[SMM Weekly Review] This week, the prices of ternary and LCO black mass in the disassembly recycling market rebounded slightly (June 30-July 3, 2025)

SMM News on July 3:

Hydrometallurgy recycling situation this week:

Regeneration: Following the announcement of the DRC's restriction on imports and exports last week, cobalt sulphate prices continued to rise. However, due to insufficient demand support in the short term, the price increase was relatively limited. Meanwhile, nickel sulphate prices were basically stable, and lithium carbonate prices rebounded slightly, oscillating in operation. This week, the coefficients for ternary and LCO black mass remained flat. Currently, the lithium prices per % lithium for LFP pole piece black mass range from 2,150 to 2,300 yuan/mtu, and for LFP battery black mass, they range from 1,950 to 2,100 yuan/mtu. Taking ternary black mass as an example: At present, the nickel-cobalt coefficient for ternary pole piece black mass is 72-74%, and the lithium coefficient is 66-70%. For ternary battery black mass, the nickel-cobalt coefficient is 70-72%, and the prices were basically flat WoW. On the demand side of ternary hydrometallurgy recycling, most ternary hydrometallurgy recycling plants maintained a basically stable procurement volume this month, only consuming basic inventory. Due to the market's pessimistic attitude towards subsequent lithium chemical prices, they were cautious in purchasing black mass, and market transactions remained sluggish. On the demand side of LFP hydrometallurgy recycling, most LFP hydrometallurgy recycling plants were basically in a semi-shutdown state, only engaging in partial toll processing and not conducting external purchases. On the supply side, the psychological selling prices of grinding mills and traders loosened somewhat with the continuous decline in salt prices, and black mass prices basically followed the continuous price reduction behavior of salt prices. Market transactions were sluggish. On the cost side, currently, except for leading integrated hydrometallurgy recycling plants, most hydrometallurgy recycling plants' profits were still below the surplus line, especially LFP hydrometallurgy recycling plants, which were greatly affected by the decline in lithium chemical prices. The profits of the grinding mill end were slightly better than those of the hydrometallurgy recycling end, but the profits of the grinding mill end of some small and medium-sized plants also continued to be inverted.

SMM New Energy Research Team

Wang Cong 021-51666838

Ma Rui 021-51595780

Feng Disheng 021-51666714

Lv Yanlin 021-20707875

Zhou Zhicheng 021-51666711