Investment Rating - The report does not explicitly provide an investment rating for the industry or specific companies within it [2]. Core Insights - The inventory of lithium held by battery makers and traders has increased by 6% week-over-week (WoW) and 18% month-over-month (MoM), reaching 41,430 tons, indicating a potential accumulation strategy by major battery makers in anticipation of strong production or possible future disruptions [1]. - The average selling price (ASP) for lithium carbonate (Li2CO3) and lithium hydroxide (LiOH) showed mixed results, with Li2CO3 priced at Rmb63.7k/ton and LiOH at Rmb57.4k/ton as of July 10, 2025, compared to Rmb62.1k/ton and Rmb57.6k/ton the previous week [1]. - China's Li2CO3 production increased by 4% WoW to 18,813 tons, with contributions from various sources: brine (+2%), lepidolite (+5%), spodumene (+5%), and recycling (-1%) [1]. Summary by Sections Inventory Analysis - Total inventory of Li2CO3 reached 140,793 tons this week, reflecting a 2% increase WoW. The inventory breakdown includes downstream players (40,765 tons, +1% WoW), smelters (58,598 tons, 0% change), and battery makers/traders (41,430 tons, +6% WoW) [1]. Production Insights - The production of Li2CO3 in China was reported at 18,813 tons, marking a 4% increase WoW. The production from brine, lepidolite, and spodumene sources saw increases of 2%, 5%, and 5% respectively, while recycling output decreased by 1% WoW [1].

Core Insights - Century Lithium Corp. is progressing towards becoming a key domestic supplier of battery-grade lithium carbonate, with a recent collaboration with First Phosphate demonstrating the practical application of its lithium carbonate in LFP battery production [1][2]. Company Developments - The partnership with First Phosphate was initiated when they selected Century Lithium's lithium carbonate for their LFP battery formulation, showcasing a successful collaboration over the past few months [3]. - Century Lithium has been producing high-purity lithium carbonate at its demonstration plant in Amargosa Valley, Nevada, using a process that involves leaching clay ore to extract lithium and purifying it through several steps [4]. Industry Context - The collaboration between a Canadian company (First Phosphate) and a U.S. company (Century Lithium) exemplifies the strengthening of the North American battery supply chain, which is being encouraged by policymakers [6]. - LFP batteries are expected to see increased usage in both stationary and mobile energy storage applications, indicating a positive outlook for lithium batteries, particularly in the stationary segment [6][7]. Future Prospects - Century Lithium is interested in continuing its collaboration with First Phosphate and is also receiving interest from other companies in the industry for potential partnerships [8].

Core Points - Electra Battery Materials Corporation held its 2025 annual general and special meeting of shareholders on June 24, 2025, in Toronto [1] - A total of 5,222,899 common shares, representing 29% of the issued and outstanding shares, were voted at the meeting, with shareholders approving all items of business [2] - All five director nominees were elected with significant support, with votes for ranging from 96.34% to 97.43% [3] Company Updates - The 2022 Amended and Restated Long-Term Incentive Plan (LTIP) was approved, increasing the number of Options from 1,429,961 to 2,500,000, PSUs from 100,000 to 125,000, and DSUs from 175,000 to 400,000, while RSUs remain at 125,000 [4] - The maximum number of common shares reserved for issuance under the LTIP has been revised from 1,829,961 to 3,150,000 [4] - The LTIP is conditionally approved by the TSX Venture Exchange and is subject to final acceptance [5] Industry Position - Electra is positioned as a leader in advancing North America's critical minerals supply chain for lithium-ion batteries, focusing on developing the only cobalt sulfate refinery in North America [6] - The company's strategy includes onshoring critical minerals refining, nickel refining, and battery recycling, with growth projects in black mass recycling and cobalt production opportunities in Quebec [6]

Group 1 - POSCO Holdings Inc.'s POSCO Future M unit has completed a precursor plant with an annual capacity of 45,000 tons in Gwangyang, Jeollanam-do Province, enhancing its in-house production capabilities for cathode materials [1][2] - The new plant will enable the production of batteries for 500,000 electric vehicles, contributing to supply chain self-sufficiency and quality control [2] - Korea's dependency on Chinese imports for precursors is being addressed by POSCO Future M, which is enhancing its sourcing capabilities for nickel and lithium from within the POSCO group and other non-Chinese sources [3] Group 2 - POSCO Future M aims to become a global top-tier secondary battery materials company by strengthening supply chain management, developing research capabilities, and expanding its product portfolio [4] - PKX stock has experienced a decline of 28.9% over the past year, slightly worse than the industry's decline of 28.5% [6]

Market Overview - A-shares experienced a strong rally on June 24, with all three major indices rising, as the Shanghai Composite Index closed at 3420.57 points, up 1.15% [1] - The Shenzhen Component Index rose by 1.68% to 10217.63 points, while the ChiNext Index increased by 2.30% to 2064.13 points [1] - The total trading volume in the Shanghai and Shenzhen markets reached 14146 billion yuan, a significant increase of 2920 billion yuan compared to June 23 [1] Sector Performance - Most industry sectors saw gains, with notable increases in the electric machinery, battery, automotive parts, gaming, and packaging materials sectors [1] - Conversely, the mining, oil, gas, shipping, and precious metals sectors experienced declines [1] - The robotics and autonomous driving concept stocks showed a rebound, indicating a positive sentiment in these areas [1] Capital Flow and Market Sentiment - The market demonstrated strong capital inflow, with over 166 billion yuan entering the market on June 24, indicating robust buying interest from external funds [3] - The securities sector, often seen as a market leader, experienced significant gains, which helped boost overall market sentiment [3] - The market has shown a "peaceful coexistence" state for two consecutive days, with large-cap stocks rallying alongside small-cap stocks [2] Company Spotlight: Xiangtan Electric - Xiangtan Electric, a prominent player in battery materials and wastewater treatment, has seen its stock rise significantly, with 125 out of 146 local stocks increasing in value [3] - The company reported a net profit of 47.32 million yuan for Q1 2025, with a year-on-year decline of 2.54% [3] - Xiangtan Electric is recognized as a global supplier of electrolytic manganese dioxide, widely used in battery applications, and has established joint R&D mechanisms with solid-state and semi-solid-state battery companies [3]

Investment Rating - The report does not explicitly provide an investment rating for the lithium industry but indicates a bearish outlook on lithium prices and forecasts [1][2] Core Insights - The lithium market is experiencing a significant surplus, with an estimated surplus of around 6% of total supply for the year [1] - Citi Commodity Team has downgraded their price forecasts for lithium salts and spodumene (SC6) by an average of 13% for CY25, 27% for CY26, and 20% for CY27 [1] - Average selling prices (ASPs) for lithium carbonate (Li2CO3) and lithium hydroxide (LiOH) have shown a downward trend, with current prices at Rmb60.5k/t and Rmb59.2k/t respectively [2] Summary by Sections Market Outlook - The lithium market is building large surpluses, leading to downward pressure on prices [1] - The price for SC6 spodumene has been downgraded to US$600/t from US$700/t [1] Production and Inventory - China's Li2CO3 production increased by 2% week-over-week to 18,462 tons [2] - Total inventory of Li2CO3 reached 134,901 tons, reflecting a 1% increase week-over-week [2] - Inventory levels for downstream players, smelters, and battery makers showed mixed trends, with downstream inventories decreasing by 1% [2]

Group 1 - POSCO Holdings has established the Australia Critical Minerals R&D Lab in Perth to enhance technological competitiveness in steel, battery materials, raw materials, and rare earth industries [1][8] - The lab aims to integrate Australia's resources with POSCO's materials technology, adding value to core businesses and serving as a strategic hub for raw material processing and critical mineral acquisition [2][4] - The necessity of localization methods in the steel and battery materials industries has been recognized, focusing on cost-effective raw material procurement and technological competitiveness in carbon reduction [3][4] Group 2 - The R&D lab will focus on critical mineral research and development, including partnerships with local raw material companies and research institutions to advance low-carbon steel raw material utilization and cost-cutting technologies in lithium and nickel sectors [4][8] - Research will also include rare earth supply chains and high-efficiency separation and refining technologies to explore next-generation mineral business opportunities and promote investment in global mines through local knowledge exchange [4][8] Group 3 - Over the past year, shares of POSCO Holdings (PKX) have decreased by 27.7%, slightly underperforming the industry average decline of 27.3% [6]

Group 1 - The core viewpoint of the article highlights the completion of trial production for the 250,000 tons lithium-ion battery cathode material industrial park project by Guizhou Jiashang New Energy Materials Co., Ltd. [1] - The second phase of the project has entered the equipment procurement and production line construction stage, with expectations to complete equipment installation and debugging by October, initiating trial production [1] - Once fully operational, the project is projected to produce over 100,000 tons of lithium iron phosphate cathode materials annually [1] Group 2 - The total investment for the Guizhou Dalong 250,000 tons lithium-ion battery cathode material industrial park project is 2.5 billion yuan, covering an area of 400 acres [1] - The project includes the construction of production lines for 100,000 tons of lithium manganate, 40,000 tons of ternary cathode materials, 10,000 tons of lithium cobalt oxide, and 100,000 tons of lithium iron phosphate, along with related facilities [1] - Upon full completion, the project is expected to achieve an annual output value of 10 billion yuan and contribute no less than 100 million yuan in taxes, creating over 300 jobs [1]

Financial Data and Key Metrics Changes - The company reported a strong start to the year, focusing on advancing and derisking projects, with a successful commissioning of the qualification line at the Calythen graphite processing plant producing over 800 kilograms of CHPG sample [4] - The estimated total cost of Phase one remains at €245 million, with approximately 85% of the necessary equipment secured [5][11] - The company anticipates commercial production at Callenton to begin in 2026 [5] Business Line Data and Key Metrics Changes - The qualification line at the Calythen facility is capable of processing approximately one metric ton of CFPG battery anode material each day, which will inform operations of the main line expected to produce 12,500 metric tons per day upon Phase one completion [4] - The company envisions the Callentan facility reaching 50,000 metric tons per year of CHPG battery anode production upon completion of both Phase one and two [5] Market Data and Key Metrics Changes - Customer interest in domestically produced battery anode materials remains strong, with 100% of Phase one production capacity already committed under existing offtake agreements [7] - The company is in discussions with multiple customers interested in the Phase two output of 37,500 metric tons per year [8] Company Strategy and Development Direction - The company is well-positioned to meet the growing demand for sustainable and secure battery-grade anode materials in the U.S., aligning with U.S. policy goals to onshore sourcing and manufacturing of critical minerals [6][7] - The company is committed to vertical integration through the development of the Coosa deposit and is actively engaging with customers and fulfilling sample material requests [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in securing financing for Phase one of the Kellyton plant despite recent market uncertainties and supplier protests [12][13] - The company remains focused on executing its strategy, delivering value to shareholders, and navigating opportunities and challenges in the upcoming quarters [14] Other Important Information - The company announced the successful completion of the U.S. Patent and Trademark Office review of its patent application, marking another important milestone [6] - The company is evaluating several non-Chinese feedstock sources to diversify its supply chain and mitigate future risks [13] Q&A Session Summary Question: What components of entering production could go right or wrong? - Management highlighted the qualification line as a key milestone, providing invaluable experience for the operating team ahead of full operations [18] Question: What are the current trends in construction costs and equipment pricing? - Management noted that 85% of equipment is already purchased, and they remain within the $245 million construction budget despite tariff uncertainties [21][22] Question: Can you provide more details on the backup supply from non-Chinese suppliers? - Management stated they are close to securing a backup supply agreement but could not disclose further details due to NDA constraints [27] Question: What is the status of the loan and timing for financing? - Management indicated that the loan process has taken longer than expected but remains confident in closing financing soon, with a focus on the current syndicate [32][39] Question: What is the potential opportunity with the Export-Import Bank? - Management explained that the letter of interest from the Export-Import Bank is a preliminary step and could provide additional funding for advancing the business beyond Phase one [35][36]

Core Viewpoint - The U.S. Department of Commerce has made a preliminary affirmative determination to impose countervailing duty tariffs of up to 721% on synthetic and natural graphite anode material imported from China, which is seen as a significant step towards supporting domestic production of critical minerals for energy independence [1][2]. Group 1: Company Developments - NOVONIX Limited is part of the American Active Anode Material Producers, which filed the trade case against Chinese graphite imports, highlighting its role in advocating for U.S. graphite industry interests [3]. - The company is expanding its production capabilities with plans for a new high-performance synthetic graphite manufacturing plant in Chattanooga, Tennessee, which will complement its existing Riverside facility, aiming for a total production capacity exceeding 50,000 tonnes per annum [4]. Group 2: Industry Context - The preliminary ruling by the Department of Commerce follows a determination by the International Trade Commission that China has been suppressing the establishment of the graphite industry in the U.S. by exporting graphite at artificially low prices, impacting the lithium-ion battery supply chain [1][2]. - The ongoing antidumping duty investigation by Commerce may lead to additional tariffs, compounding the impact of the countervailing duties [2].