Competition from coke hobbles amorphous graphite
market
By Shruti Salwan
Demand for amorphous graphite continues to be sluggish owing
to the slowdown in global steel manufacturing, with low-cost
coke products from Russia putting further strain graphite
prices approaching the end of 2015.
Sources told IM at the end of October that
coke shipments from Russia, which has been an intermittent
producer of graphite in the past, have been reaching European
customers seeking to substitute natural amorphous graphite with
cheaper material. This is likely to put pressure on amorphous
graphite prices, which have failed to recover after falling by
20%, on average, in H1 2014, dragging selling values to their
weakest point in more than four years. Prices from China, the
leading producer of amorphous graphite, have been in decline
since 2012, with few signs of a recovery in the short term.
With the World Steel Association forecasting that global
steel demand will decrease by 1.7% to 1.5bn tonnes in 2015,
consumption of amorphous graphite is unlikely to improve as
prices trend towards the lower end of existing ranges.
Today, the price of amorphous graphite grading at 80% C
(-100 mesh, FOB China) stands at $395/tonne, down from
$420/tonne in H1 2014. Meanwhile, the price of amorphous
graphite grading at 80-85% C (-200 mesh, CIF Europe) has been
fluctuating in the range of $400-$430/tonne.
Graphite, amorphous, -200 mesh, 80-85% C,
China, FCL, CIF, Europe port
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Graphite, flake, 94-97% C, +80 mesh, FCL, CIF Europe
port $1,050-1,150/tonne
Graphite, flake, 85-87% C, +100mesh -80mesh, FCL,
CIF, Europe port $550-600/tonne Graphite, flake,
94-97%C, -100 mesh, FCL, CIF, Europe port
$750-800/tonne
Graphite, amorphous, -200 mesh, 80-85% C, China,
FCL, CIF, Europe port $400-430/tonne
Graphite, amorphous ore, 70-75% C, ex-works Austria
$500-550/tonne
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Asia leading lithium price rises
By Laura Syrett, Albert Li
A raft of lithium producers released financials in November
which leant weight to the view that lithium demand is
increasing and that this is pushing up prices in some regions.
Prices in Asia, which rely on imports of lithium to supply end
markets, have officially risen, with locally-based suppliers
implementing increases to list prices. Prices in Europe are
also believed to be strengthening, however there have been no
confirmed increases in North or South America.
Chile-based Sociedad Quimica y Minera (SQM) the
world’s largest lithium supplier, said in its
third quarter earnings results in November that demand was
rising and supply is likely to tighten. Chile supplies the
majority of the world’s lithium at the most
competitive prices, based on extraction from natural brines in
the Andean salars. Sources suggested to IM
that it is in the interest of South American lithium producers
to keep prices low in order to remain competitive, given that
there are likely to be large contracts up for grabs from
battery makers in North America and Asia.
Electric vehicle (EV) production in China during October
increased eight-fold year-on-year (y-o-y) to 50,700 units,
according to a report by the China Ministry of Industry and
Information Technology.
According to CCID Consulting, more than 20 companies
including BYD Auto, FDG Electric Vehicles and China Aviation
Lithium Battery Company have heavily invested in Li-ion
batteries, with a total investment of Rmb 3.4963 trillion
($548.77 bn*) and capacity of 59.6m KWh.
*Conversion made November 2015
Lithium carbonate, min 99-99.5%
LiC2O3, large contracts, packed
in bags, CIF Asia
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Lithium hydroxide, 56.5-57.5% LiOH, large contracts,
packed
in drums or bags, del Europe or US $8-9/kg
Lithium hydroxide, Chinese, (56.5-57.5% LiOH),
packed in
drums or bags, large contracts, del Europe
$8.2-8.9/kg
Lithium carbonate, min 99-99.5%
LiC2O3, large contracts,
del continental US $6-6.5/kg
Lithium carbonate, min 99-99.5%
LiC2O3, large contracts,
packed in bags, CIF Asia $6-6.5/kg
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IM’s full price
listing will now only be published online at
www.indmin.com/PricingDatabase.
If you have any comments or concerns, or wish to discuss any of
the grades or prices listed, please contact
Laura Syrett, Prices Editor, at
lsyrett@indmin.com.
Bold indicates a price change from the previous month
(it may have changed more than once during the month). All
prices are listed in US$ and quoted per tonne unless
indicated.