SMM Analysis: Lithium, Nickel Prices Fluctuate; Cobalt Declines Further Amid Mixed Market Sentiment

SMM June 30 News:

This week, lithium carbonate and nickel sulfate prices fluctuated within a range, while cobalt sulfate prices continued to decline. By material type — ternary, LCO, and LFP — the market presented a mixed picture.

On the LFP hydrometallurgical side: Taking LFP cathode sheet black mass as an example, prices this week stood at RMB 7,200–7,600 per lithium point, edging slightly higher compared to the closing level of last Thursday. The primary driver was the firm lithium carbonate price last Friday, which lent support to a modest rebound in LFP black mass pricing. That said, the market remains cautious on the forward lithium price outlook, with most participants still inclined to buy only on dips.

On the ternary and LCO side: Nickel-cobalt coefficients for ternary black mass were largely stable, with ternary cathode sheet black mass quoted at 77–79% of the nickel-cobalt payables. This week, downstream buyers largely purchased on a hand-to-mouth basis. Coupled with the sustained decline in cobalt sulfate prices and rising sulfuric acid costs on the hydrometallurgical processing side, nickel-cobalt payables edged lower. Cobalt-lithium coefficients for pure cobalt and high-cobalt scrap also continued to trend downward. The persistent weakness in cobalt sulfate prices, combined with sluggish demand from downstream LCO cathode plants, further dampened buying appetite among upstream hydrometallurgical processors.