Demand-Driven Lithium Carbonate Supply Deficit Extends in October, Lifting its Prices

SHANGHAI, Nov 15 (SMM) - Lithium carbonate supply deficit recorded 7,995 mt in October amid rising supply and demand in the month. Chinese lithium carbonate output stood at 34,168 mt in October, up 4% MoM. And the YoY growth came in at 87%. Most domestic lithium salt manufacturers maintained normal and stable production amid the timely supplement of overseas raw materials. The production bases of some top-tier manufacturers reduced the production due to maintenance, hurting the overall operating rates. In addition, the production of manufacturers in Qinghai was also affected slightly by the low temperature starting from October. Hence lithium carbonate rose merely 4% MoM in October, while the demand picked up with terminal players rushing to produce around the end of the year. The output is likely to climb further MoM in November with the maintenance of top-tier manufacturers drawing to an end. The lithium carbonate is estimated at 37,294 mt in November, up 9% on the month and 99% on the year.