-
- News
- Books
Featured Books
- smt007 Magazine
Latest Issues
Current IssueSolder Printing
In this issue, we turn a discerning eye to solder paste printing. As apertures shrink, and the requirement for multiple thicknesses of paste on the same board becomes more commonplace, consistently and accurately applying paste becomes ever more challenging.
A Culture of Thriving
One cannot simply command thriving; it must be nurtured, developed, and encouraged. In this issue, we explore strategies to improve your working relationship model—both internally and externally. In this culture of thriving, your business will grow in the process.
Certifications
Certifications have historically been seen as a cost of doing business, but how do we turn them into a positive ROI and a value to both customer and vendor?
- Articles
- Columns
Search Console
- Links
- Events
||| MENU - smt007 Magazine
Battery Cell Prices Continue to Decline in August, but Demand Could Improve in September
September 12, 2024 | TrendForceEstimated reading time: 2 minutes
TrendForce reports that the market for battery metals such as nickel, cobalt, and lithium remained weak in August, with prices for these raw materials continuing to fall. Most notably, the price of lithium spodumene concentrate dropped sharply in August—seeing a 16% quarterly decline—while some lithium concentrate prices fell below US$800/ton.
Following a drop in the price of battery-grade lithium carbonate below CNY 90,000/ton in July, a new historic low was set in August as the price further decline below CNY 80,000/ton. The continued drop in cobalt and nickel salts also triggered declines in prices for cathodes, electrolytes, and other battery components.
TrendForce noted that battery cell prices continued to fall in August due to the reduced cost of LiB materials. Prices for EV cells decreased by 4% MoM, the average price for square LFP cells dropped below CNY 0.4/Wh, while square ternary and pouch ternary EV battery cells averaged CNY 0.46/Wh and CNY 0.48/Wh, respectively.
Demand for grid-scale ESS battery cells continued to improve in August, driving sustained growth in 314 Ah orders. The trend toward larger capacity energy storage cells remains unchanged, and prices continued to decline. The ASP for LFP energy storage cells fell to about CNY 0.35/Wh in August—a 6% monthly drop.
Lithium carbonate prices have begun to stabilize after reaching a low point in late August. Although an oversupply of lithium carbonate continues to exert pressure on the Chinese market, the effects of production cuts upstream are gradually becoming apparent. After a period of inventory reduction across the supply chain, demand is expected to improve with the arrival of the traditional peak season (Sept–Oct), prompting increased stocking activity downstream. This may lead to a short-term and modest rebound in lithium salt prices. However, in the long term, the oversupply of lithium is unlikely to reverse, and the long-term trend for lithium carbonate prices will remain downward.
Cathode manufacturers and battery cell producers are revising their production plans upwards as downstream demand shows signs of recovery. Meanwhile, China’s NEV sector still faces trade risks from tariffs in overseas markets such as the US, Canada, and Europe. For example, the US initially planned to impose a 100% tariff on Chinese-made EVs starting August 1st, but this measure has been postponed again.
Canada is planning to follow suit with a similar 100% tariff on Chinese-made EVs, set to take effect on October 1st. TrendForce believes that, given these uncertainties around international tariff policies, battery makers may start stocking up as lithium prices approach their lows. The industry could see a short-term improvement in demand in September.
Suggested Items
Spot Market for Memory Struggles in First Half of 2024; Price Challenges Loom in Second Half
08/30/2024 | TrendForceTrendForce reports that memory module makers have been aggressively increasing their DRAM inventories since 3Q23, with inventory levels rising to 11–17 weeks by 2Q24.
DRAM Industry Revenue Surges 24.8% in 2Q24, Upward Revision of Contract Price Increase for Q3
08/15/2024 | TrendForceTrendForce’s latest findings reveal that the DRAM industry saw a significant revenue increase to US$22.9 billion in the second quarter of 2024—a QoQ growth of 24.8%.
June Lithium Prices Hit New Low for the Year; Cell Prices Still Facing Downward Pressure
07/08/2024 | TrendForceTrendForce reports that June saw a significant drop in lithium prices due to a focus on inventory reduction in the downstream battery sector. Weak demand for lithium salts and sluggish shipments of lithium carbonate—compounded by short-term oversupply—drove lithium carbonate prices to a new low for the year.
Contract Price Increases Offset Seasonal Slump, Boosting DRAM Q1 Revenue by 5.1%
06/13/2024 | TrendForceTrendForce reveals that the DRAM industry experienced a 5.1% revenue increase in 1Q24 compared to the previous quarter. This growth—reaching US$18.35 billion—was driven by rising contract prices for mainstream products, with the price increase being more significant than in 4Q23. As a result, most companies in the industry continued to see revenue growth.
May EV Battery Demand and Prices Remain Stable, June Prices Likely to Drop
06/07/2024 | TrendForceTrendForce research reveals that after experiencing low capacity utilization in the first quarter, the EV battery industry saw a significant recovery in market demand starting in March.