LLL 0.00% 50.5¢ leo lithium limited

Going back on CATL recent battery discount prices.Possibly more...

  1. 636 Posts.
    lightbulb Created with Sketch. 77
    Going back on CATL recent battery discount prices.
    Possibly more than trying to gain market share, it comes from trying to maintain market shares.....
    Recent softening of Lithium prices is likely to facilitate new giga factories battery production around the world, this in turn will create more competition on pricing and technological battery improvements, hence CATL trying to lock in existing and new clients, with a discount.
    This is a double edge sword tactic because cheaper prices means more EV demand and therefore more Li needed. Unless they will sell battery at a loss, soon any discount will catch up with them.
    Beside apparently some discount from CATL are in the range of 7%, when they made a gross margin of 15% in 2022, possibly selling at breakeven prices.
    Again the fact that this discount is not offered to every automaker, more than politics could simply be CATL trying to maintain some profit margins.......

 
watchlist Created with Sketch. Add LLL (ASX) to my watchlist
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.