Lithium and price
Lithium carbonate prices in China fell to 467,500 yuan/tonne in late April, the lowest in two months on strong supply and lower demand. Carbonate supply is seen rising after the Chinese Ministry of Industry and Information Technology called for sustained supply and higher output from smelters and miners while promoting the development of lithium ore resources. Fresh figures showed that production in China rose 42% on the year and 41% on the month in March. At the same time, a surge in Covid cases and concerns of more lockdowns hampered demand. Still, carbonate prices are 70% higher year-to-date, and remain near a record high of 497,500 yuan hit in late March as volatile energy prices strengthened the appeal to transition away from fossil fuels, adding to the booming demand for electric vehicles. After rising 157% to 3.2 million units in 2021, electric vehicle sales in China were forecasted to cross 5 million in 2022.
Trading Economics provides Lithium pricing based on spot prices for Lithium Carbonate, 99.5% Li2CO3 min, battery grade, traded in China. Lithium is a silver-white light metal. Lithium hydroxide is used in batteries for electrical vehicles and mobile phones. Lithium hydroxide is produced from a chemical reaction between lithium carbonate and calcium hydroxide. The biggest lithium producers are Chile, China, Australia and Argentina. The largest lithium importers are China, Japan, South Korea and the United States.