(Bloomberg) -- A major Chinese lithium producer swung to its first half-year loss since 2020, hit by the battery material's massive price slump. 21 billion yuan ($734 million) for the first six months, from a profit of 6.
What happened to Tianqi Lithium?
(Bloomberg) -- A major Chinese lithium producer swung to its first half-year loss since 2020, hit by the battery material's massive price slump. Tianqi Lithium Corp. posted a net loss of 5.21 billion yuan ($734 million) for the first six months, from a profit of 6.45 billion yuan a year earlier, according to a statement late Friday.
Will China's Lithium prices halt a five-month slide?
A spool of lithium. Photographer: Logan Cyrus/Bloomberg Lithium prices in China halted a five-month slide on signs that demand growth among battery makers may finally gather pace. Chinese lithium carbonate ticked up 1.2% Wednesday, the first gain this year.
The drawn-out slump has squeezed producers' margins, forcing some to rethink expansion plans, reduce spending, or shutter facilities to weather the downturn. Tianqi said it has changed to a monthly pricing formula from quarterly for spodumene concentrate from its Talison project in Australia.
Tianqi said it has changed to a monthly pricing formula from quarterly for spodumene concentrate from its Talison project in Australia. The adjustment, introduced in January, was aimed at reducing “the adverse impact” from the discrepancy between the pricing cycle and the market spot price.
Why is Tianqi battling with sqm?
Along with the extremely volatile global lithium market, Tianqi and its rivals have had to contend with geopolitical and regulatory shifts as governments seek to safeguard access to resources. Tianqi has been mired in tensions with SQM, in which it's the second-largest shareholder, over the planned tie-up between the Chilean company and Codelco.
How much money did Tianqi make in 2023?
The company made a profit of 7.29 billion yuan in 2023. Tianqi's shares fell as much as 3.5 per cent, before erasing losses to close 1.3 per cent higher at HK$23.20. The Hang Seng Index rose 1.9 per cent.