Chinese lithium producers to set price floor?
Apparently they are set to do so, according to a Reuters article from a conference in China in late-March. According to “people familiar with the matter” at least 10 producers, including Ganfeng Lithium (HKG:1772) and Tianqi Lithium (HKG:9696) agreed to set a price floor of Rmb250,000/t (US$36,380/t) of lithium carbonate. Whether the “news” is correct or not, we wouldn’t be surprised to see a floor going in at around this level because we believe it’s where the marginal cost of production is. We’ve already heard tales of small producers in China cutting production and the continued fall in spot lithium...
Topics
Conversion Margin
Lepidolite
Lithium
Lithium Carbonate
Lithium Hydroxide
Spodumene
