Lithium ore prices were little changed yesterday, with lithium converters purchasing based on need tied to production schedules. They were currently mainly stocking for December, with cautious pricing. Australian ore shipments fell in October; attention should be paid to whether port inventory buildup eases over the coming month. As lithium carbonate premiums have been relatively high, the selling lithium carbonate currently quite profitable with toll-processing model.
For lithium carbonate, under the current weak macro backdrop, lithium carbonate prices were trading on expectations of weaker demand and supply surplus next year. Near-term destocking continued with spot relatively firm, but warrants have risen for two consecutive days. In the short term, players are advised to watch whether the lithium carbonate basis weakens and warrant inventory trends; in the long term, focuses shall be on actual demand realization next year and marginal changes in energy storage.
