Domestic cobalt market prices consolidated on January 5th.

On January 5, domestic metal cobalt quotations ranged from 445,000 to 466,000 CNY/ton, with prices fluctuating and consolidating. The cobalt market is in a consolidation phase, with slow growth in ternary battery production, installation, and sales, leading to a gradual increase in cobalt demand. The Democratic Republic of the Congo (DRC) government has introduced an export quota system, and the DRC has urgently suspended the operations of Huayou Cobalt's core copper-cobalt mine project. New regulations in the DRC require cobalt exporters to prepay 10% of mining royalties. Cobalt exports from China Molybdenum are recovering slowly, with formal shipments expected to resume in late January, alleviating the supply shortage in the cobalt market. Cobalt production costs are expected to rise, and cobalt miners may retain their 2025 DRC cobalt export quotas. Indonesia's new cobalt production capacity, along with cobalt recycling, partially compensates for the supply shortage. Overall, the cobalt market faces a general supply shortage. Rising prices of cobalt salts and lithium cobalt oxide continue to support the cobalt market. International cobalt prices remain strong and stable, providing support to the domestic cobalt market while reducing downside risks. Overall, the cobalt market has significant upward momentum, though downward pressure persists.