[SMM Weekly Review] Spot Lithium Hydroxide Market Trends for 5.19-5.23

This week, lithium hydroxide prices continued to decline. Most buyers primarily purchased lithium hydroxide from enterprises through long-term agreements and customer-supplied materials. Therefore, even with some incremental demand in orders, there were few spot purchases. On the supply side, the production pace of most enterprises has been relatively stable recently, with generally high inventory levels. Continuous price pressure on the downstream has somewhat loosened the stance of refusing to budge on prices, and transaction discounts have deepened, driving lithium hydroxide prices to continue their downward trend. Additionally, according to customs data, the export volume of lithium hydroxide remained at a relatively low level, basically flat on a WoW basis, mainly due to weak overseas demand and the partial transfer of overseas lithium hydroxide orders for domestic shipment. In summary, there is currently no significant expected increase in demand, while support from the cost side on the supply side has weakened. Coupled with the downward pull from falling lithium carbonate prices, lithium hydroxide prices are more likely to fall than rise.