[SMM Weekly Review] Refined cobalt price surged significantly

Published: Jun 26, 2025 15:25

Save

[SMM Weekly Review] This week, affected by the extended export ban policy in the DRC, both the futures prices and spot prices of refined cobalt on the Zhonglianjin market rose significantly. Supply side, most refined cobalt smelters maintained long-term contract supply, with limited spot order quotations. After several trading days of wait-and-see, traders gradually resumed quotations and refused to budge on prices. Demand side, inquiries from traders and end-users increased notably in the early week under the policy impact, with sporadic actual transactions heard. However, mid-week, as Zhonglianjin futures prices returned to fluctuations, market sentiment cooled, and some traders reported weakened inquiry intentions from end-users, with limited actual transactions. Overall, given the current high social inventory of refined cobalt in midstream and no significant improvement in downstream demand, even with the major positive news of the DRC's extension, most downstream producers maintained just-in-time procurement, resulting in subdued actual transactions. Refined cobalt prices are expected to return to a fluctuating pattern next week.

This week, influenced by the extension of the export ban in the Democratic Republic of the Congo (DRC), both the futures and spot prices of refined cobalt on the Zhonglianjin futures market saw significant increases. On the supply side, most refined cobalt smelters continued to supply under long-term contracts, with fewer spot order quotations. After observing the market for a few trading days, traders gradually resumed quoting and maintained their refusal to budge on prices. On the demand side, inquiries from traders and end-users increased significantly at the beginning of the week due to the policy impact, and sporadic actual transactions were heard. However, by mid-week, as the futures prices on the Zhonglianjin market returned to volatile trading, market sentiment cooled. Some traders reported that end-user inquiry intentions weakened, and actual transactions remained limited. Overall, due to the currently high social inventory of refined cobalt in the midstream and no significant improvement in downstream demand, even with the major positive news of the DRC's export ban extension, most downstream producers still maintained a just-in-time procurement rhythm, and actual transactions remained sluggish. It is expected that refined cobalt prices may return to a volatile pattern next week.

SMM New Energy Research Team

Cong Wang 021-51666838

Rui Ma 021-51595780

Disheng Feng 021-51666714

Yanlin Lv 021-20707875

Wenhao Xiao 021-51666872

Zhicheng Zhou 021-51666711

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

14 hours ago

Beijing Launches 500-kV Power Project in Fengtai, Boosting Grid Resilience and Industrial Growth

On January 28th, the construction of the 500-kilovolt power transmission and transformation project in Fengtai, Beijing officially started. This project is the first newly-built 500-kilovolt power grid project in Beijing during the 15th Five-Year Plan period. It will significantly enhance the resilience and power receiving capacity of the southern Beijing power grid and provide reliable power support for Beijing to continuously optimize the investment structure and vigorously develop high-end, precise, and cutting-edge industries. The 500-kilovolt power transmission and transformation project in Fengtai, Beijing is a key project of Beijing's power grid during the 15th Five-Year Plan period and one of the "3 100" key projects in Beijing this year. It is constructed and managed by the State

14 hours ago

Shaanxi-Anhui UHV DC Project's 500-kV AC System at Hezhou Station Begins Operation After Trial Run

On February 1st, the 500-kilovolt AC system of the Hezhou Converter Station, the receiving-end station of the ±800-kilovolt UHV DC power transmission project from northern Shaanxi to Anhui, was officially put into operation after a 24-hour trial run.

14 hours ago

750-kV Power Line Connecting Northern to Central Shaanxi Fully Operational

On February 2nd, the 750-kilovolt power transmission and transformation project of the third passageway from northern Shaanxi to central Shaanxi was fully connected. The project starts from the 750-kilovolt Shuofang Substation in Shenmu City in the north and ends at the 750-kilovolt Bailuyuan Substation in Lantian County in the south. It has newly built a 1,271-kilometer line, passing through 18 counties (districts) in 4 cities including Yulin, Yan'an, Weinan and Xi'an.

14 hours ago