Lithium prices have stabilized after a decline, and the tight balance in lithium carbonate supply and demand remains solid.

After experiencing a round of "expectation-driven pullbacks" in July, lithium carbonate prices have recently shown signs of stabilization. On August 10, the main contract for lithium carbonate futures, LC2609, closed at 146,360 yuan per ton, reflecting a cumulative increase of 6.24% over the past six trading days. "It has stabilized over these days," commented a person familiar with lithium carbonate futures. In July, influenced by pessimistic expectations of excess supply in the forward market, lithium carbonate futures prices fell nearly 20%. The fluctuations in the futures market have not affected the enthusiasm on the industrial side. "Production and sales of lithium carbonate are normal," said the head of a lithium salt company in Sichuan, adding that the enthusiasm for purchase from downstream clients remains high and the company has little inventory left. The state of this company essentially represents the overall industrysince July, companies like Tianhua New Energy and Jiuling Lithium Industry have successively entered maintenance, while lithium battery downstream production in August exceeded expectations for growth. Securities analysts stated that the pace of destocking lithium carbonate has accelerated, and the overall supply-demand situation remains tight.