Cathode active material prices were mixed this week, with cobalt-rich chemistries posting gains while LFP continued to weaken as lithium market sentiment remained under pressure.
The strongest increase came in NCM111, which rose by 3.9pc to $33.00/kWh from $31.75/kWh, supported by higher cobalt prices and strengthening precursor costs. NCM523 increased by 2.2pc to $31.75/kWh, while NCM622 rose by 1.4pc to $30.90/kWh. Higher-nickel chemistries saw more limited movement, with NCM811 and NCA each edging up 0.3pc to $32.64/kWh and $32.31/kWh respectively, as weakness in nickel sulphate markets offset some of the upward pressure from rising cobalt feedstock costs.
The divergence reflected broader developments across battery raw materials markets. Cobalt prices rallied sharply during the week on strong speculative buying, improved physical trading activity and concerns over future feedstock availability, particularly following discussion around potential DRC export restrictions and Indonesian mixed hydroxide precipitate (MHP) supply. In contrast, nickel sulphate prices continued to decline on weaker battery-sector demand expectations and softer feedstock costs, limiting gains for nickel-intensive cathode chemistries.
LFP remained under pressure, falling by 2.1pc to $13.53/kWh from $13.82/kWh. Lower lithium carbonate and spodumene prices continued to weigh on production costs amid oversupplied lithium markets, rising feedstock availability from Zimbabwe and growing expectations of slower battery demand growth. The continued weakness in lithium markets reinforced the cost advantage of LFP over ternary chemistries, although the gap narrowed slightly as cobalt-driven gains lifted NCM values during the week.
Overall, the week was characterised by a growing divergence between lithium and cobalt markets. Rising cobalt prices supported ternary cathode values, particularly lower-nickel formulations with greater cobalt exposure, while falling lithium prices continued to pressure LFP and cap gains across the broader cathode sector.
