Lithium hydroxide prices in the US cooled in early February after a January rally, as momentum shifted to consolidation. Early January inventories tightened, and recyclers flagged scrap shortages, boosting secondary supply strain; mid-month, OEMs and cathode makers intensified buying, while late-January activity leaned toward forward purchases tied to large battery-plant investments. In early February, the market paused as spot participants pulled back after front-loading volumes, producing a weekly correction despite demand remaining solid. Demand from the automotive and battery sectors underpins the market for Lithium Hydroxide Battery grade DDP USGC, with converters, OEMs, and cathode producers actively purchasing material. The January assessment showed a fifty percent MoM rise that squeezed available spot cargoes. Upstream and feedstock dynamics amplified cost pressure across the value chain; recyclers paying premiums for scrap batteries reduced secondary feedstock availability, and import reliance remained high with tariff-related costs elevating landed costs. Looking ahead, the market is likely to stay firm, barring scrap improvements or moderating import costs.
