Into the second quarter of 2024, China's lithium salt and lithium concentrate imports continued to grow, up more than 10% sequentially, showing the market's strong demand for lithium resources. in May, domestic lithium salt production surged 18.2% sequentially, and inventories rose accordingly. However, with the downstream demand into the off-season, lithium prices began to pressure downward, and even fell below 100,000 yuan / ton.

Looking ahead to the third quarter, a number of organizations are optimistic about lithium demand. The arrival of the traditional peak season is expected to drive lithium demand rebound, at the same time, if the lithium price continues to be low, downstream manufacturers may be in advance of the peak season stocking, thus injecting new vitality into the market. Therefore, it is expected that the downward space of lithium prices in the third quarter will be somewhat limited.

However, it is worth noting that a number of large overseas lithium mines will come into production in the second half of 2024, which will further increase market supply. Therefore, despite the pickup in demand, the supply pressure on lithium resources cannot be ignored. Market participants need to pay close attention to industry dynamics and rationalize their strategies to cope with potential risks.