Galaxy Futures: Lithium Carbonate Demand Remains Strong, Trading at High Levels

In February, demand remained resilient while supply was tight, leading to an overall reduction in inventory. In March, smelters resumed production coupled with a surge in imports, resulting in a significant increase in supply and a shift toward inventory accumulation. However, the growth in consumption caused the inventory-to-sales ratio to rise at a slightly weaker pace. The industry trend remains positive, and in the short term, downstream restocking sentiment can still support lithium prices at high levels. However, regulatory environment remains relatively strict, and limited liquidity can cause significant fluctuations with small amounts of capital. Attention should be paid to when liquidity returns to normal. (Galaxy Futures)