The Chinese are doing what other Main Buyers have done in the...

The Chinese are doing what other Main Buyers have done in the past when they see prices shoot up. That is, they respond by trying to drive it back down.

Note, there has been a price war in China, on EV cars for the last 12 months, so most Chinese EV producers would be trying to drive their costs down so they could stay in business.

The Li prices of 18 months ago was just NOT sustainable. Prices went too far up, now they have gone too far down.

That is the nature of the pendulum - always an over reaction in either direction.

At current prices, few companies would be making $$$$$$$. Only those who have additional by-products offset could still be marginally profitable.

Most Li producers would be losing money. We are lucky in that, we don't have borrowings.

CXO management need to use this time off, to find ways to reduce costs. That is the only way to stay in this business.

As to Africa and South America, they have a longer distance to travel to China - their cost savings in labour is offset by increased freighting costs.

Its the same situation with Iron Ores.