[Cost Side Pressure Eases, Boosting Anode Production Growth in June] Cost side, affected by weak downstream demand, the prices of graphitisation tolling services and raw material coke continued to decline. However, the demand side showed signs of recovery. In June, battery cell production reached 143.34 GWh, up 1% MoM. Against the backdrop of a slight uptick in downstream demand and an expansion of corporate profit margins, anode material companies increased their production enthusiasm, driving a MoM increase in production. Looking ahead to July, on the power side, entering the traditional off-season for sales and with government subsidies for H1 already exhausted, new energy vehicle sales in July are expected to decline significantly, which will be transmitted upstream to the anode sector, potentially leading to a drop in demand for anode materials from power battery cells. On the ESS sector, influenced by European summer PV, demand for anode materials is expected to increase. Considering the combined demand from both the power and ESS sectors, downstream demand for anodes in July is expected to increase only slightly, which will in turn affect the production enthusiasm of anode companies.