For the Quarter Ending June 2022
North America:
In the second quarter of 2022, the Lithium Fluoride market in the North American region remained bullish. The retaliatory sanctions on Russia have curtailed several essential upstream supplies of the new energy raw material, followed by the resurgence of COVID in China that worsened the situation of the supply of crucial feedstocks. Still, the market participants were active in the several upstream commodities used to manufacture the feedstock. Therefore there is a significant margin in the supply-demand outlook in the domestic market. As a ripple effect, the DDP USGC discussions for Lithium Fluoride observed an increment of +3.40% in the spot market.
Asia Pacific:
During the second quarter of 2022, the Lithium Fluoride market in the Asia Pacific region observed mixed sentiments amidst the shifting demand-supply outlook in the domestic market. At the start of the quarter, Chinese authorities were forced to impose a shutdown amidst the rising COVID cases in Shanghai. That jeopardizes the assembly line operations of major automotive manufacturers, especially in the EV sector. In response, it levied an impact on the complete upstream value chain during the first half of the quarter, and the dropped quotations of Lithium Hexafluorophosphate forced the market participants to halt the inquiries for Lithium Fluoride. However, the market rebounded gradually in the second half of the quarter.
Europe:
In the second quarter of 2022, the European market observed severe oscillations in the macro-economical levels that kept the Lithium Fluoride market bullish in the Northwest European and Mediterranean region. The restricted availability of the acidspar tightened the production of the critical upstream, followed by the domestic production of Lithium Fluoride in the European region. The imports remain restricted amidst the sanctions on Russia and COVID situation in the Chinese market. By the quarter end, 2% of the global freight congestion was observed in the NW-Europe amidst the ongoing protest in Germany.
For the Quarter Ending March 2022
North America
Overall, the Lithium Fluoride market in the first quarter of 2022 remained bullish, identical to the last quarter, with severe tightness in the availability of Lithium Fluoride after Russia invaded Ukraine. According to the customs data, a significant portion of Lithium supplies were imported from Russia, and the sanctions impacted the supplies of Lithium Fluoride in the US domestic market. In addition, the Chinese benchmark offers for Lithium Fluoride increased by a significant margin. Due to safety concerns in the San Luis Potosi, a feedstock fluorspar mine in Mexico, has imposed force majeure, leading to a reduction in the production and contracts to consumers besides adding pressure to the production margins in the US market. As a ripple effect, the overall market sentiments strengthened the quotations staggered in the upward trajectory.
Asia Pacific
In the first quarter of 2022, the Chinese Lithium Fluoride market witnessed stagnant growth despite the resurgence of COVID and hindered market dynamics in China. In the first half of the quarter, overall sentiments were pressurized ahead of the Chinese Lunar new year holidays with constant participation of overseas players in the Chinese market against the logistical issues. The Chinese authorities took some strict preventive measures to curb the spread by imposing a strict lockdown against the persistent inquiries from the overseas market. Although evaluation in mid-March assessed by benchmark continued in the upwards rally, even though the cost support from the feedstock Anhy. Hydrofluoric Acid kept staggering in China. As a ripple effect, the FOB Guangdong discussion for Lithium Fluoride was settled at USD 128400 per tonne by the quarter ending.
Europe
The effort made for the paced transition toward cleaner energy has clearly described the tightness in the Global Lithium Hydroxide market. Due to the boosted demand against the constrained supplies, the constant growth in the feedstock quotations of Lithium Hydroxide since 2021. Although the cost support from the Hydrofluoric Acid remains stagnant, the inquiries remain consistent. At the same time, the sturdy stance of the European authorities over Russia’s invasion of Ukraine clouded the supply concerns for the essential raw materials used in the production of Lithium Fluoride.
In the fourth quarter of 2021, the Lithium Fluoride market in the North American region witnessed unprecedented growth throughout the quarter. This development is majorly caused due to the enormous demand outlook that outstrips the demand from the EV segment, and the inquiries were persistent from the downstream Lithium Hexaflurophospharte producers. After the COP 26 global conglomerates and players from the energy sector raced to ensure the long-term supplies for Lithium. As a ripple effect, the quotation for Lithium Fluoride in the US domestic market witnessed a growth of 18.48%, and the CIF New York discussion for Lithium Fluoride was settled at USD 76900 per tonne, during the quarter ending in December.
The Asia Lithium Flurode market observed a consistent growth since the mid of the third quarter due to numerous economic factors. The port congestion in Northeast Asia delayed the deliveries of Lithium Fluoride and orders piled up from the domestic and overseas buyers for the Chinese cargoes. Whereas, the rising sales of EV soared the demand from the downstream EV batteries segment after the global countries decided to pace up the transition towards a greener economy. Whereas a major player in China plans to expand the production of Lithium Fluoride by 6000 tonnes. As a ripple effect, the Lithium Fluoride prices soared by 33.61% in the fourth quarter of 2021, and the FOB Guangdong discussion for USD 95400 per tonne, in December.
In the fourth quarter of 2021, the South American Lithium Fluoride market witnessed an unprecedented hike after the COP 26 meeting held in Glasgow, and numerous EV battery manufacturers were eager to ensure long-term supplies. The Chilean authorities recently announced to form state-owned Lithium miners to manage the country’s Lithium Triangle. However, as the demand exceeded the domestic supply outlook it forced the producers to raise the quotations for Lithium Fluoride soared significantly in the fourth quarter of 2021.
