EXECUTIVE SUMMARY
A sharp weekly correction pushed battery-grade lithium carbonate down 9.7% and spodumene SC6 down 13.1%, according to InfoLink Consulting. China’s LFP storage cell market remained broadly stable, although 100 Ah prices edged lower, while tracked electrochemical ESS transaction prices remained unchanged.
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Lithium raw material prices recorded a sharp weekly decline, while China’s LFP energy storage cell and electrochemical ESS markets remained comparatively stable. InfoLink Consulting reported that battery-grade lithium carbonate traded at RMB 128,000–132,000/MT, averaging RMB 130,000/MT, down 9.7% week over week. Spodumene concentrate SC6 fell 13.1% to an average USD 1,850/MT, within a USD 1,800–1,900/MT range.
The correction reflected weaker macro sentiment, lower forward demand expectations and an improving mine supply outlook. Zimbabwean concentrate arrivals and recovering lithium ore inventories in China strengthened expectations for higher spodumene-based lithium output. However, InfoLink noted that spot lithium salt supply remained tight, downstream restocking increased at lower prices and market inventories continued to decline.
Supply conditions could loosen in Q4 as imported ore volumes increase and some spodumene-based lithium production lines resume operations. Near-term Chinese output remains constrained by permit-renewal shutdowns at Jiangxi lepidolite mines, limited progress on Jianxiawo’s restart and maintenance at some lithium salt facilities.
LFP energy storage cell prices remained broadly stable. According to InfoLink, the 100 Ah format averaged RMB 0.438/Wh, down 0.6% week over week, while 280 Ah and 314 Ah cells were unchanged at RMB 0.365/Wh. Utility-scale storage deliveries continued to support the two larger formats, while ample supply and fading premiums increased pressure on 100 Ah cells.
Electrochemical ESS transaction prices also remained stable. InfoLink reported that two-hour DC-side systems averaged RMB 0.49/Wh, while 1-hour, 2-hour and 4-hour AC-side systems averaged RMB 0.84/Wh, RMB 0.58/Wh and RMB 0.53/Wh, respectively. Lower lithium costs have not yet materially passed through to system prices because costs for other equipment and services remain comparatively rigid.
Hybrid storage procurement is also progressing. InfoLink highlighted two projects in Hebei that combine predominantly LFP capacity with sodium-ion or vanadium redox flow storage. Meanwhile, reported tightening of approvals for planned ESS cell capacity could moderate longer-term oversupply. Existing capacity remains ample, however, meaning tighter approvals are not expected to create an immediate cell shortage or materially increase prices.