Source: Mysteel
The anode material production of mainstream producers declined by 3.30% MoM to 110,600 tonnes in August. This decline was due to the overall reduction in operating capacity, as well as a month-on-month drop in the production and sales of new energy vehicles. Additionally, top-tier producers were primarily focused on fulfilling previous contracts. Raw material prices have been low recently, easing cost pressure to some extent. Nevertheless, with demand under pressure and soft market prices, the improvement in actual company profits has been limited. According to Mysteel, China's anode material production will likely fall 4.42% MoM at 105,700 tonnes in September.
Written by Cora Ji, jiruyan@mysteel.com