CITIC Securities research news, lithium market is facing subtle changes in supply and demand. 2024 first quarter, by the impact of low lithium prices, some overseas lithium mining enterprises in order to maintain profits, took the initiative to carry out a production cut, resulting in lithium supply decline. At the same time, South American lithium production from salt lakes has shown year-on-year growth, and SQM has raised its production guidance for 2024. With the expansion of several projects in Argentina, lithium supply from the salt lake is expected to continue to maintain the growth trend. Into the second quarter, China's lithium salt and lithium imports increased significantly, the domestic lithium salt production also continued to climb, the supply side of the pressure gradually increased. At the same time, by the demand into the off-season, lithium prices once fell to below 100,000 yuan / ton. However, the market generally believe that with the third quarter lithium demand is expected to turn warm, downstream manufacturers may be for the peak season to make up warehouse operations, which will limit the lithium price further down space. Overall, although the lithium market is facing short-term fluctuations, but the long-term supply and demand pattern is still worth looking forward to.