Report Industry Investment Rating - Not provided in the given content Core Viewpoints - The lithium carbonate market is expected to be volatile. The export ban in Zimbabwe may have a phased impact on the transportation of lithium mines. With the expected improvement in demand in March, high lithium prices can still be supported. Future attention should be paid to whether the increase in imported lithium resources is timely and sufficient. If there are no major disturbances in the resource end, lithium prices may maintain a wide - range oscillation [3][4] Summary by Related Catalogs 1. Lithium Carbonate Price - The futures price of lithium carbonate hit a new high this year. The main LC2605 contract opened at 160,000 yuan/ton, closed at 176,040 yuan/ton, with a high of 187,700 yuan/ton and a low of 157,100 yuan/ton during the week, up 15.33% [10] - The spot price increased week - on - week. The electric carbon spot price rose 28,250 yuan/ton to 172,000 yuan/ton compared with before the holiday. The electric/industrial carbon price difference remained flat week - on - week at 3,500 yuan/ton, and the price difference between battery - grade lithium hydroxide and battery - grade lithium carbonate decreased by 3,150 yuan/ton to - 9,400 yuan/ton [3][18] 2. Lithium Ore - The spot price of domestic lithium ore and imported lithium ore increased week - on - week. The prices of domestic lithium spodumene concentrates with grades of 3% - 4%, 4% - 5%, and 5% - 5.5% increased by 1,100, 1,575, and 2,475 yuan/ton respectively. The prices of domestic lithium mica concentrates with grades of 1.5% - 2.0% and 2.0% - 2.5% increased by 600 and 960 yuan/ton respectively. The CIF prices of imported lithium spodumene ores with grades of 1.2% - 1.5%, 2% - 2.5%, and 3% - 4% increased by 5, 12.5, and 25 US dollars/ton respectively. The CIF prices of Australian and Brazilian lithium spodumene concentrates increased by 380 and 385 US dollars/ton respectively [25] - The total salable inventory of lithium ore at ports decreased week - on - week. As of February 27, the total inventory of domestic main port traders and warehouses for sale decreased by 11,000 tons to 141,000 tons compared with February 13 [27] 3. Lithium Carbonate - The weekly production increased. Last week, the domestic lithium carbonate production increased by 1,638 tons to 21,822 tons. In March 2026, the production is expected to increase by 23,300 tons to 106,390 tons month - on - month [37] - The production cost of purchasing lithium ore increased. The production cost of purchasing lithium spodumene concentrate (Li₂O:6%) increased by 22,804 yuan/ton to 168,303 yuan/ton, and the profit increased by 5,163 yuan/ton to 1,457 yuan/ton. Similar cost and profit changes were observed for other raw materials [41] - The total inventory decreased. As of February 26, the total lithium carbonate inventory decreased by 2,839 tons to 100,093 tons. The registered warehouse receipts as of February 27 were 38,461 tons, a decrease of 298 tons compared with February 13 [48] 4. Cathode Materials and Electrolytes - **Ternary Materials**: The price decreased week - on - week. As of February 26, the weekly production decreased by 664 tons to 15,617 tons, and the weekly inventory decreased by 533 tons to 17,234 tons. The production in March is expected to reach 84,360 tons, a 19% increase month - on - month [56] - **Lithium Iron Phosphate**: The price increased. As of February 26, the weekly production increased by 300 tons to 89,150 tons, and the weekly inventory increased by 459 tons to 92,556 tons. The production in March is expected to reach 430,400 tons, a 23.6% increase month - on - month [62] - **Cobalt Acid Lithium and Manganese Acid Lithium**: The production in March is expected to increase significantly. The production of cobalt acid lithium in March is expected to reach 8,480 tons, a 26% increase month - on - month. The production of manganese acid lithium in March is expected to reach 10,310 tons, a 32% increase month - on - month [66] - **Electrolyte**: The price remained flat week - on - week. The production of lithium hexafluorophosphate in February is expected to reach 24,870 tons, an 8% increase month - on - month, and the production of electrolyte in February is expected to reach 190,360 tons, a 10% decrease month - on - month [76] 5. Batteries - The production in March is expected to increase. The total domestic battery production in February was 169.01 GWh, a decrease of 24.99 GWh month - on - month. The total battery production in March 2026 is expected to reach 208.72 GWh, a 23% increase month - on - month [81] - The total inventory of domestic battery cells decreased. As of January 2026, the inventory of domestic power and energy - storage batteries was 143.2 and 34.2 GWh respectively, a decrease of 17.9 and 14.8 GWh respectively [83]

Group 1: Report Industry Investment Rating - No relevant content provided Group 2: Report's Core View - On the demand side, the number of maintenance shutdowns in the material sector increased in January, with a month - on - month decline in production, but the prosperity was higher than in previous years. On the supply side, production scheduling decreased in January, and no large - scale production increase was seen. Weekly data showed a small increase in production and a slight inventory accumulation, indicating obvious off - season characteristics. Coupled with a large short - term increase and a large number of profit - taking positions, lithium prices may fluctuate in the short term [2] Group 3: Summary by Related Catalog Lithium Compounds - SMM battery - grade lithium carbonate had an average price of 152,000 with a 12,000 increase; SMM industrial - grade lithium carbonate had an average price of 148,500 with a 12,000 increase [1] Lithium Futures Contracts - Lithium carbonate 2601 had a closing price of 146,000 with a 3.94% increase; lithium carbonate 2602 had a closing price of 153,440 with an 8.99% increase; lithium carbonate 2603 had a closing price of 153,900 with an 8.99% increase; lithium carbonate 2604 had a closing price of 156,660 with an 8.99% increase; lithium carbonate 2605 had a closing price of 156,060 with a 9% increase [1] Lithium Ore - Lithium spodumene concentrate (CIF China, Li20: 5.5% - 6%) had an average price of 1,980 with a 100 increase; lithium mica (Li20: 1.5% - 2.0%) had an average price of 3015 with a 250 increase; lithium mica (Li20: 2.0% - 2.5%) had an average price of 4640 with a 400 increase; phospho - lithium - aluminum stone (Li20: 6% - 7%) had an average price of 15,900 with a 1575 increase; phospho - lithium - aluminum stone (Li20: 7% - 8%) had an average price of 17,650 with a 1575 increase [1][2] Cathode Materials - Lithium iron phosphate (power type) had an average price of 53,770 with a 3,015 increase; ternary material 811 (polycrystalline/power type) had an average price of 200,500 with a 9,600 increase; ternary material 523 (single - crystal/power type) had an average price of 177,500 with a 7,300 increase; ternary material 613 (single - crystal/power type) had an average price of 178,900 with an 8,200 increase [2] Price Spreads - The price spread between battery - grade and industrial - grade lithium carbonate was 3,500; the spread between battery - grade lithium carbonate and the main contract production was - 640 with a - 4,060 change; the spread between the near - month and the first - continuous contract was 120 with a - 460 change; the spread between the near - month and the second - continuous contract was - 3,220 with a - 1,020 change [2] Inventory - The total inventory (weekly, tons) was 109,942 with a 337 increase; the smelter inventory (weekly, tons) was 18,382 with a 715 increase; the downstream inventory (weekly, tons) was 36,540 with a - 2,458 change; the other inventory (weekly, tons) was 55,020 with a 2,080 increase; the registered warehouse receipts (daily, tons) were 610 [2] Profit Estimation - The cash cost of purchasing lithium spodumene concentrate externally was 145,425, and the profit was 4,535; the cash cost of purchasing lithium mica concentrate externally was 142,007, and the profit was 4,483 [2] Industry News - The Ministry of Industry and Information Technology led a warning on the irrational competition in the lithium battery industry, and more than a dozen leading enterprises participated. On January 7, four departments jointly held a symposium on the power and energy - storage battery industry to regulate the competition order. 16 companies were convened, including 13 battery enterprises and 3 system integrators, and two industry associations participated [2]

Report Industry Investment Rating - The investment rating for the lithium carbonate industry is "Oscillation" [2] Core Viewpoints of the Report - Last week (09/01 - 09/05), lithium salt prices were weak. The closing prices of LC2509 and LC2511 decreased by 4.1% and 3.8% respectively. The average spot prices of battery - grade and industrial - grade lithium carbonate dropped by 6.2% and 6.3%. The prices of lithium hydroxide also declined [3]. - In August, Chile's exports of lithium carbonate and lithium hydroxide decreased by 16% month - on - month, and the exports to China decreased by 5% month - on - month, which may lead to a slight decline in China's imports in September [4]. - The recent decline in the futures market is mainly due to the lack of further production cuts in the short term after the previous supply - side shutdown, and the continuous negative impact of explicit data such as warehouse receipts. However, the inventory reduction in September has provided some support for prices. In the short term, lithium prices may fluctuate widely, and it is recommended to wait and see [5]. Summary by Relevant Catalogs 1. Chile's August Shipment Declined Month - on - Month, and Warehouse Receipts Increased Significantly Last Week - Lithium salt prices were weak last week. The closing prices of LC2509 and LC2511 decreased, and the average spot prices of battery - grade and industrial - grade lithium carbonate also dropped. The prices of lithium hydroxide decreased, the electrical - industrial price difference narrowed slightly, and the price of battery - grade lithium hydroxide changed from a discount to a slight premium compared to battery - grade lithium carbonate [3][15]. - In August, Chile exported 2.01 million tons of lithium carbonate and lithium hydroxide, a 16% month - on - month decrease and an 11% year - on - year increase. The exports to China were 1.30 million tons, a 5% month - on - month decrease and a 7% year - on - year increase. From January to August, the total exports were 16.9 million tons, a 4% year - on - year decrease, and the exports to China were 10.98 million tons, a 14% year - on - year decrease. In terms of lithium sulfate, the shipment to China in August was 0.69 million tons (0.35 million tons LCE), a 33% month - on - month decrease and a 2% year - on - year decrease [4][16]. - The recent decline in the futures market is due to the lack of further production cuts and the negative impact of warehouse receipts. Last week, warehouse receipts increased by 6744 tons to 3.66 million tons. In September, domestic lithium carbonate production increased by 0.15 million tons to 8.67 million tons. However, inventory reduction in September has provided some support for prices, and the speed of warehouse receipt generation may slow down [5][21]. 2. Weekly Industry News Review - Sayona Mining completed its merger with Piedmont Lithium. After the merger, Sayona's Australian shares will continue to trade until the end of September, and the company will be renamed Elevra Lithium and listed on the ASX [23]. - Argentina's Salta Province approved Rio Tinto's Rincon lithium project. The project is expected to produce 50,000 tons/year of battery - grade lithium carbonate and will become one of the largest lithium projects in Argentina by 2031 [23]. - Sichuan Energy Investment Power Co., Ltd.'s 30,000 - ton lithium salt project successfully produced qualified battery - grade lithium carbonate products, laying a foundation for full - scale production [24]. - Kodal Minerals obtained an export license for the lithium spodumene concentrate produced at its Bougouni lithium project in southern Mali, with an initial export volume of 125,000 tons [24]. 3. Monitoring of Key High - Frequency Data in the Industry Chain 3.1 Resource End: Spot Quotes of Lithium Concentrate Declined - The spot price of lithium concentrate decreased. For example, the average spot price of lithium spodumene concentrate (6%, CIF China) decreased by 2.6% month - on - month [16]. 3.2 Lithium Salts: The Futures Market Rose and Then Fell - The closing prices of lithium carbonate futures contracts decreased, and the average spot prices of domestic lithium carbonate also declined. The electrical - industrial price difference and the basis of lithium carbonate changed [16]. 3.3 Downstream Intermediates: Quotes Slightly Rebounded - The prices of downstream intermediate products such as lithium iron phosphate, ternary materials, and lithium cobalt oxide showed different trends, with some prices slightly increasing and some decreasing [16]. 3.4 Terminal: China's New Energy Vehicle Penetration Rate Slightly Increased in July - In July, China's new energy vehicle penetration rate slightly increased, and the installed capacity of power batteries and the production and sales of new energy vehicles also showed certain trends [51].

Core Viewpoint - The domestic futures market for non-ferrous metals is experiencing a downturn, particularly in lithium carbonate futures, which have seen a significant decline in price [1] Group 1: Market Performance - As of May 16, lithium carbonate futures have dropped by 3.84%, trading at 62,020 yuan/ton [1] - The spot market for battery-grade lithium carbonate is reported at 63,350 yuan/ton, down by 1,300 yuan/ton, while industrial-grade lithium carbonate is at 62,500 yuan/ton, down by 900 yuan/ton [2] Group 2: Inventory and Supply - Overall inventory of lithium carbonate has decreased by 500 tons to 132,000 tons, with downstream inventory down by 3,000 tons to 42,000 tons, while smelter inventory has increased by 3,800 tons to 55,000 tons [2] - The second quarter is expected to see a continued oversupply of lithium carbonate, with high inventories of both lithium ore and lithium salt [3] Group 3: Market Sentiment and Outlook - The current trading in the spot market is sluggish, with lithium salt manufacturers reluctant to lower prices despite increased supply and rising imports [3] - The outlook for lithium prices is expected to be volatile in the short term, influenced by U.S.-China trade talks that may benefit energy storage battery exports [3]