Futures reduce positions and drive up prices, spot costs push prices higher, demand recovery remains slow [ADC12 Price Daily Review]

【SMM Cesium & Rubidium Express】Zichang Guoyuan, the only enterprise in China capable of stable mass production of 4N5+ high-purity rubidium and cesium products, has recently achieved a breakthrough in 6N+ ultra-high-purity product technology, further consolidating its leading position in the industry. Relying on the "open competition mechanism for selecting the best to undertake key tasks" project, the company is building an industrial circular economy system for rubidium and cesium raw materials, and has completed the domestically unique production line for comprehensive recovery and reuse of cesium formate waste liquid. As a core raw material for high-end solid-free completion fluids for high-temperature and high-pressure oil and gas wells, cesium formate enables this project to guarantee the independent supply of key strategic raw materials, while opening up intensive export channels to support the 10,000-tonne-level market demand. In the photovoltaic track, the company uses recrystallization purification process to prepare high-purity precursors of rubidium iodide and cesium iodide, which can be used to formulate perovskite coating solutions and prepare rotary sputtering targets, optimize grain boundary defects of perovskite thin films, suppress phase separation, improve thermal stability, and solve the raw material bottleneck for large-scale mass production of perovskite. Industry estimates show that every 1GW of perovskite production capacity consumes about 20 tonnes of rubidium and cesium salts, the 20GW installed capacity in 2027 corresponds to a demand of 400 tonnes of materials, and the 80GW production capacity in 2030 will bring a market space of 1600 tonnes.

【SMM Vanadium Flash News】Starting from September 1,2026, China will resume the consumption tax on all-vanadium flow energy storage batteries, with an initial tax rate of 2%; the tax rate will be raised to 4% starting from September 1,2027. The taxable object of this levy is the terminal product of finished all-vanadium flow energy storage batteries, which is collected at the ex-factory production stage, and does not apply to intermediate raw materials such as vanadium raw materials, vanadium pentoxide and vanadium electrolyte. Sodium batteries and solid-state batteries are exempt from consumption tax before the end of 2028. The taxation will slightly push up the cost of terminal vanadium battery projects, but in the long run, with the growth of long-duration energy storage demand and the maturity of vanadium battery technology, the cost transmission capacity is expected to gradually increase.

South Africa's Department of Mineral and Petroleum Resources has instructed Samancor to stop depositing tailings at any of its dams at the Dikwena Chrome facility in Brits, North West, while an investigation continues into the August 13 collapse of a sidewall at the mine's Dam 1B tailings storage facility. The failure released the bulk of the dam's stored waste, damaging mine infrastructure, a railway line and Eskom power infrastructure, and sending sludge into a nearby wetland and toward the neighboring Eland Mine's Maroelabult shaft area. No injuries or fatalities were reported. Minister Gwede Mantashe, accompanied by Deputy Minister Phumzile Mgcina, Water and Sanitation Deputy Minister David Mahlobo and chief inspector of mines David Msiza, conducted a joint on-site and aerial oversight visit to the facility on August 17. Mantashe said the incident underscored that tailings dam management is a mining issue tied directly to operational and structural accountability rather than a water-management matter alone, and raised concern that Samancor had not decisively addressed seepage reportedly identified at the facility roughly three months before the collapse. Samancor has taken responsibility for the investigation, clean-up and rehabilitation, with CEO Desmond McManus confirming the company is repairing damaged electrical infrastructure and access roads and will appoint an independent professional to assess the facility. The Department of Water and Sanitation has deployed teams to conduct water quality sampling and environmental risk assessments, while Mahlobo said an aerial inspection indicated the spillage had been contained, though the facility's exact groundwater impact remains under review. The tailings facility is operated by contractor One Chrome, which also runs the site's Inyoni Platinum PGM recovery plant, and investigations into the technical and operational causes of the failure remain ongoing.