Costs for Lithium Hydroxide Versus Brine Producers, page-3

IMO I think the premise of your question/issue is flawed, and there is not really a concerning "industry switch" as you put it regarding a transition from carbonate to hydroxide.
I recall about 6 months ago that arising as a concern among some observers, but it seems to have settled down in recent months...



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https://www.bloomberg.com/news/articles/2021-02-08/cheaper-battery-clamor-in-china-is-sending-one-chemical-soaring

For the first time since March 2018,pricesof lithium carbonate in China have overtaken lithium hydroxide, driven by a resurgence in the lower-cost, power packs that use carbonate but not generally hydroxide.

“Automakers in China have turned back to the more cost-effective LFP cathodes amid a low-subsidy environment,” said Alice Yu, research analyst at S&P Global Market Intelligence.



Lithium carbonate is also thriving because it can be used in a wider range of EV batteries compared to lithium hydroxide, said Sharon Mustri, an analyst at BloombergNEF. Carbonate prices in China jumped 37% in January.

The LFP packs are simpler to manufacture and also use lower-cost materials -- making them about20% cheaperto build than battery cells that use nickel, cobalt and manganese, according to BloombergNEF. Lithium hydroxide is mainly used in batteries with higher nickel content that power longer-range EV models.

The recent tightness in the carbonate market is also being driven by downstream restocking ahead of the Lunar New Year holiday, S&P Global Market Intelligence’s Yu said.

Broader sector demand has seen both lithium chemicals stage areboundthis year. Prices have been stabilizing after years in the doldrums with a tight market is expected this year.

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"The reality is we are facing an imminent shortfall of both [lithium] carbonate and hydroxide," Moores said.


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