Lithium Falls to Near 2-Month Low

Lithium carbonate prices in China fell to CNY 163,000 per tonne in June, the lowest in nearly two months, as higher prices drove producers to restart mining activity. Mineral Resources will restart its Bald Hill lithium mine following an 18-month suspension, while Core Lithium restarted its Finniss project, making up for shortages elsewhere. Zimbabwe imposed export quotas for lithium concentrates and a full export ban to start next year, and stated exports would be allowed for processed lithium to stimulate the investment in local processing. Meanwhile, new data painted a mixed picture for electric vehicle demand. New energy vehicle sales in China fell by 7.5% annually to 950,000 units in May, although the market share for the sector rose to 62.9% in the period. Still, the demand outlook was supported by Chinese investment in power infrastructure, recently consolidated with Beijing stating it would double national EV charging capacity to 180 gigawatts by 2027.

Lithium carbonate prices in China fell to CNY 170,000 per tonne from the two-year high of CNY 200,500 touched May 13th, as higher prices drove producers to restart mining activity. Mineral Resources will restart its Bald Hill lithium mine following an 18-month suspension, while Core Lithium restarted its Finniss project, making up for shortages elsewhere. Zimbabwe imposed export quotas for lithium concentrates and a full export ban to start next year, and stated exports would be allowed for processed lithium to stimulate the investment in local processing. New data from China showed that new energy vehicles output, the top source of lithium demand due to their batteries, rose by 5.5% annually to 1.32 million units, while sales rose by 9.7% to 1.34 million units. Demand also remained supported by Chinese investment in power infrastructure, recently consolidated with Beijing stating it would double national EV charging capacity to 180 gigawatts by 2027.

Lithium carbonate prices in China were near CNY 180,000 per tonne, below the two-year high of CNY 200,500 from May 13th as higher prices drove producers to restart mining activity. Mineral Resources will restart its Bald Hill lithium mine following an 18-month suspension, while Core Lithium restarted its Finniss project, making up for shortages elsewhere. Zimbabwe imposed export quotas for lithium concentrates and a full export ban to start next year, and stated exports would be allowed for processed lithium to stimulate the investment in local processing. On the demand front, New data in top consumer China showed that new energy vehicles output, the top source of lithium demand due to their batteries, rose by 5.5% annually to 1.32 million units, while sales rose by 9.7% to 1.34 million units. Demand also remained supported by Chinese investment in power infrastructure, recently consolidated with Beijing stating it would double national EV charging capacity to 180 gigawatts by 2027.