Core Viewpoint - The supply and price fluctuations of battery metals such as cobalt, nickel, and copper are raising new market concerns, driven by various regulatory changes and geopolitical factors affecting supply chains and production costs [1][3]. Group 1: Cobalt Market Dynamics - The Democratic Republic of Congo (DRC) dominates global cobalt supply, accounting for over 78%, and its upcoming export ban in February 2025 has led to a dramatic price surge from 162,000 CNY/ton to 260,000 CNY/ton, a rise of over 60% [3]. - The DRC government may extend the export ban to maintain high prices, which, along with cooperation with Indonesia, signals long-term supply concerns [3]. - The price increase in cobalt directly impacts battery cathode material costs, with prices for ternary precursors (523 and 622 types) rising by 30% and 28%, respectively, and lithium cobalt oxide increasing by 20% [3][4]. Group 2: Nickel Supply Constraints - Indonesia and the Philippines, which together account for over 70% of global nickel supply, are tightening policies, with Indonesia raising nickel ore tax rates and the Philippines planning to ban raw ore exports [6]. - These policy changes have led to increased mining costs and a supply gap of 5,000 tons for nickel sulfate in Q1, pushing nickel prices upward [6]. - The rising nickel prices are affecting the cost of nickel sulfate and may force automotive companies to reassess their technology routes due to increased procurement costs of 15%-20% for smelters [7]. Group 3: Copper Market Fluctuations - The global copper market is experiencing significant volatility, with prices reaching historical highs, driven by expectations of potential high tariffs on imported copper in the U.S. [8]. - Approximately 500,000 tons of copper are currently being redirected to the U.S. market, exacerbating supply tightness in non-U.S. regions, particularly Asia [8]. - The continuous rise in copper prices translates to cost pressures for battery manufacturers, as copper foil constitutes 10%-15% of total battery costs, thereby squeezing profit margins [8][2].