In 2016, in addition to the overall shortage, we expect that the other three major frictions in the lithium carbonate sector will determine the shortage of battery-grade lithium carbonate, and the price increase will be stronger than the industrial grade.

        First, China's demand for new energy vehicles pulsed volume of supply and demand friction. The fundamental reason for the soaring price of lithium carbonate since 2015 is that the demand for new energy vehicles in China is characterized by pulsed emission, and the bottleneck of supply capacity is very obvious. Considering China's emphasis on the new energy automobile industry, 2016 Demand pulsed heavy volume is likely to reappear in the year, which will lead to supply and demand friction and push battery-grade lithium carbonate prices to reproduce in 2015.

       The second is the friction of upstream resource output. Because the performance of the battery determines that it has higher performance consistency requirements for the same batch of materials, and the lithium carbonate impurity content index, physical index and electrochemical index of some resource sources are difficult to meet the battery level standard, it is difficult to communicate with other industrial grade lithium carbonate. A crucible was prepared into battery grade lithium carbonate.

       The third is the friction in the processing of lithium salt in the middle reaches. Even if you have a consistent lithium resource or industrial grade lithium carbonate, you need to obtain the complete qualification certification from the cathode material to the battery company to obtain the processed battery grade. Lithium carbonate orders, which means that from industrial grade lithium carbonate to battery grade lithium carbonate, there is not only the friction caused by resource differences, but also the friction of processing qualification.