Battery Materials Market Weekly

Key Insights for the week ending October 10, 2025

Executive Summary

Anode Market Squeeze

Anode prices remain flat due to significant oversupply, but rising feedstock costs for petroleum coke and pitch are severely compressing producer margins, forcing a focus on cost control.

Divergent Cathode Paths

NCM and LCO cathode prices are strengthening on robust EV demand and higher input costs. In contrast, LFP prices softened slightly amid weaker demand, while LMO held steady.

Lithium & Electrolyte Cost Shift

Lithium hydroxide prices eased, narrowing the spread with stable lithium carbonate. However, LiPF₆ salt and key additives surged, driving up overall electrolyte costs per kWh.

Strategic Imperative

The market presents a complex cost challenge. The immediate focus is on securing favorable anode contracts, managing rising electrolyte expenses, and capitalizing on lower LiOH for high-nickel cathodes.

Market at a Glance

Weekly Price Direction Heatmap

Anode Materials

Mid-Grade Artificial

→ FLAT

~$3,717 USD/t

Anode Feedstocks

GPC / CPC Coke

↑ RISING

Feedstock costs firming

NCM / LCO Cathodes

High-Nickel / Cobalt-based

↑ RISING

Strong demand driving prices

LFP Cathode

Power Grade

↓ EASING

~$4,888 USD/t

Lithium Carbonate (LCE)

Battery & Industrial Grades

→ FLAT

~$10,309 USD/t (Battery)

Lithium Hydroxide

Battery Grade

↓ EASING

$10.0k–$11.3k USD/t

Electrolyte Salt

Lithium Hexafluorophosphate

↑ RISING

~$9,046 USD/t

Electrolyte Additives

VC / FEC

↑ RISING

VC +4%, FEC up ~$281/t

Anode Market: Artificial Graphite

Synthetic Graphite Pricing

Prices remain firm, but rising GPC feedstock costs are eroding producer margins.

Synthetic Anode Cost Stack

Energy-intensive graphitization and key feedstocks dominate the cost structure.

Anode Market: Natural Graphite

Natural Graphite Pricing

A stable, lower-cost alternative, with prices tiered by final capacity and purity.

Natural Anode Cost Stack

Raw flake cost and extensive purification/shaping are the main cost drivers.

Cathode & Lithium Market: Pricing Snapshot

LFP (Power) $4,888/t ↓

NCM 811 $21,079/t ↑

NCM 523 $17,461/t ↑

LCO (4.48v) $43,198/t ↑↑

LMO (Dynamic) $4,909/t →

Discussion Point: A clear market divergence is underway. Soaring cobalt costs drove LCO prices to outlier levels, while firming precursors lifted NCM. In contrast, the relative stability of LFP and LMO highlights their growing importance for cost-sensitive energy storage and mainstream EV applications.

Cathode Price Snapshot

A comparison of current spot prices across common cathode formulations shows LCO as the clear outlier this week.

Electrolyte Market: A Story of Components

Electrolyte & Additive Pricing

The base salt LiPF₆ floated up significantly, and rising prices for additives like FEC and VC add complexity to cost models.

Key Intermediate Trends (WoW)

The upstream supply chain for electrolyte production saw mixed cost pressures this week.

Operational & Strategic Implications

Connecting Market Shifts to Manufacturing and Supply Chain Strategy

Techno-Economic Analysis (TEA)

Anode margin models must be updated to reflect higher GPC/Coke costs against stable output prices.
The sharp rise in LCO and LiPF₆ prices introduces significant volatility into cost models for consumer electronics and EV cells.
Volatile additive pricing (FEC, VC) complicates specialty electrolyte formulation cost projections.

QA/QC & Process Control

Vigilance is needed on incoming cobalt and AHF precursors to ensure quality specs are met despite price hikes.
Monitor graphitization furnace energy consumption as a key lever to offset rising anode feedstock costs.
Ensure consistent slurry viscosity as LCO price changes may tempt adjustments to formulation ratios.

Sourcing & Throughput

Evaluate dual-sourcing for cobaltosic oxide and AHF to mitigate supply risk from single-source volatility.
The price stability of anode materials makes them a reliable choice for mass production scheduling.
Consider strategic procurement of stable materials (LMO) to buffer against volatility in other cathode families.

What Moved the Market This Week?

Surging Cobalt & Precursor Costs

A sharp increase in cobaltosic oxide and precursor prices was the primary driver behind skyrocketing LCO and firming NCM cathode prices, impacting the entire battery chain.

Upstream Cost Pressure on Electrolyte

Rising prices for key precursors like Anhydrous HF provided strong cost support for LiPF₆, forcing producers to raise prices despite stable lithium feedstock costs.

Steady EV Demand

Continued, healthy demand from the EV sector provided a stable floor for NCM and LFP prices, preventing steeper declines and supporting price increases for nickel-rich chemistries.

Technology Horizon: Solid-State

BYD announced development of a 400 Wh/kg solid-state battery aiming for a >1,000 km range. With small-batch production targeted for 2027, this signals a long-term technology shift that will reshape the materials landscape.

Stay Ahead of the Market

For weekly updates and in-depth analysis on the lithium-ion battery supply chain, follow me on LinkedIn.

FOLLOW ME ON LINKEDIN

Data derived from BAIINFO Big Data and open source data collected by webcrawlers, analyzed by AI/ML webstack proprietary to Delta3CoreTec LLC. All prices are converted at USD 1 = CNY 7.13. This infographic is for informational purposes only and does not constitute investment or technical advice.