Report Industry Investment Rating - Not provided Core View of the Report - Recently, due to the impact of delivery game triggered by the expected cancellation of warehouse receipts, the futures market has rebounded. However, after the price increase, the willingness to hedge is strong, and the number of warehouse receipts has also increased. The market may return to the fundamentals and operate with a weak and volatile trend [2] Summary by Relevant Catalogs Market Analysis - On June 30, 2025, the main contract 2509 of lithium carbonate opened at 63,460 yuan/ton and closed at 62,260 yuan/ton, a decrease of 0.77% compared to the previous trading day's settlement price. The trading volume was 389,727 lots, and the open interest was 330,824 lots, a decrease of 10,624 lots from the previous trading day. The total open interest of all contracts was 596,987 lots, a decrease of 18,035 lots from the previous trading day. The total trading volume of contracts decreased by 296,883 lots from the previous trading day, with a trading volume of 494,672, and the overall speculation degree was 0.83. The number of lithium carbonate warehouse receipts was 2,2628 lots, an increase of 630 lots from the previous trading day [1] - According to SMM data, on June 30, 2025, the price of battery-grade lithium carbonate was quoted at 60,500 - 62,100 yuan/ton, an increase of 1,500 yuan/ton from the previous trading day, and the price of industrial-grade lithium carbonate was quoted at 59,200 - 60,200 yuan/ton, also an increase of 1,500 yuan/ton from the previous trading day. The market is in a game situation of "upstream price support and downstream price pressure". The overall market transaction is light, but some rigid demand orders support a slight price increase. Affected by the futures market, the spot price has also strengthened, but the fundamentals have not improved [1] Strategy - Overall, the market may return to the fundamentals and operate with a weak and volatile trend. For the unilateral strategy, it is recommended to sell and hedge at high prices. There are no recommended strategies for inter - period, cross - variety, basis, and options [2]

Report Industry Investment Rating No investment rating information is provided in the report. Core Viewpoints The fundamental situation of lithium carbonate remains weak. With the weakening of macro - sentiment, the lithium carbonate futures market has declined and returned to the fundamental level [3]. Summary by Directory Market Analysis - On June 12, 2025, the main contract 2507 of lithium carbonate opened at 61,400 yuan/ton and closed at 60,440 yuan/ton, a 1.56% drop from the previous settlement price. The trading volume was 169,708 lots, and the open interest was 162,882 lots, a decrease of 15,353 lots from the previous trading day. The total open interest of all contracts was 578,788 lots, an increase of 15,808 lots. The total trading volume of the contracts decreased by 84,329 lots to 372,443 lots, and the overall speculation degree was 0.64. The lithium carbonate warehouse receipts were 32,383 lots, a decrease of 454 lots from the previous day [1]. - According to SMM data, on June 12, 2025, the price of battery - grade lithium carbonate was 60,100 - 61,200 yuan/ton, an increase of 150 yuan/ton from the previous trading day, and the price of industrial - grade lithium carbonate was 58,550 - 59,550 yuan/ton, also an increase of 150 yuan/ton. Overseas mines are holding prices firm, with SC6 quoted at CIF $635/ton or higher. Downstream demand is weak due to sufficient inventory and pessimistic expectations for future lithium salt prices [1]. Inventory and Production - The latest weekly inventory increased slightly by 1,117 tons to 133,500 tons, mainly due to an increase in upstream inventory. The weekly production also increased slightly by 6,561 tons to 18,100 tons, with production from spodumene, mica, and salt lakes all increasing [2]. Strategy - Unilateral: Sell - hedge on rallies. - Inter - period: No strategy. - Cross - variety: No strategy. - Spot - futures: No strategy. - Options: No strategy [3]

Report Summary 1. Report Industry Investment Rating No relevant information provided. 2. Core View of the Report The lithium carbonate market is currently in a state of oversupply, with weak cost support due to falling lithium ore prices. Despite some recent strengthening in downstream purchasing willingness on the futures market, the overall pattern of oversupply is difficult to reverse. The report recommends short - selling strategies under the current market conditions [1][2]. 3. Summary by Section Market Analysis - On May 19, 2025, the main lithium carbonate contract 2507 opened at 61,800 yuan/ton and closed at 61,180 yuan/ton, down 2.27% from the previous day's settlement price. The trading volume was 224,064 lots, and the open interest was 335,807 lots, an increase of 7,066 lots from the previous day. The total open interest of all contracts was 566,765 lots, a decrease of 16,660 lots, and the total trading volume decreased by 112,494 lots. The overall speculation degree was 0.5, and the lithium carbonate warehouse receipts increased by 60 lots to 36,684 lots [1]. - According to SMM data, on May 19, 2025, the price of battery - grade lithium carbonate was 62,300 - 65,100 yuan/ton, down 800 yuan/ton from the previous day, and the price of industrial - grade lithium carbonate was 62,650 - 63,650 yuan/ton, up 100 yuan/ton from the previous day. The spot transaction price of lithium carbonate is oscillating downward. The falling lithium ore prices have weakened cost support, and with no mine production cuts, the supply is strong. Given limited downstream demand growth, the oversupply situation is hard to change [1]. Strategy - With falling spot prices, declining ore prices, and average consumption growth, and a large number of warehouse receipts registered, the lithium price is hitting new lows under weak macro and fundamental conditions. It is necessary to monitor downstream purchasing volume. - Unilateral strategy: Sell - hedging on price rallies. - Options strategy: Sell out - of - the - money call options or use bear - spread options [2].