Overview

• CATL suspended operations at its Jianxiawo (Yichun) lithium mine after its August 9 permit expired and said it will resume production once renewal is approved
• Lithium carbonate futures on the Guangzhou exchange hit the 8% daily limit and shares of key producers such as Albemarle and SQM surged double digits
• Analysts at Morgan Stanley and others warn the outage could erode a modest 2025 surplus of about 60,000 tonnes and bring short-term upside risk to prices
• Yichun regulators have ordered eight local miners to submit detailed reserves reports following compliance audits, signaling broader enforcement across the region
• Unnamed sources indicate the suspension may last at least three months, though neither CATL nor authorities have confirmed that timeline