In October, China's lithium cobalt oxide (LCO) production reached 11,744 tonnes, a month-on-month increase of 3.2% and a year-on-year increase of 21.57%. In October, most battery cell manufacturers had completed their annual stockpiling. LCO producers focused on executing long-term contracts and maintaining stable supply. However, as the period still fell within the peak season for consumer electronics demand, downstream demand for LCO drove material producers to increase output. Consequently, LCO production achieved month-on-month growth in October.
It is likely that LCO production may decline 4.53% to 11,212 tonnes in November, with an increase of 19.91%. The peak season for consumer electronics has passed in November. However, downstream battery cell manufacturers have already completed their annual stockpiling. LCO producers are primarily focused on maintaining stable deliveries, with supply levels adjusting to changes in demand. As a result, LCO production recorded a decrease in November.
Edited by Cassie Li, lixiangying@mysteel.com
