FOCUS: Tight supply amid Coronavirus crisis, high raw material prices underpin cobalt sulfate price

Tight spot availability, mainly resulting from the extended Chinese New Year holiday, as well as transportation disruptions during the Wuhan coronavirus outbreak have underpinned the cobalt sulfate price in China.

Fastmarkets’ price assessment of cobalt sulfate 20.5% Co basis, exw China rose to 52,000-53,000 yuan ($7,456-7,600) per tonne on Wednesday February 5, up 4% from 50,000-51,000 yuan per tonne previously. Battery raw material prices have been intact ahead of and during the Chinese New Year holiday – from January 24 to February 2.
Some refineries are not expected to resume operations until February 10 after several local provincial governments extended the Chinese New Year holiday for another one week. In Hubei province, the region the virus has affected most, certain refineries are yet to receive any definite timeline for operations to restart.
Though a small number of refineries did not halt operations during the Chinese New Year holiday, existing stocks are comparatively limited.

The transportation disruptions, resulting from...

Published

Susan Zou

February 06, 2020

06:40 GMT

Shanghai