Graphitisation processing fees run steadily under the industry break-even point [SMM Lithium Battery Anode Raw Material Market Weekly Review]

SMM, July 16:

China's graphitisation tolling processing fees were stable this week. Strong downstream demand provided solid support, tolling orders remained high, and processing fees held steady. However, the capacity of operating enterprises remained tight, coupled with persistent cost pressure, and market expectations for price hikes persisted. Nevertheless, after several rounds of price increases earlier, although overall industry profit margins remained limited, most tolling enterprises had basically achieved break-even. At this stage, their shipment sentiment has stabilised, and motivation to adjust prices is weak. Looking ahead, as downstream anode material demand continues to climb, battery producers, in order to ensure steady release of their own capacity, are gradually loosening their desire to bargain down prices. The bargaining power of the processing segment is expected to be restored, and the industry operating environment may show marginal improvement.

SMM New Energy Research Team

Wang Cong 021-51666838

Ma Rui 021-51595780

Feng Disheng 021-51666714

Lü Yanlin 021-20707875

Zhang Haohan 021-51666752

Wang Zihan 021-51666914

Wang Jie 021-51595902

Chen Bolin 021-51666836

Xu Yang 021-51666760

Xu Mengqi 021-20707868

Hu Xuejie 021-20707858

Yang Le 021-51595898

Wang Zhaoyu 021-51666827

Li Yisha 021-51666730

Huang Chencong 021-51595860

Lin Ziya 021-5166-6902