[SMM Weekly Review] Prices of ternary and LFP black mass in the disassembly recycling market continued to rise this week (July 21-24, 2025)

SMM reported on July 24:

Hydrometallurgy recycling situation this week:

This week, the prices of salt products such as cobalt sulphate and lithium carbonate have risen, especially the price of lithium carbonate, which has surged significantly. This week, the nickel and cobalt coefficients for black mass of ternary and LCO have all increased, with the lithium coefficient showing a particularly high rise. The prices per % lithium for black mass of LFP have also continued to rise. Currently, the prices per % lithium for black mass of LFP pole pieces range from 2,350 to 2,500 yuan/mtu, and for black mass of LFP batteries, they range from 2,200 to 2,350 yuan/mtu, with prices increasing by 100 yuan/mtu WoW. Taking black mass of ternary as an example: at present, the nickel and cobalt coefficients for black mass of ternary pole pieces range from 72.5% to 75%, and the lithium coefficient ranges from 70% to 72%. The nickel and cobalt coefficients for black mass of ternary batteries range from 70% to 72%. On the demand side, most LFP hydrometallurgy recycling plants are maintaining toll processing, and the recent price increase of lithium carbonate has boosted the purchasing sentiment of some customers. In recent days, the immediate cost of producing lithium carbonate from black mass of LFP has started to yield profits. On the demand side of ternary hydrometallurgy recycling, most plants are maintaining normal purchases and appropriately increasing them in line with salt prices. On the supply side, the psychological selling prices of grinding mills and traders have risen along with salt prices, especially the continuous increase in lithium carbonate prices. The prices of black mass have basically followed the trend of rising salt prices, with market transactions remaining sluggish. On the cost side, with the recent rebound in salt prices, except for the top integrated hydrometallurgy recycling plants, the profits from externally purchasing black mass of LCO for salt extraction have returned to above the surplus line. However, the profits of ternary and LFP hydrometallurgy recycling plants still remain below the surplus line. The profits of grinding mills are slightly better than those of hydrometallurgy recycling plants, but the profits of some small and medium-sized grinding mills continue to be negative.

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