For the Quarter Ending September 2025
North America
• In the USA, the Lithium Hydroxide Price Index fell by 3.7% quarter-over-quarter, driven by oversupply and procurement.
• The average Lithium Hydroxide price for the quarter was approximately USD 9021.67/MT, reported by regional assessments monthly.
• Lithium Hydroxide Spot Price showed rangebound activity, reinforcing the broader Lithium Hydroxide Price Index sideways trend recently.
• Lithium Hydroxide Price Forecast suggests modest downside into late quarter, absent sustained upstream cost increases and restocking.
• Lithium Hydroxide Production Cost Trend remained subdued as conversion energy and feedstock expenses showed limited upward pressure.
• Lithium Hydroxide Demand Outlook improved marginally with selective EV restocking, yet overall consumption remained below peak expectations.
• High terminal inventories and steady import pipelines constrained spot availability, limiting abrupt Lithium Hydroxide Price Index recoveries.
• Major converter uptime supported consistent flows, while exporters absorbed marginal volumes, keeping transactional momentum modestly stable overall.
Why did the price of Lithium Hydroxide change in September 2025 in North America?
• Consistent shipments from Chile and Argentina maintained landed availability, preventing stronger price advances.
• Elevated Gulf Coast terminal and warehouse stocks reduced restocking urgency, dampening spot transactions and pressuring local offers.
• Moderate EV sector restocking improved demand, yet ample imports and flat conversion costs kept Price Index rangebound.
APAC
• In Japan, the Lithium Hydroxide Price Index rose by 1.98% quarter-over-quarter, driven by mid-August disruptions.
• The average Lithium Hydroxide price for the quarter was approximately USD 8867.67/MT, CIF Osaka deliveries.
• Lithium Hydroxide Spot Price swings mirrored regional supply interruptions, while the Price Index showed stabilization.
• Lithium Hydroxide Price Forecast suggests modest correction as inventories rebuild and downstream restocking remains cautious.
• Lithium Hydroxide Production Cost Trend rose after mine outages, lifting conversion costs and CIF pressure.
• Lithium Hydroxide Demand Outlook remains mixed; BEV demand weak, foreign EV and cathode procurement strengthen.
• Price Index movements tracked inventory draws and export flows; stability returned as Chinese shipments normalized.
• Logistics, freight, and yen weakness raised CIF costs, influencing the short-term direction of Lithium Hydroxide pricing.
Why did the price of Lithium Hydroxide change in September 2025 in APAC?
• Chinese production resumption increased exports to Japan, relieving tightness and softening spot premiums in September.
• Earlier mine outages and maintenance constrained feedstock availability, elevating conversion costs and CIF import pressure.
• Downstream cautious procurement and balanced inventories limited restocking, muting sustained upward Lithium Hydroxide price momentum.
Europe
• In Belgium, the Lithium Hydroxide Price Index fell by 3.8% quarter-over-quarter, driven by European oversupply.
• The average Lithium Hydroxide price for the quarter was approximately USD 8921.67/MT, reflecting weekly averages.
• Lithium Hydroxide Spot Price softened as steady imports and ample warehouses pressured the Price Index.
• Lithium Hydroxide Price Forecast anticipates intermittent tightening from origin outages, but overall downward bias persists.
• Lithium Hydroxide Production Cost Trend remained muted as lower spodumene and stable freight contained expenses.
• Lithium Hydroxide Demand Outlook remains cautious with just-in-time procurement and subdued cathode-maker spot purchases currently.
• Lithium Hydroxide Price Index movements reflected Antwerp port delays and Chinese export licensing impacting availability.
• Market participants kept inventories balanced, sellers competed on offers, tempering Lithium Hydroxide Price Index strength.
Why did the price of Lithium Hydroxide change in September 2025 in Europe?
• Balanced import flows and sufficient inventories limited buyer urgency, moderating upward Price Index pressure significantly.
• Intermittent Chilean production disruptions briefly tightened availability, but continued allocations kept overall import volumes adequate.
• Just-in-time procurement by cathode makers reduced spot purchasing, sustaining weak short-term Lithium Hydroxide demand levels.
For the Quarter Ending June 2025
North America
• The Lithium Hydroxide Spot Price Index in the U.S. dropped by 3.2% in Q2 2025, with prices declining to USD 8,600/MT by the end of June.
• Why did the price of Lithium Hydroxide change in July 2025 in USA?
• The Price Index continued to decline, driven by excess inventory, limited spot buying, and short-term purchasing patterns by downstream users.
• The Lithium Hydroxide Production Cost Trend remained soft due to low spodumene concentrate prices and reduced output at some U.S. hydroxide conversion facilities.
• The Lithium Hydroxide Demand Outlook stayed muted as cell and pack manufacturers operated cautiously, focusing on just-in-time procurement amid policy uncertainty and reduced EV tax incentives.
• The ESS sector offered long-term promise, but most utility-scale projects had already secured materials, limiting short-term spot demand.
• Domestic lithium initiatives such as Tesla’s Texas refinery were in progress but failed to shift short-term dynamics.
• The Lithium Hydroxide Forecast for Q3 2025 points to continued price weakness unless downstream confidence improves, or federal incentive structures are reinstated.
Asia-Pacific
• The Lithium Hydroxide Spot Price Index in China posted a sharp 11.4% decline in Q2 2025, to USD 7,150/MT by end-June.
• Why did the price of Lithium Hydroxide change in July 2025 in China?
• The Price Index saw another downward adjustment, as sluggish demand, excess inventories, and low-cost imports sustained downward momentum.
• The Lithium Hydroxide Production Cost Trend was undermined by weaker spodumene prices and high operational costs. Some facilities diverted output toward lithium carbonate to manage stock levels.
• The Lithium Hydroxide Demand Outlook remained weak, especially from high-nickel ternary cathode sectors. Battery manufacturers stuck to short-term contracts, while EV growth was skewed toward LFP chemistry.
• Despite China’s NEV sales surpassing 1 million units in May, the impact on lithium hydroxide consumption was limited due to chemistry mismatch and procurement delays.
• High Q1 production, record March–April imports, and firm U.S. dollar also weighed on prices.
• The Lithium Hydroxide Forecast suggests further weakness through Q3 unless there’s a rebound in ternary battery installations or cathode makers ramp up output.
Europe
• The Lithium Hydroxide Spot Price Index in Belgium fell by 3.2% in Q2 2025, with values declining from USD 9,700/MT in April to USD 8,500/MT by the end of June.
• Why did the price of Lithium Hydroxide change in July 2025 in Belgium?
• The Price Index recorded a further drop, driven by persistent oversupply, steady Chilean imports, and subdued buying from cathode and battery material manufacturers.
• The Lithium Hydroxide Production Cost Trend remained compressed, as producers like SQM and Albemarle delayed expansion plans and focused on cost efficiency amid falling margins.
• The Lithium Hydroxide Demand Outlook in Europe was cautious. Battery producers limited their offtake, citing high warehouse inventories and macroeconomic uncertainty. Sodium-ion alternatives were also under consideration.
• EV registrations rose modestly to ~325,000 in May, but the shift toward hybrids and PHEVs reduced hydroxide consumption intensity.
• Energy storage remained a stabilizing factor, but reliance on LFP batteries in this sector offered little upside for hydroxide demand.
• The Lithium Hydroxide Forecast for Europe suggests prices may stay under pressure through Q3, unless restocking picks up or trade routes from Asia are disrupted.
For the Quarter Ending March 2025
North America
During the first quarter of 2025, the U.S. lithium hydroxide market continued to navigate a complex landscape shaped by persistent global oversupply, fluctuating EV demand, and shifting trade dynamics. Prices showed a consistent downward trend throughout the quarter, largely influenced by cheaper imports, high inventory levels, and subdued domestic demand. In January, market conditions were strained by oversupply and softened downstream demand due to seasonal restocking and holiday-related slowdowns.
While imports from Chile and Argentina remained robust, U.S. lithium salt imports declined by 11% year-over-year in 2024, reflecting reduced EV adoption and inventory destocking. Despite muted short-term demand, the Energy Storage System (ESS) sector and long-term EV projections offered support for future growth. Manufacturing dynamics were defined by expanding capacity in major exporting nations. Chile’s lithium exports surged in January, and production is forecasted to increase by 7% in 2025, reaching 305,000 tons.
However, the anticipated global surplus of 141,000 tons has kept pressure on pricing. Producers like SQM announced spending cutbacks in response to declining prices. On the demand side, EV sales in the U.S. and Canada showed resilience, increasing 20% year-over-year in February. Government incentives and infrastructure improvements supported this trend. However, concerns about potential policy reversals under a new U.S. administration created uncertainty around long-term market stability and incentive structures.
APAC
In the first quarter of 2025, lithium hydroxide prices in China experienced a gradual but steady decline, influenced by a combination of weak spot demand, constrained supply due to maintenance activities, and high raw material costs. Despite stable demand from ternary cathode material manufacturers, especially in the 8-series segment, it was not enough to offset reduced output caused by the Chinese New Year shutdowns and ongoing smelting sector weaknesses.
Production levels hit recent lows in February due to maintenance and holiday-related shutdowns. While output showed signs of recovery in March as production schedules stabilized, the growth remained subdued. Some producers even began shifting focus toward lithium carbonate to mitigate cost pressures. On the demand side, a conservative approach prevailed throughout Q1. Manufacturers of ternary cathode materials maintained operations primarily through existing inventories, with limited interest in large spot orders.
As the quarter progressed, purchasing activity remained weak, with customers showing low urgency to restock amid ongoing price declines. Although China’s NEV sales rebounded year-over-year due to extended trade-in subsidies, month-over-month figures dropped significantly in February, influenced by seasonal effects and holiday closures. By the end of March, increased willingness to sell among producers and fading buyer resistance led to more flexible transaction terms.
Europe
During the first quarter of 2025, lithium hydroxide prices in Belgium continued their downward trajectory due to persistent global oversupply, subdued demand, and increased imports of cheaper materials. Despite this, the market began showing initial signs of stabilization, supported by steady EV adoption in Europe and adjustments in global production strategies.
In January, weak downstream demand, driven by seasonal restocking and elevated inventories, contributed to a 1.9% price drop. As the month progressed, market sentiment remained cautious amid global surplus concerns. Chile, a major supplier to the EU, reported a sharp year-over-year increase in lithium exports, signaling resilient supply. However, production setbacks in Africa and Australia slightly eased oversupply concerns.
Demand remained sluggish across the quarter, though growth is anticipated, with lithium usage in EV batteries and energy storage systems expected to rise significantly. The EU’s stricter emissions targets and increased support for EV infrastructure contributed to a 20% year-over-year increase in regional EV sales, offering mid-to-long-term support for lithium demand. By March, the market remained under pressure from global surplus and modest demand recovery, leading to another minor price decline.
For the Quarter Ending December 2024
North America
The US Lithium Hydroxide market in Q4 2024 exhibited a volatile price trajectory, primarily driven by persistent oversupply and subdued demand. The quarter commenced with relatively stable prices amidst an oversupplied market, with an excess supply outpacing current demand, leading to downward pressure on prices.
While there were initial signs of production cuts by Chinese producers, their impact was limited. Subsequently, prices experienced a brief period of upward movement driven by the import of higher-priced goods. However, this was short-lived, as prices declined significantly towards the end of the quarter due to continued oversupply, sluggish demand from battery manufacturers, and the import of cheaper goods.
The demand for lithium hydroxide remained subdued throughout the quarter, impacted by factors such as cautious purchasing behavior from battery manufacturers and EV makers, concerns about tightening regulations in key markets, and a global economic slowdown. Despite the challenges, the US EV market continued to grow, albeit at a slower pace than initially anticipated. However, the impact of this growth on lithium hydroxide demand was limited due to the prevailing oversupply conditions. The continued robust production from major producers like SQM in Chile further exacerbated the oversupply situation, exerting significant downward pressure on prices.
APAC
The APAC Lithium Hydroxide market in Q4 2024 exhibited a volatile price trajectory, influenced by a complex interplay of supply and demand factors. The quarter commenced with a surge in prices driven by pre-holiday inventory buildup and robust demand from downstream sectors, particularly for high-nickel ternary cathode materials. However, this was followed by a period of price stability and even slight declines due to factors such as lower-than-expected production cuts, increased supply from new projects, and a slowdown in consumer demand. Subsequently, prices rebounded in November, driven by improved market sentiment and production cuts at an overseas mine. However, this upward trend was short-lived, as prices declined again in December due to reduced consumer demand, high inventory levels, and cautious purchasing behavior ahead of the year-end. Throughout the quarter, supply and demand dynamics fluctuated significantly. While supply increased due to higher production from spodumene and lithium mica, it was partially offset by production halts for maintenance at some lithium salt factories. Demand remained robust, driven by strong NEV sales in China, although seasonal weakness was observed towards the end of the quarter.
Europe
The European Lithium Hydroxide market in Q4 2024 exhibited a volatile price trajectory, primarily influenced by the dynamics of the global battery market. The quarter commenced with a period of relative price stability amidst an oversupplied market and reduced consumer inquiries. This oversupply, driven by factors such as increased production capacity and lower-than-expected demand from battery manufacturers, exerted significant downward pressure on prices. While demand from the EV sector in Europe showed some growth, it was insufficient to offset the impact of the oversupplied market. Towards the end of the quarter, prices began to decline further, primarily due to cautious purchasing behavior from battery manufacturers and EV makers. This cautious approach was influenced by factors such as tightening regulations in key markets, rising interest rates, and concerns about a potential economic slowdown. Despite these challenges, the European Lithium Hydroxide market demonstrated some resilience. The growing demand for EVs in the region, albeit at a slower pace compared to other regions, continued to support the market. However, the overall market sentiment remained subdued, with concerns about oversupply and potential price volatility persisting.
