What is driving the recent surge in strontium carbonate prices in China?

What is driving the recent surge in strontium carbonate prices in China?
Strontium carbonate prices have climbed sharply since late 2024, from around 7,850 yuan/ton to 15,000-16,000 yuan/ton by March 2025, a gain of over 90-106%. Three supply-side shocks explain the rally. First, China's 2024 safety directive forced producers using batch carbonization to retrofit or shut down by March 2025, cutting nearly half of the country's 208,000-tonne capacity. Second, Hebei Xinji Chemical, a major producer with 60,000 tonnes of capacity, entered bankruptcy restructuring in October 2024. Third, Mexico's Kandelium, the world's second-largest supplier with 40,000 tonnes of capacity, halted output after a fire, and China sourced 51% of its 2024 imports from Mexico. Domestic production fell 16.15% year-on-year in January-February 2025, and with downstream demand from ferrite magnets and LCD glass steady, the supply gap is widening.