Metals

Top lithium miner boosts output on optimism about long-term demand

CBCIE Time:Aug 21, 2020 16:02 Source:Mining Weekly

“Given the demand growth expectations in coming years, we feel comfortable with the higher level of inventories that are being built,” Soc. Quimica y Minera de Chile SA said after reporting second-quarter income beat the highest analyst estimates.

SQM said output levels have reached an all-time high and it’s currently producing at a rate of about 70 000 tons this year. While the company expected demand in 2020 to be similar to 2019, it remained optimistic about long-term demand growth because of increasing expectations for car sales, EV penetration rates and continued government incentives.

Between mid-2015 and mid-2018, prices for lithium almost tripled as the world’s EV fleet hit the 5 million mark and the auto industry began to fret over the supply of raw materials. Prices have since plunged by more than 50% and SQM expects them to be lower in the second half, though sees higher sales volumes.The higher inventory levels posed the key concern for SQM’s stock, according to a Citigroup Inc. note, citing elevated inventory throughout the supply chain and depressed prices. Albemarle Corp. and Livent “seem to be taking a more conservative approach, only producing to meet customer demand,” it said.

Key Words:

All articles, pictures, reports and other original works on the website that are attributed to CBCIE are non-public information, only for members. No one may reproduce or otherwise use the original content of this website without our permission. If you need to use it, please call
+86 18135172048 to apply for authorisation. CBCIE reserves the right to pursue any infringement and citation contrary to the original intent.

Disclaimer:CBCIE is committed to building a comprehensive and authoritative metal information platform, and strives to provide a full range of data and information services and decision-making support for metal industry researchers and practitioners. However, the information on this website is for reference only and is not intended as direct advice for investors' decision-making. Any investment, purchase, sale or operation based on the information on this website should be at your own risk and is not related to CBCIE.

CBC Lithium Product Navigation

Precursor

Ternary Precursor

Cathode Material

Other Lithium Products

Contact us

Contact us for more CBC information and services.

Get in touch
CBC专家咨询 关闭
close
WeCom

CS Manager:
Zizhen Zhang

+86 18135172048