China Trimanganese Tetroxide (Mn3O4) Output In November And Forecast For December

SMM data shows that in November 2023, China's production of Mn3O4 was 9,100 mt, which included 4,800 mt of electronic grade and 4,300 mt of battery grade, down 16.24% MoM and down 37.38% YoY. The cumulative production from January to November 2023 amounted to 116,000 mt, down 18.66% YoY. The production of battery-grade Mn3O4 saw a significant drop, primarily because the spot price of lithium carbonate entered a downward trend, leading to a substantial reduction in LMO orders and, consequently, a decrease in the procurement demand for battery-grade Mn3O4. On the other hand, the production of electronic-grade Mn3O4 remained stable, but the demand was hardly stimulated due to the downturn in the real estate market.

Market insights indicate a worsening LMO market downturn in December, likely causing a larger drop in LMO firms' production schedules. This will also reduce battery-grade Mn3O4 output, while electronic-grade Mn3O4 should remain stable. December's total Mn3O4 production is projected at about 7,900 mt.