CATL has suspended production at its Jianxiawo mine in China’s Jiangxi province for at least three months, people familiar with the matter said at the weekend, after its mining license expired on Aug 9.
Chinese lithium prices and shares of Australian-listed producers of the metal jumped after Contemporary Amperex Technology Co suspended activity at a major mine, spurring hopes of wider output curbs as Beijing cracks down on overcapacity across the economy.
The lithium industry has been struggling with a global supply glut and slower-than-expected electric-vehicle demand growth. Prices hit a record high in 2022 but have collapsed nearly 90% since then, forcing companies worldwide to rein in spending and delay expansions.
