Lithium prices in China drop by about 500 yuan/mt due to lower demand and supply expectations.

Spot lithium carbonate prices have decreased by about 500 yuan/mt, with battery-grade averaging 75,100 yuan/mt and industrial-grade 71,800 yuan/mt. This decline is due to year-end financial reporting and expected lower supply and demand in January. Lithium ore prices remained stable, with spodumene production down 17% due to cold weather. LFP market prices in China also slightly decreased, with processing fees expected to rise slightly. Overall, prices are expected to remain stable with some increases in processing fees.