According to the data monitoring of business agency: the price of industrial grade and battery grade lithium carbonate in the first quarter is still in a significantly higher range, with a price increase of about 80% in three months. On March 24, the average price of industrial grade lithium carbonate in East China was 480000 yuan / ton, which was 80.45% higher than that at the beginning of the year (the average price of industrial grade lithium carbonate in East China was 266000 yuan / ton on January 1). On March 24, the average price of battery grade lithium carbonate in East China was 501000 yuan / ton, which was 77.66% higher than that at the beginning of the year (the average price of battery grade lithium carbonate in East China was 282000 yuan / ton on January 1). As of March 24, the comprehensive quotation of industrial grade lithium carbonate market is around 445000 ~ 490000 yuan / ton, and the comprehensive quotation of battery grade lithium carbonate market is around 490000 ~ 510000 yuan / ton.

By observing the changes in the market, after the end of the new year’s Day holiday in January, the price of lithium carbonate continued to rise and the quotation continued to set a new high. The shutdown and overhaul of major manufacturers in the market and the gas restriction of natural gas in Qinghai still lead to the low supply and the upward quotation of some enterprises. In mid June, the price of lithium in Wuxi fell sharply, and some enterprises in the market released a little. However, under the circumstances of limited inventory and high downstream demand, it had little impact on the price of lithium carbonate, and the spot price remained high. Downstream lithium iron phosphate enterprises still have some shortage of goods, and ternary manufacturers have sufficient raw materials supported by some long orders.

Then, after the Spring Festival holiday in February, the price of lithium carbonate continued to rise steadily, and the historical high price is still updating. Both upstream and downstream of the market are in the state of resumption of production and work, which makes the market demand gradually increase. In late February, the price of lithium carbonate continued to rise significantly, the supply and demand of lithium ore and lithium salt in the market were still in a tight state, and the gap of domestic lithium carbonate was still obvious. As the demand for new energy vehicles, energy storage and other markets continues to burst, lithium carbonate, as one of the four cathode materials, is also an indispensable raw material in production and manufacturing, so the price is rising all the way.

In March, the rising trend of lithium carbonate price began to slow down. On the supply side, the lithium salt plant basically resumed normal production, and then maintained a high start-up state. With the rise of temperature in Qinghai, the overall supply of lithium carbonate increased. Imported lithium carbonate may also arrive in Hong Kong around April, when the domestic lithium carbonate supply situation will be effectively alleviated. On the demand side, the downstream lithium iron phosphate plate experienced maintenance and production reduction in varying degrees, which slightly slowed down the procurement demand. In the face of lithium salt products with high prices, the cost surge pressure of downstream enterprises increases, the acceptance of high lithium prices is low, and the upstream and downstream are in a game state. In late March, the procurement of downstream material factories was basically completed this month, and the attitude towards the procurement of high priced lithium salt tended to be cautious. There were few market transactions, and most manufacturers were mainly on the sidelines.

The lithium carbonate analyst of business society believes that at present, with the gradual release of lithium carbonate production, the relationship between market supply and demand has been alleviated. Downstream enterprises generally accept high priced lithium carbonate, and the market game will continue. Affected by the supply and demand pattern and sentiment, it is expected that the short-term lithium carbonate price may stop rising and maintain stability.