Year-to-date, lithium carbonate prices have trended upward with volatility;
cumulative gains since the start of the year have exceeded 60% at the high end.
On May 27, the main lithium carbonate contract on the Guangzhou Futures Exchange
closed at 173,000 yuan/ton. Although this is somewhat below recent peaks, the
year-to-date increase remains substantial. Several analysts say the current
price rally is driven by multiple supply-side disruptions coinciding with
stronger-than-expected demand; industry supply and demand are expected to be in
a tight balance this year, which should help keep the lithium price mid-point
elevated and prone to oscillation.
