Hyperdrive
Red-Hot Lithium Rally Cools as China’s BYD Flags Surplus
- Car giant calls prices ‘unreasonable’ after stellar gains
- Output losses in Jiangxi aren’t enough to steady market
Lithium has enjoyed a 1,200% gain over two years.
Photographer: Carla Gottgens/BloombergThis article is for subscribers only.
Red-hot lithium prices are getting a little less expensive, just as China’s electric-car giant BYD Co. flags that the market could swing back into surplus next year.
The battery material in China has continued to retreat from the all-time high hit last month as signs of demand weakness weigh on the market. Lithium carbonate fell 0.2% to 571,500 yuan ($82,000) a ton on Wednesday, although prices are still around double where they were at the start of the year.