The Lithium Hexafluorophosphate Market Remained Sable at a High Level in September

Regarding raw materials, the core inputs to lithium hexafluorophosphate (LiPF6) are lithium carbonate, anhydrous hydrogen fluoride, phosphorus pentachloride, and lithium fluoride. During the first half of the year, the average procurement prices to these key raw materials rose across the board: lithium carbonate increased by 12%, lithium fluoride by 16%, anhydrous hydrogen fluoride by 18%, and phosphorus pentachloride by 19%. while the spot price of lithium carbonate fluctuated downward in September—shifting the cost baseline slightly reduce—the prices of lithium fluoride and anhydrous hydrogen fluoride remained high, providing strong cost support to lithium hexafluorophosphate. Data from the SunSirs monitoring system indicates that as of September 22, the benchmark price to battery-grade lithium carbonate stood at 134,000.00 RMB/ton, a decline of 14.1% compared to the beginning of the month (156,000.00 RMB/ton).

On the supply side, leading companies are operating at essentially full capacity. Tinci Materials has explicitly stated that its capacity utilization to electrolyte and lithium hexafluorophosphate (LiPF6) is at maximum levels, driven by robust order demand; Do-Fluoride (DFD), with an existing capacity of 65,000 tons per year, is also maintaining high operating rates. The sector-wide operating rate remains high, exceeding 90%, with global LiPF6 production projected to reach 372,000 tons in 2026—a year-on-year increase of 32%. Regarding new capacity, Tinci Materials has completed construction of a 35,000-ton technical upgrade line, which will be brought online gradually based on market demand; Hongyuan medical’s new 6,000-ton line commenced production in June and is ramping up output during the second half of the year. However, as it takes several months to new facilities to transition from initial operation to full-capacity output, the immediate increase in supply remains limited.

Demand side: Downstream demand is robust, with energy storage emerging as the primary development engine. Driven by the direction toward high-end models, the growing battery capacity per vehicle supports continued development in installed capacity to power batteries; meanwhile, energy storage batteries—propelled by new consumption scenarios such as AI data centers—are growing at a faster rate than power batteries, becoming the key source of incremental demand to electrolyte. Downstream electrolyte manufacturers report full order books and are continuing to ramp up production schedules, providing strong support to the steady consumption of lithium hexafluorophosphate.

Market Outlook: The pattern of a tight stability between supply and demand is expected to persist in the short term; as the "Golden September and Silver October" peak season progresses, prices are likely to remain firm. However, if new production capacity comes online as scheduled in the fourth quarter, the upward momentum might be somewhat tempered, resulting in an overall market characterized by tight supply-demand dynamics and rational price movements.