Report Summary 1. Investment Rating No investment rating for the industry is provided in the report. 2. Core View The short - term positive macro - atmosphere will drive up commodity prices, and the price of lithium carbonate may show a strong performance. However, as the market's macro - sentiment fades, the lithium price may decline again. It is expected that the price of lithium carbonate will fluctuate in November, with an upward trend first and then a downward trend [4][70]. 3. Summary by Directory 3.1. Market Review In October, the operating range of the main lithium carbonate contract shifted upward. The demand side maintained moderate growth. Due to capacity bottlenecks, spodumene - based lithium production only increased slightly. Although a large amount of new capacity was put into operation in salt lakes, it took time to reach full production. The mid - month saw the shutdown of the Jiangxi 414 mine and a warm macro - atmosphere, which led to a rise in lithium prices [8]. 3.2. End of Resource - end Disturbances - **Overseas Mines Maintain Production Increase**: As domestic previously shut - down mines have not resumed production, the dependence on overseas ore imports has increased. As of October 27, the average CIF price of spodumene was $906/ton, a 7.47% increase from the beginning of the month. In September, the import volume of spodumene increased by 14.75% month - on - month. It is expected that the arrival of spodumene in November will increase month - on - month [11]. - **Domestic Mines' Production Stabilizes**: In September, the output of domestic lepidolite ore decreased by about 6% month - on - month, while the output of domestic spodumene mines increased by about 2% month - on - month. Overall, domestic lepidolite mines' production is stable, and spodumene mines have a slight reduction in production [20]. 3.3. Continued Growth in Lithium Carbonate Supply - **Domestic Lithium Carbonate Production May Increase Month - on - Month**: In the first three weeks of October, the production of lithium carbonate increased by 5.46% (or 3264 tons) month - on - month. Spodumene - based lithium production increased by 3.72% (or 1415 tons), mica - based lithium production was basically flat, salt - lake - based lithium production increased by 15.66% (or 1252 tons), and recycling - based lithium production increased by 7.35% (or 410 tons). In November, domestic lithium salt factories are expected to maintain an increasing production trend [27]. - **Overseas Salt Lakes Increase Production and Shipments Gradually Increase**: In November, the import volume from Argentina will increase significantly, and the import volume from Chile is also expected to increase. Overall, the domestic import of lithium salt may increase significantly month - on - month [37]. 3.4. Weak Growth in Power and Slowing Growth in Cathode Materials - **Differentiated Terminal Demand**: In October, the year - on - year and month - on - month growth rates of new energy vehicle sales narrowed. In September, the total winning bid capacity of domestic energy storage projects decreased by 12.39% month - on - month. In September, the sales of plug - in new energy vehicles in the EU increased by 35.65% month - on - month and 33.35% year - on - year. In November, the growth of domestic and overseas power terminal demand is weak, while the demand for energy storage installation remains good [40][42]. - **Slowing Month - on - Month Growth Rate of Cathode Material Scheduling**: In October, the scheduling of lithium iron phosphate power cells increased by 9.1% month - on - month, and that of ternary material power cells was basically flat. The scheduling of energy storage cells was also basically flat. In September, the export of power cells increased by 17.1% month - on - month, and that of energy storage cells increased by 21.33% month - on - month. It is expected that the month - on - month growth rate of cathode material scheduling in November will narrow significantly [52]. 3.5. Slowdown in Inventory Reduction Progress From September to October, lithium carbonate was seasonally destocked. As of October 23, the lithium carbonate inventory decreased by 10,800 tons compared with the end of August, 27.07% less than the destocking volume in the same period last year. In November, the supply and demand of lithium carbonate will both increase, but the destocking speed will slow down compared with October [66]. 3.6. Outlook for the Future The short - term positive macro - atmosphere will drive up commodity prices, and the price of lithium carbonate may show a strong performance. However, as the market's macro - sentiment fades, the lithium price may decline again. It is expected that the price of lithium carbonate will fluctuate in November, with an upward trend first and then a downward trend [70].

Group 1 - The company has established a lithium carbonate production capacity of 10,000 tons per year, leveraging lithium resources from the Qinhai Chaka Salt Lake [2]

Core Viewpoint - The company has significant lithium production capacity, including both mining and processing capabilities, which positions it well in the lithium market [1] Group 1: Lithium Production Capacity - The company has an existing open-pit mining capacity of 1.05 million tons per year [1] - The company's current beneficiation capacity is 450,000 tons per year [1] - The company has a battery-grade lithium salt production capacity of 4,800 tons per year within its consolidated scope [1] - The joint venture lithium salt enterprises have a battery-grade lithium salt production capacity of 20,000 tons per year [1] - The mentioned capacities are based on full production conditions, with actual output dependent on production circumstances [1]

Core Viewpoint - The lithium carbonate market is experiencing significant fluctuations in sentiment and prices due to factors such as the suspension of lithium mining in Jiangxi, a recovering macroeconomic environment, and tightening supply [1] Group 1: Supply Dynamics - In Australia, Pilgangoora mine is expected to accelerate production in Q4 to meet fiscal year targets, while Kathleen Valley mine has room for increased output after transitioning to underground production [2] - In Africa, the Goulamina mine in Mali is ramping up production, with expectations for further increases in November and December, and the Bougouni mine has begun shipping its first batch of ore [2] - In Brazil, the Mibra Mine is resuming production, which may lead to a slight increase in output [2] - Domestic production in China is expected to remain stable, with challenges in the recovery of certain mines, while lithium spodumene output may see seasonal declines [2] Group 2: Lithium Extraction Methods - For spodumene extraction, raw material supply is abundant, and the main market challenge is the peak in smelting capacity, which is expected to expand alongside spodumene lithium extraction capacity [3] - Mica extraction is limited by raw material supply, leading to stable production in the short term [3] - Recent additions of over 70,000 tons of new capacity in salt lake lithium extraction, primarily using DLE technology, are expected to boost production despite lower temperatures [3] Group 3: Market Trends - In South America, SQM in Chile anticipates a 10% increase in annual lithium salt sales, with a significant rise in shipments in the second half of the year [5] - Argentina's Tres Quebradas salt lake project has commenced production, with a planned capacity of 20,000 tons per year, while other projects are gradually resuming operations [5] - Overall, domestic lithium carbonate supply is expected to continue growing due to increased production from spodumene and salt lake sources [6] Group 4: Future Outlook - In the short term, both supply and demand for lithium carbonate are increasing, but a slowdown in demand growth and a deceleration in inventory reduction may weaken price support [7] - The recent recovery in the macroeconomic environment has led to a general rise in commodity prices, including lithium carbonate, although supply disruptions have caused significant price drops [7]

Core Viewpoint - The company announced the efficient recovery of lithium and potassium resources from the Zabuye Salt Lake through a membrane separation and evaporation crystallization process, with a designed annual production capacity of 9,600 tons of battery-grade lithium carbonate and 2,400 tons of industrial-grade lithium carbonate [1]. Group 1 - The Zabuye Phase II project utilizes advanced technology for resource recovery [1]. - The company suggests investors monitor regular reports and announcements for detailed lithium production capacity information [1].

Core Insights - Ganfeng Lithium has begun producing potassium fertilizer products from some of its salt lake projects, although the potassium fertilizer business currently represents a small portion of its overall performance [2] Company Summary - Ganfeng Lithium has responded to investor inquiries regarding its potassium fertilizer production [2] - The company indicates that while it has initiated potassium fertilizer output, the contribution to its overall revenue remains minimal [2]

Core Viewpoint - The company has significant potential for capacity enhancement in lithium production, focusing on improving product quality and production efficiency [2]. Group 1: Company Production Capacity - Blueco Lithium currently has a production capacity of 10,000 tons of industrial-grade and 20,000 tons of battery-grade lithium carbonate, with a total annual output stabilizing at approximately 40,000 tons [2]. - The company has undergone recent technological iterations and modifications to enhance production capabilities [2]. Group 2: Future Focus Areas - The company aims to improve key indicators such as recovery rates, indicating room for further enhancement in production processes [2]. - Future efforts will concentrate on refining product quality and optimizing production efficiency [2].

Report Summary 1. Report Industry Investment Rating No information provided. 2. Core View of the Report The current supply and demand of lithium carbonate are both strong. Although the resumption of production of lithium mines in Jiangxi is fluctuating, the production of lithium carbonate remains at a high level. High prices have intensified the wait - and - see sentiment of downstream buyers. If the weakening of demand is verified, there is still room for further price correction. It is recommended to hold short positions [3]. 3. Summary According to Related Contents 3.1 Market Data - **Futures Market**: On November 3, 2025, the main contract of lithium carbonate futures fluctuated within a range. The trading volume was 586,668 lots (-328,577), and the open interest was 525,184 lots (-14,744). The price difference between near - month and consecutive - one contracts was - 1480 yuan/ton, the price difference between consecutive - one and consecutive - two contracts was 120 yuan/ton, and the price difference between consecutive - two and consecutive - three contracts was 0 yuan/ton. The basis widened, reaching - 1280 yuan/ton [3]. - **Spot Market**: The average price of battery - grade lithium carbonate (99.5%, domestic) was 81,000 yuan/ton (+450), the average price of industrial - grade lithium carbonate (99.2%, domestic) was 78,800 yuan/ton (+450), and the price difference between battery - grade and industrial - grade lithium carbonate was 2200 yuan/ton [3]. - **Raw Material Market**: The average price of lithium spodumene concentrate (6%, CIF China) was 941 US dollars/ton (-3), the average price of lithium mica (Li2O: 1.5% - 2.0%) was 1350 yuan/ton (-30), and the average price of lithium mica (Li2O: 2.0% - 2.5%) was 2150 yuan/ton (-30) [3]. - **Downstream Product Market**: The average price of lithium hexafluorophosphate (99.95%, domestic) was 113,500 yuan/ton (+3000), the average price of ternary precursor 523 (polycrystalline/consumer - type) was 104,850 yuan/ton (+500), and the average price of ternary material 523 (single - crystal/power - type) was 139,450 yuan/ton (+150) [3]. 3.2 Supply and Demand Analysis - **Supply Side**: Last week, the production of lithium carbonate decreased, mainly due to a slight decline in the production of lithium carbonate from lithium spodumene. The Argentine subsidiary of the French mining company Eramet, Eramine, successfully resumed its lithium extraction project. The Centenario Ratones lithium carbonate plant produced 2080 tons of lithium carbonate equivalent (LCE) in the third quarter, almost three times the output of 710 tons in the January - June period. The company plans to reach full - load production in the next 6 - 9 months, with a designed production capacity of 24,000 tons/year of battery - grade lithium carbonate [3]. - **Demand Side**: Last week, the production of lithium iron phosphate increased, the production of ternary materials increased, and the production of power batteries increased. In November, the production of cobalt - lithium batteries increased, and the production of manganese - lithium batteries decreased. The production and sales growth rate of new energy vehicles slowed down in September, the 3C shipments were average, and the production of energy - storage batteries increased in November [3]. 3.3 Inventory Situation The registered warehouse receipts were 27,290 tons (-331), the social inventory decreased, the inventory of smelters and downstream decreased, and the inventory of other parts increased [3].

Core Viewpoint - The company has significant lithium reserves, with a total of 20,953.3 million tons of associated lithium-bearing feldspar ore and 32.37 thousand tons of Li2O mineral, which is crucial for its lithium carbonate project [1] Group 1: Lithium Reserves - The lithium-bearing feldspar ore in the Guizhou Daqiongli mining area has been officially evaluated and recorded [1] - The average grade of Li2O in the ore is 0.154%, while the average grades for WO3 and Sn are 0.031% and 0.018%, respectively [1] - The company is in the process of converting exploration rights to mining rights for the project [1] Group 2: Project Development - The lithium concentrate (Li2O, 2.33%) is a core raw material for battery-grade lithium carbonate, ensuring resource supply for the company's projects [1] - The company will provide updates on the project's progress through its designated information disclosure media [1]

Core Viewpoint - The company has partially produced potassium fertilizer from its salt lake lithium projects, but the potassium fertilizer business currently contributes a small proportion to its overall performance [2] Group 1 - Investors inquired why the company does not fully develop potassium fertilizer alongside lithium from its salt lake projects, given the significant domestic potassium fertilizer shortage and the economic benefits of producing it [2] - The company confirmed that it has already produced some potassium fertilizer products from its salt lake projects [2]