New Energy Prices Surge! The supply and demand for lithium battery materials are facing significant challenges, particularly in the context of rising carbon prices.
As of May 24, 2025, the lithium carbonate price has seen a notable increase. On May 23, the main trading price for lithium carbonate reached 7,800 CNY/ton, with a low point of 7,795 CNY/ton. Since the start of 2022, lithium carbonate prices have been on a continuous upward trend, with this year witnessing an astonishing annual increase of 28%.
Carbon material prices have also surged, with the most recent trading price hitting 60,280 CNY/ton, marking a significant jump of 6,000 CNY/ton. This upward trend indicates a tight supply situation, prompting concerns regarding the sustainability of production levels.
As the new energy sector continues to grow, the relationship between lithium prices and carbon material prices has become increasingly intertwined. Companies are facing mounting pressure to stabilize supply chains amidst these rising costs.
The price of lithium has risen significantly since early 2022, with recent data showing that the average price for lithium carbonate reached around 7,915 CNY/ton, reflecting a 60% increase year-on-year. The carbon material prices also continue to climb, with a recent report indicating a trading price of 8,650 CNY/ton, which is significantly higher compared to previous months.
According to SMM data, the supply situation is expected to further tighten as demand for new energy vehicles increases rapidly. The anticipated production forecast for 2024 is projected to reach 536.1 million tons, which represents a 42.76% increase from 2023. This expected growth in production capacity is coupled with ongoing supply challenges that are likely to persist.
Despite the increases in prices, the market for lithium and carbon materials remains robust, with ongoing investment and production enhancements being reported across the industry. However, as prices continue to rise, the market must adapt to these new economic realities.
The latest figures indicate that the supply chain remains under considerable pressure, with expectations that production levels will not keep up with demand. These dynamics suggest that the industry will need to navigate a complex landscape of price fluctuations and supply chain constraints in the coming months.
Overall, the new energy sector continues to evolve, driven by technological advancements and shifts in market demand. The interplay between lithium and carbon material prices will be critical in shaping the future of this industry.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/new-energy-vehicle-prices-surge-amidst-supply-chain-challenges-and-market-dynamics/
