Some cathode plants can still obtain discount conditions on par with August [SMM Ternary Cathode Precursor Market Weekly Review]

This week, ternary cathode precursor prices continued their upward trend. Driven by rapid increases in cobalt sulphate and nickel sulphate prices, precursor costs rose quickly, and producers correspondingly raised their quotes rapidly.

For the payable indicator, long-term contract orders largely maintained their original discount levels; most producers have increased discounts for spot orders, though some cathode material producers still offer discounts consistent with August levels to clients with long-standing good cooperation and stable orders. Ternary cathode precursor prices are expected to continue rising in September.

Demand side, the precursor market still saw some growth in September, and it is projected to reach peak production for the year this month. The current growth mainly comes from the domestic EV market, while the consumer market showed mediocre performance over the past two months. Demand is expected to pull back starting in October after this month’s push ends.