Report Information - Report Title: Carbonate Lithium Futures Daily Report [1] - Date: September 25, 2025 [2] - Researcher: Zhang Ping, Yu Feifei, Peng Jinglin [3][4] Industry Investment Rating - Not provided in the report Core View - The carbonate lithium futures continued a weak and volatile trend. The market sentiment gradually weakened as the expected production cuts on the supply side near the end of the month were not realized. The futures market maintained a contango structure, with futures prices lower than spot prices. The spot price of electric carbon remained stable, while the prices of Australian ore and mica decreased with the downward movement of the futures market. The production losses of salt plants using purchased lithium spodumene and lithium mica improved slightly. Although salt plants were currently operating at a loss, it did not affect their production enthusiasm. As the industry's peak demand season was approaching, the pre - National Day stocking by downstream material factories was nearing completion, and the support from the spot market was gradually weakening. Overall, the pressure on the futures market increased due to the continuous high production of carbonate lithium, combined with the approaching end of spot stocking. However, considering the expected increase in new energy vehicle production and sales this year due to the subsidy reduction next year and the unexpected performance of the energy storage sector, the demand for carbonate lithium was expected to increase rapidly, and the downward adjustment space for carbonate lithium was limited. Attention should be paid to the support level of around 72,000 for the main contract [9]. Summary by Directory 1. Market Review and Operation Suggestions - The carbonate lithium futures continued a weak and volatile trend. The expected production cuts on the supply side were not realized, and the market sentiment weakened. The futures market was in a contango structure, with futures prices lower than spot prices. The spot price of electric carbon was stable, and the prices of Australian ore and mica decreased. The production losses of salt plants improved slightly, but it did not affect production enthusiasm. The pre - National Day stocking by downstream material factories was nearing completion, and the spot - market support was weakening. The pressure on the futures market increased due to high production and approaching end of stocking, but the downward adjustment space was limited. Attention should be paid to the support level of around 72,000 for the main contract [9]. 2. Industry News - On September 23, Australian mining company Anson Resources signed a battery - grade carbonate lithium purchase agreement with South Korean LG Energy Solution. LG will purchase up to 4,000 dry metric tons of battery - grade carbonate lithium annually from Anson's project in the Paradox Basin, Utah, USA, starting in 2028, accounting for about 40% of the project's initial annual production capacity of about 10,000 tons. The initial term of the agreement is five years, with a possible five - year extension [12]. - In August 2025, China's lithium spodumene import volume was 619,200 tons, a 17.5% decrease from the previous month. Imports from Australia were 212,000 tons, a 50.5% decrease from the previous month and a 30.7% decrease from the same period last year; from South Africa were 56,000 tons, a 46.8% decrease from the previous month; from Zimbabwe were 118,000 tons, an 83.9% increase from the previous month; from Nigeria were 105,000 tons, a 9.5% decrease from the previous month; and from Mali were 73,000 tons. From January to August, China's lithium spodumene import volume was 4.865 million tons, including 2.445 million tons from Australia, 655,000 tons from South Africa, and 696,000 tons from Zimbabwe. The import volume in July soared and returned to the average level of the previous months in August [12][13].

Summary of Key Points Core Viewpoint - Tianjin Yinlong Prestressed Materials Co., Ltd. is participating in the establishment of a private equity investment fund to capitalize on opportunities in the renewable energy sector, while maintaining its core business focus on prestressed materials and concrete products for rail transit [2][43]. Group 1: Investment Overview - The investment target is the Tianjin Zhongyuan Botong New Energy Venture Capital Fund Partnership (Limited Partnership), with a total fund amount of 96 million RMB, of which Tianjin Yinlong will contribute 81.504 million RMB as a limited partner [2][4]. - The investment does not constitute a related party transaction or a major asset restructuring as defined by relevant regulations [2][6]. Group 2: Fund Structure and Management - The fund will be managed by Botong (Tianjin) Venture Capital Co., Ltd., which serves as the general partner and fund manager [8][15]. - The fund aims to invest primarily in the renewable energy and energy storage sectors, focusing on projects with innovative technologies and high growth potential [4][26]. Group 3: Decision-Making and Governance - The investment decision-making will be conducted by an investment decision committee composed of five members, ensuring a collaborative approach to investment decisions [30][29]. - The fund's operational and investment management will adhere to the regulations set forth by the China Securities Investment Fund Industry Association [15][26]. Group 4: Financial Implications - The investment is expected to enhance the company's competitive capabilities and support its sustainable growth without adversely affecting its financial status [43]. - The fund's establishment will utilize the company's own funds, ensuring no negative impact on the company's financial and operational conditions [43].

Group 1: Investor Relations Activities - The investor relations activity was an earnings briefing held on May 15, 2025, via an online platform [1] - Key participants included the CFO Liu Zengwei and Board Secretary Li Weigang [1] Group 2: Business Development and Strategic Initiatives - The company is actively pursuing strategic investments to enhance core competitiveness and product quality, with a focus on integrating resources for sustainable development [2] - Specific revenue growth measures include strengthening technological innovation, upgrading traditional products, and expanding into new markets such as energy storage and hydrogen energy [3] Group 3: Asset Restructuring and Financial Performance - The company is in the process of a significant asset restructuring involving the sale of 100% equity in Hangzhou Saishi Garden Group, which is complex and ongoing [4] - The company has not yet received a conclusive opinion from the China Securities Regulatory Commission regarding an ongoing investigation, and will disclose any significant developments as required [4] Group 4: Product and Market Insights - The company provides various products for military vehicles, but these account for a relatively low percentage of overall revenue, minimizing impact on financial performance [4] - The company has no current plans to further develop its wine business, which has not been industrialized [4]

Group 1: Financial Performance - In 2024, the company achieved an operating revenue of 288 million CNY, a year-on-year increase of 16.18% [4] - The sales revenue from 3C precision components was 162.22 million CNY, growing by 4.93% and accounting for 56.29% of total revenue [4] - The automotive precision components sales revenue reached 90.86 million CNY, with a significant growth of 39.70%, representing 31.53% of total revenue [4][12] - In Q1 2025, the company reported a revenue of 82.74 million CNY, marking a 29.96% year-on-year increase, achieving positive growth for the seventh consecutive quarter [4] Group 2: Profitability Challenges - The company reported net losses in 2023 and 2024 due to business transformation, capacity construction, and personnel expansion [5] - Increased fixed costs from the establishment of a smart factory and rising depreciation contributed to a decline in overall gross profit [6] - Employee count rose from 606 in 2023 to 763 in 2024, leading to higher salary expenses impacting profit metrics [6] Group 3: Strategic Focus and Future Outlook - The company plans to focus on core customer relationships and enhance industry influence in 2025, targeting new markets and service model upgrades [7] - In the automotive sector, the company is developing high-voltage power transmission components and diversifying its product offerings [8][9] - The company anticipates that the domestic new energy vehicle sales will reach 16.5 million units by 2025, with a penetration rate of 55% [10] Group 4: Market Position and Product Development - The global PC shipment in 2024 is projected to be 255 million units, with the company's 3C product sales growth outpacing the market average [4] - The company is actively expanding its presence in the energy storage sector, collaborating with clients like Envision Energy [9] - The automotive precision components have become a significant growth driver, with sales expected to continue increasing as production capacity is released [12]