This week, the price of ternary cathode precursor continued its upward trend. In terms of raw materials, the prices of nickel sulphate and cobalt sulphate continued to climb. Currently, the inventory of raw materials at ternary cathode precursor producers is at a relatively low level. Coupled with the stockpiling demand during the traditional peak season, some precursor producers with good order performance need to purchase raw materials as soon as possible, and have to bear the pressure of rising raw material prices. The current significant increase in raw material costs has not been matched by a corresponding increase in the acceptance of precursor price hikes by downstream cathode material producers. In particular, the settlement discount coefficient between precursors and cathode materials remains unchanged, leading to significant cost pressure for precursor producers this week.
In terms of market dynamics, there is robust demand for domestic medium-to-high nickel precursor orders in the NEV market. Some producers have high capacity utilization rates and are experiencing a tight supply of raw materials. In overseas markets, affected by the phase-out of US NEV subsidies, subsequent orders are expected to contract. In the consumer market, there is increased attention on high-nickel materials, with some producers achieving outstanding performance in high-nickel orders.
