Lithium Market Fired Up by Bullish Demand Call From China

Lithium prices and shares in producers of the metal surged Monday after one of China’s major suppliers delivered a bullish forecast for the battery material that had been languishing in a global glut.

The most-active lithium carbonate contract on the Guangzhou Futures Exchange leaped 9%, closing at the upper limit of 95,200 yuan ($13,400) a ton, after Ganfeng Lithium Group Co. Chairman Li Liangbin was quoted as predicting 30% demand growth next year. Shares in major producers SQM and Albemarle Corp. rose as much as 14% and 9.3%, respectively.