Precursor Prices Fell Slightly As Raw Material Prices Declined And Production Restarted

SHANGHAI, Aug 30 (SMM) – Nickel sulphate: The tight supply situation has been eased, and demand from end-users has fallen short of expectations. Nickel sulphate prices rose slightly in July, mainly due to the tight supply and the increase in demand brought about by high nickel expectations, which pushed up prices of nickel sulphate. The actual demand did not meet expectations in August. The tight supply of raw materials was eased as new nickel intermediate products and nickel briquette dissolving production lines gradually released output. Thus, nickel sulphate prices fell slightly.

Cobalt sulphate: The demand continued to be bearish, and prices maintained a downward trend. Cobalt sulphate prices increased sharply amid shipping delays and Covid-19 pandemic, coupled with positive expectations for the peak consumption season in Q3. However, demand for consumer electronics has not increased as expected in the high season since August, and the demand for motive power remained flat. Cobalt sulphate prices declined further amid decreasing demand.

NCM cathode material precursor: Prices trended lower amid the release of production capacity and declining costs of nickel cobalt. Some capacity affected by force majeure has returned to normal status amid stable demand for NCM cathode material precursor. Besides, nickel cobalt raw material prices trended lower, leading to decline in precursor prices and costs of nickel cobalt.