Good morning from Germany!Excerpt: "The industry's challenges...

Good morning from Germany!

Excerpt: "The industry's challenges such as overcapacity, price wars and declining demand are secondary to the core issue: declining respect for contracts and integrity. These problems have left the LFP industry, which was already liberal in its payment practices, as fragile as a house of cards "In an industry-wide collapse, no company is blameless. Surviving companies keep costs down and reputations intact to take advantage of future opportunities."

China probably has a problem with lithium buyers?

From the perspective of our merger, we did everything right because we now have the entire value chain of the raw material in our own hands, which gives us an enormous cost advantage. This was probably the main reason for the merger! As can be seen from the entire report, some companies in China are selling below the cost of production, which cannot be healthy in the long term, just to retain customers, but this does not really work.

Capital - which was previously found quickly for new businesses - is withdrawing from the market and shifting towards those with a complete value chain. New mines will have a very difficult time finding or obtaining financing.

Link : SMM gibt einen Überblick über die 10 wichtigsten LFP-Branchentrends im Jahr 2023 | Shanghai Nichteisenmetalle