery"] On October 19, 2024, the National Intellectual Property Administration published a patent application submitted by Hunan Yuneng New Energy Battery Materials Co., Ltd. The patent, titled "Preparation Method of LMFP Cathode Active Material and Lithium Battery," has the publication number CN 118754089 A and was filed on September 2024.
The preparation of LMFP cathode active material uses a high-temperature roasting tower, including a high-temperature roasting furnace and a sintering furnace. The high-temperature roasting furnace is equipped with a sprayer, heater, and particle size regulator. The specific steps are as follows:
(1) Mix the iron source, phosphorus source, and hydrochloric acid to form the first solution;
(2) Mix the manganese source with hydrochloric acid to form the second solution;
(3) Mix the first and second solutions with a dispersant to form the third solution, and process it in a high-temperature roasting furnace to prepare an LMFP precursor with at least two preset particle sizes;
(4) Perform the first sintering of the precursor with the first carbon source in the first sintering zone to form a calcined body;
(5) Perform the second sintering of the calcined body with the lithium source, dopant, and second carbon source in the second sintering zone to obtain the LMFP cathode active material.
This method controls the particle size of the precursor by adjusting the suspension time of the droplets in the heating zone, thereby reducing production costs.
