In April, China's cobalt chloride production was 18,192 tonnes, a decrease of 7.06% compared to the previous month and an increase of 1.22% year on year. In April, the market sentiment cooled down and cobalt products prices fell to varying degrees. Meanwhile, downstream demand was muted, and most top-tier smelters maintained normal production. However, some small-sized ones experienced a decline in production due to shipment pressure and raw material shortages, resulting in a decrease in the spot supply.
It's likely that the production of China's cobalt chloride in May will reach 17,549 tonnes, a decrease of 3.53% MoM. In May, it is expected that the downstream demand will remain relatively stable, but the reduction in electrolytic cobalt production may lead to a decrease in the demand for cobalt chloride. Coupled with the shortage of smelters'raw materials, the prices of cobalt intermediates may still be at a high level. It is speculated that there will be a certain degree of reduction in the production of cobalt chloride in May.
Source: Mysteel
Edited by Cassie Li, lixiangying@mysteel.com
