Lithium carbonate futures in China rose past the CNY 110,00 per tonne mark for the first time in 19 months as lower supply magnified the outlook of stronger demand. The Bureau of Natural Resources of Yichun, which includes the lithium mining hub in the Chinese Jiangxi province, stated it would cancel 27 mining permits early next year. The move was consistent with the earlier suspension of activity in CATL’s Jianxiawo lithium mine as the Chinese government aims to reduce capacity in many goods industries to prevent the ongoing race-to-the-bottom that has stirred deflationary pressures. Meanwhile, new energy vehicles in China rose 20.6% annually to record of 1.823 million units in November. Also, Beijing stated it would double EV charging capacity to 180 gigawatts by 2027, supporting lithium-rich energy storage systems with compensation mechanisms for power storage infrastructure.
