For the Quarter Ending March 2025
North America
In Q1 2025, the lithium metal market in North America, particularly in the USA, demonstrated a complex landscape characterized by a quarter-ending price of USD 163,210/MT for lithium metal (99.9%) FOB Boston. This represents an increase compared to the stability observed in Q4 2024, which had experienced a more consistent upward trend. However, Q1 showed slight declines amid continued market adjustments.
January saw a significant 13% rise in prices fuelled by early signs of stabilization within the lithium salts market and improving demand from the electric vehicle (EV) sector. This momentum slowed in February as seasonal restocking softened demand, compounded by uncertainty around federal policy changes affecting EV incentives.
By March, while demand indicators suggested recovery—with nearly 300,000 EVs sold reflecting an 11.4% increase year-over-year—concerns around global production surpluses and inventory levels persisted. Major production increases in exporting countries like Chile are expected to further exacerbate market conditions by 2025. The quarter-ending price for lithium metal indicating that while there are positive signs in the EV market, stakeholders face significant challenges, including fluctuating demand, ongoing adjustments in production, and regulatory uncertainties that could impact future growth trajectories in the lithium sector.
Europe
In Q1 2025, the lithium metal market in Europe, particularly in Germany, showcased a complex interplay of dynamics resulting in a quarter-ending price of USD 576,730/MT for lithium metal granulate FOB Hamburg. This price indicates an increase compared to the stabilizing conditions seen in Q4 2024; however, the overall trend within Q1 revealed a slight decline in momentum as challenges persisted. January began with a 5% rise in lithium prices, driven by increased production from lepidolite and spodumene, which contributed to higher battery-grade lithium carbonate output. However, a notable 7.1% drop in new passenger car registrations tempered demand, despite record electric vehicle sales and significant growth in battery energy storage systems (BESS). February continued to reflect stability as the German market adapted to policy changes, witnessing a 35% year-over-year rise in electric vehicle sales due to adjustments post-subsidy cuts. However, March brought further indications of weakness in demand with a 3.9% decline in passenger car registrations, primarily for gasoline vehicles, even as electric vehicle growth persisted. The quarter-ending price for lithium metal underscoring the ongoing challenges of balancing supply and demand amid global inventory surpluses and shifting market dynamics. Participants must navigate fluctuating policy environments and consumer preferences as they strive to maintain stability in this evolving landscape.
APAC
In Q1 2025, the lithium metal market in the APAC region, particularly in China, witnessed fluctuating conditions marked by a quarter-ending price of USD 208,440/MT for lithium metal (99.9%) FOB Shanghai. Despite a notable increase in prices at the beginning of the quarter, the overall trend showed a slight decline compared to Q4 2024, which had experienced a more consistent upward trajectory. January began robustly with a 12% price rise, driven by production adjustments in related materials such as lithium hydroxide and spodumene, and ongoing demand from the electric vehicle sector. However, as the quarter progressed, February saw prices stabilize amidst reduced production and weaker downstream demand, particularly due to the effects of the Chinese New Year and maintenance activities disrupting supply. By March, pricing dynamics reflected a more bearish sentiment, as high inventory levels and limited demand from ternary cathode manufacturers pressured prices downward, despite an increase in electric vehicle sales which highlighted potential recovery. The quarter-ending price for lithium metal, suggesting that while the initial surge was promising, market participants face ongoing challenges including volatility in demand, production inconsistencies, and cautious procurement from buyers as they navigate complex market conditions in the wake of seasonal impacts and economic uncertainties.
For the Quarter Ending December 2024
North America
In Q4 2024, the lithium metal market in North America displayed notable volatility, with prices experiencing fluctuations driven by both supply dynamics and changing demand conditions. In October, lithium metal prices decreased by 2.8% as manufacturers faced pressure to lower costs due to limited support from related markets like lithium carbonate and hydrogen fluoride. However, a significant rebound occurred in November, with prices increasing by 9% as battery manufacturers and electric vehicle (EV) makers responded to tightening regulations and anticipated market adjustments.
Despite these fluctuations, December saw a stabilization of prices as the market began adjusting to a phase of oversupply. Strong production levels from Chile, the world's leading lithium carbonate producer, coupled with a burgeoning demand for EVs and energy storage systems, helped balance market dynamics. U.S. EV sales rose by over 10% year-over-year in Q3 2024, reflecting robust consumption trends in the automotive sector.
The quarter-ending price for Lithium Metal (99.9%) FOB Boston stood at USD 147,370/MT. Overall, lithium metal pricing trends in Q4 showed initial declines followed by increases, ultimately stabilizing as market participants navigated the complexities of supply chains and a recovering demand landscape. However, challenges remain, including persistent global oversupply and price competition, which may affect future profitability and investment strategies in the lithium market.
Europe
The lithium metal market in Europe experienced notable fluctuations throughout Q4 2024, reflecting a complex interplay of supply dynamics, demand pressures, and shifting market sentiment. Prices in Germany fell by 2.8% in October amid a weak market sentiment characterized by oversupply and reduced demand for electric vehicles (EVs). A slight rebound occurred in November, with prices increasing by 8%, driven by higher global prices despite persistent challenges in business activity. However, December saw a decline of 2% in lithium metal prices as inventory levels remained high amid increased production of battery-grade lithium carbonate. Key market factors included robust production rates in Chile, one of the world's leading lithium producers, which continued to influence supply chains across Europe. Additionally, Germany's new car sales showed mixed results, with a notable decline in battery-electric vehicle registrations but increased interest in hybrid vehicles, further complicating demand dynamics. The quarter-ending price for Lithium Metal granulate FOB Hamburg was USD 560,420/MT. Throughout Q4, pricing trends reflected initial declines followed by rebounds and subsequent stabilization. As market participants navigate these complexities, they face ongoing challenges from overcapacity, fluctuating demand, and the need for adaptation amidst evolving regulatory and market structures.
APAC
In Q4 2024, the lithium metal market in the APAC region exhibited a complex landscape shaped by fluctuating prices and changing demand dynamics. Following a decline of 3.5% in October due to weak cost support from upstream markets, prices rebounded by 8% in November, driven by strong consumption from the electric vehicle (EV) sector. However, by December, lithium metal prices stabilized as supply constraints and moderate demand helped maintain pricing equilibrium. Key drivers influencing the market included robust production growth in lithium carbonate, which rose significantly due to favourable conditions in the futures market and increased recycling efforts. The Chinese government's stimulus measures supported economic activities amid an evolving industrial landscape. EV sales soared, with new energy vehicles accounting for a record 47.2% of total car sales in China during the year, bolstered by competitive pricing and government incentives. The quarter-ending price for Lithium Metal (99.9%) FOB Shanghai was USD 189,890/MT. Throughout Q4, prices exhibited fluctuations but ultimately stabilized, reflecting both opportunities and challenges such as oversupply, evolving demand patterns, and pressures in related markets.
For the Quarter Ending September 2024
North America
In Q3 2024, the North American region experienced a notable decline in Lithium Metal prices, with the USA particularly facing substantial price decreases. This downward trend was primarily influenced by a combination of factors, including oversupply concerns stemming from new sources in Africa and China, coupled with a global market surplus that exerted pressure on prices. The persistent imbalance between lithium production and demand dynamics further contributed to the pricing downturn, leading to a bearish market sentiment.
Moreover, the correlation between reduced industrial production, trade tensions impacting supply chains, and geopolitical instability in lithium-rich regions added to the negative pricing environment. The quarter also witnessed a moderate decrease in demand for lithium, exacerbated by economic uncertainties and regulatory challenges in key markets.
Additionally, the impact of decreased government subsidies for electric vehicles on adoption rates further dampened demand for lithium-ion batteries, influencing market prices. Throughout the quarter, the USA experienced a significant 4% price decline from the previous quarter, with a notable decline of 3% price between the first and second halves. The quarter concluded with the latest price standing at USD 140506/MT of Lithium Metal (99.9%) FOB Boston, reflecting the prevailing downward trajectory in pricing for the region.
Asia-Pacific
In Q3 2024, the Lithium Metal pricing in the APAC region experienced a significant decline, with China being the focal point of maximum price changes. The market was influenced by various factors, including oversupply concerns arising from new lithium production facilities coming online globally, trade tensions leading to reduced manufacturing activity, and advancements in alternative battery chemistries gaining traction.
These factors collectively contributed to a bearish sentiment in the market, leading to a notable 10% decrease from the previous quarter and a further decline from the first and second half of the quarter. China, in particular, saw a substantial decrease of 6.0% price, with the latest quarter-ending price standing at USD 184046/MT of Lithium Metal (99.9%) FOB Shanghai.
The country's market trends were indicative of the overall decreasing sentiment, aligning with the broader regional dynamics of weak economic growth, subdued demand from battery manufacturers, and ongoing oversupply challenges. Despite the stable supply, the demand remained low, further exacerbating the downward pressure on prices. The quarter also witnessed no significant disruptions or plant shutdowns in the Lithium Metal industry.
Europe
In Q3 2024, the Europe region experienced a significant decline in Lithium Metal pricing, driven by various factors impacting the market. Oversupply, weakening demand, and increased competition from alternative battery technologies contributed to the downward pressure on prices. Uncertainty in the global economic outlook further exacerbated the situation, leading to cautious purchasing behaviour among consumers.
Plant shutdowns and disruptions also played a role in disrupting the supply chain, adding to the negative sentiment in the market. Germany, in particular, witnessed the most substantial price changes during the quarter. The country's manufacturing sector faced challenges, with declining orders and production impacting the demand for Lithium Metal.
Overall trends in Germany reflected a bearish market sentiment, with seasonality and correlation in price changes evident. The quarter recorded a notable 6% decrease from the previous quarter, with a 5% decline between the first and second half of the quarter. The quarter-ending price for Lithium Metal granulate FOB Hamburg in Germany stood at USD 544753/MT, highlighting the prevailing negative pricing environment in the region.
For the Quarter Ending June 2024
North America
In Q2 2024, Lithium Metal prices in North America have remained largely stable, despite various influencing factors. This quarter witnessed a balanced pricing environment, sustained by consistent supply and moderate demand from downstream industries. Key elements driving market stability included a balanced supply-demand equation, with inventories remaining sufficient to meet industrial needs. The absence of significant plant shutdowns or supply chain disruptions further contributed to this equilibrium. Although the North American market faced logistical challenges due to the Panama Canal drought, its impact was mitigated by adaptive supply chain strategies, ensuring uninterrupted flow and price stability.
Focusing on the USA, the market experienced the most notable price fluctuations within the region. However, these changes were marginal and did not significantly disrupt the overall stable pricing trend. Seasonality effects were minimal, reflecting consistent market activities throughout the quarter. The correlation in price changes indicated a predictable market behaviour, with adjustments being primarily driven by steady increases in electric vehicle and battery manufacturing demands.
From the previous quarter, prices recorded a nominal percentage change of 2%, indicative of slight market adjustments rather than substantial shifts. The comparison between the first and second half of the quarter showed no significant price variation, reinforcing the stable sentiment. At the end of Q2 2024, the price for Lithium Metal (99.9%) FOB Boston in the USA settled at USD 147026/MT, underscoring a stable and predictable pricing environment conducive to strategic planning and investment in the lithium sector.
Asia-Pacific
In Q2 2024, the APAC region experienced an upward trend in Lithium Metal prices, driven by several compelling factors. The quarter has been marked by heightened demand from the electric vehicle (EV) industry and energy storage systems, coupled with supply chain disruptions. Key challenges such as geopolitical tensions and regulatory barriers in major lithium-producing regions have impeded the smooth flow of lithium, affecting market stability. Logistical issues, including increased shipping costs and delays caused by the Panama Canal drought, have further exacerbated supply constraints. No significant plant shutdowns were observed during this period, ensuring a stable production environment.
Focusing on China, the country witnessed the most substantial price changes within the APAC region. The overall trend in China indicated a bullish market sentiment, influenced by the robust demand for Lithium Metal in power batteries and the automotive sector. The price trajectory reflected seasonality effects, with a consistent rise in the first half of the quarter and an increase in the latter half.
This period saw a strong correlation between increased domestic supply from Chilean exports and rising demand, resulting in a gradual price escalation. yet the quarter-ending price for Lithium Metal (99.9%) FOB Shanghai reached USD 216946/MT, underscoring a consistent increasing trend. The pricing environment in Q2 2024 has been predominantly positive, reflecting a stable yet upward trajectory in the Lithium Metal market within the APAC region, propelled by sustained demand and strategic supply adjustments.
Europe
In Q2 2024, the European lithium metal market exhibited stable price trends, driven by several significant factors. Supply stability was maintained despite global disruptions, such as the Red Sea blockade and Panama Canal drought, which caused shipping delays and increased logistical costs. The European Commission's proactive measures to secure critical minerals through project calls and recycling initiatives further bolstered market equilibrium. These efforts mitigated the impact of geopolitical tensions and regulatory challenges, ensuring a steady influx of lithium metal into the European market. Additionally, the collaboration between Japan and Europe to establish a battery recycling system aimed at reducing reliance on Chinese rare metals contributed to sustained price stability.
Focusing on Germany, the market saw the most pronounced price changes within the Europe Region. The German automotive sector faced a downturn in electric vehicle (EV) sales due to the phasing out of incentives, affecting lithium metal demand. However, the overall trend remained stable, with moderate demand from manufacturers of batteries and energy storage systems balancing the market. Seasonal fluctuations were minimal, and the correlation between price changes and market dynamics indicated a stable environment.
Despite a slight decline of 1% from the previous quarter, the pricing environment was consistent, reflecting stability rather than significant volatility. The price comparison between the first and second half of the quarter showed no substantial variation, underscoring the market's steadiness. The quarter ended with a lithium metal granulate FOB Hamburg price of USD 590770/MT, highlighting a stable sentiment in the market. The stable pricing context suggests a cautiously positive outlook for the lithium metal market in Europe, driven by strategic initiatives and supply chain resilience.
