RE:RE:RE:RE:Free Fall
Lithium carbonate prices in China fell to 462,500 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.