Battery Costs Continue to Drop as Raw Material Prices Decline in the US

TapTechNews July 8th news, according to research by TrendForce Consulting, as the price of raw materials continues to decline, the cost of batteries has dropped again, and the price of power cells will continue to fall.

As the raw materials at the downstream battery end in June were mainly for inventory reduction, the lithium salt demand side was weak, and the overall shipment of the lithium carbonate link was not smooth. The oversupply situation on the supply side was difficult to resolve in the short term. The price of lithium carbonate fell below the new low for the year, moving from more than RMB 100,000 per ton last month to the 90,000-yuan range for gaming.

The price of power cells in June decreased by 1.2 to 2.6% month-on-month, and the monthly average prices of square ternary, square lithium iron phosphate, and soft pack ternary power cells were 0.49 yuan/Wh, 0.42 yuan/Wh, and 0.51 yuan/Wh, respectively.

TapTechNews noted that the peak period of concentrated procurement brought by the mid-year grid connection rush-installation in the domestic market in June ended, and the orders of energy storage cells began to show signs of decline. At the same time, the decline in the price of lithium carbonate at the raw material end was difficult to form stable support for the price of energy storage cells, driving the price of energy storage cells to decline. The average price of lithium iron phosphate energy storage cells in June was 0.41 yuan/Wh, a decrease of 4.2% month-on-month.