SMM Data: China’s Ternary Cathode Materials Output In August And Forecast For September

SHANGHAI, Sep 15 (SMM) – In August 2023, the production of ternary cathode materials in China was 56,167 mt, a slight decrease of 1% MoM and a 4% decrease YoY. In terms of demand, the power market in China showed a stable and modest growth, while overseas demand continued to be weak. In the digital market, due to stable end-consumer demand and the continuous decline in raw material prices, there was a small decrease in orders. Overall, the demand side showed a weak and stable trend, resulting in a slight decline in ternary cathode materials production and a stronger effect on leading companies, with divergent trends in production rates between large and small enterprises. Entering September, the further weakening of overseas demand and clear signals of reduced high-nickel production have had an impact. There is no significant expectation of increased demand in the domestic power and digital sectors, coupled with the continuous decline in raw material prices and a weak outlook for increased demand in the future. Battery companies are cautious in stocking ternary cathode materials, prioritizing inventory digestion, which also implies a downward trend in mid-nickel production. In September 2023, the production of ternary cathode materials in China was 52,867 mt, a 6% decrease MoM and a 22% decrease YoY.

From January to August 2023, the cumulative production of ternary cathode materials in China was 400,607 mt, a slight increase of 1% YoY.