The spot price of lithium carbonate continues to decline

Today, the SMM spot price for battery-grade lithium carbonate continued the downward trend from the previous working day. In the futures market, the main contract fluctuated and declined throughout the day. It opened at 16.2 ten-thousand yuan/ton, then steadily moved lower, ultimately breaking below the 15.7 ten-thousand yuan/ton level to close. By the close of trading, open interest decreased by about 3.6 thousand lots compared with the previous trading day.

In the spot market, upstream companies’ spot order quotes and their psychological willingness to price were slightly lowered, but they generally still stayed above 16.0 ten-thousand yuan/ton. Actual shipment willingness remained weak. Downstream material manufacturers continued a just-needed procurement strategy; purchase deals and willingness prices were mostly at 15.8 ten-thousand yuan/ton and below. Overall, both market inquiries and transactions were relatively subdued.

Affected by ongoing disturbances from supply-side news such as Zimbabwe and Jiangxi mines, lithium carbonate prices saw volatile declines today. Looking ahead, the marginal increase brought by the release of new vehicle models in April, geopolitical fluctuations in the Middle East, and continued supply-side disturbances all warrant close monitoring. Based on an overall assessment, it is expected that in the short term lithium carbonate prices will remain relatively strong. (SMM)

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