LITHIUM STOCKS AND CHARTS

[TradingCharts]

Lithium carbonate prices sank below CNY 175,000 per tonne in April, the lowest in 18 months and down 70% from their record high in November 2022, as abundant supply and weak demand backed expectations for a surplus this year. The Chinese government ended cash subsidies for households purchasing new energy vehicles, resulting in NEV sales growth slowing to 22% year-on-year in Q1 of 2023 compared with the 93% surge in 2022. The overproduction of batteries at the end of the last year to take advantage of subsidies also attributed to the unsustainable inventory rise and prompted the sale of goods at a steep discount, with sharp capacity cuts in all streams of the supply chain. Still, multiple carbonate producers reported a reduction in their processing rates, while the EU decided to phase out carbon-emitting cars by 2035. Expectations that stockpiles might thin and demand recover led market players to believe prices are reaching their bottom.

https://tradingeconomics.com/commodity/lithium