- Lithium Hydroxide markets weakened moderately during Q2’26 as expectations of recovering supply gradually outweighed support from earlier feedstock disruptions and tight inventories.
- Lithium concentrate disruptions initially supported production costs, but higher values encouraged idled supply to return, easing concerns over raw-material availability later in the quarter.
- Battery and electric-vehicle demand remained strong, although the growing adoption of lithium iron phosphate batteries limited demand growth for hydroxide-intensive high-nickel chemistries.
Asia
In China, the average Lithium Hydroxide price declined from ~USD 19661.88/MT (FOB) in April to about USD 18798/MT (FOB) in June, showing an ~4.39% decrease. In India, the average price fell from about USD 19711.88/MT (CIF) in April to ~USD 18885.7/MT (CIF) in June. Asian conditions entered Q2 with strong supply-side support following disruptions to lithium concentrate availability and continued uncertainty around Chinese mine production. However, the market gradually softened as elevated raw-material values encouraged producers to consider restarting idled capacity and buyers became less aggressive in procurement. China’s battery sector remained an important demand anchor, with power and energy-storage battery production rising 48.8% year on year during January-February 2026. Nevertheless, increasing adoption of lithium iron phosphate chemistry reduced incremental demand for hydroxide relative to carbonate, limiting sustained upward momentum.
Europe
In Germany, the average price moved down from ~USD 19787.88/MT (CIF) in April to ~USD 18919.6/MT (CIF) in June, showing an approx. 4.39% decrease. European Lithium Hydroxide conditions remained supported by import dependence and continued growth in battery-electric vehicles, but the market softened as global supply expectations improved. European refiners also progressed new domestic conversion capacity, reducing longer-term concerns over dependence on imported battery chemicals. Battery-electric vehicle registrations increased 27.9% year on year in May, supporting cathode-material demand, although the rising share of lithium iron phosphate batteries restrained hydroxide consumption.
North America
In the USA, the average Lithium Hydroxide price decreased from roughly USD 19748.88/MT (CIF) in April to ~USD 18953.1/MT (CIF) in June. North American conditions weakened moderately as improving global supply expectations offset continued battery-sector investment. Domestic supply-chain development advanced, but imported battery-grade material remained important during Q2. Demand from high-nickel battery manufacturing provided support, while increasing competition from lithium iron phosphate chemistry limited stronger hydroxide consumption.