On September 4, TIANQI LITHIUM fell 3.04% in regular trading, trading at 35.12 HKD/share, with turnover of HKD 110 million. The decline reflects continued pressure from the reinstatement of lithium battery consumption tax effective September, compounded by expectations of weakening lithium prices in the second half.
On the policy front, lithium battery consumption tax collection resumed from September at the prevailing 4% rate, significantly increasing the tax burden on battery manufacturers. Market concerns over profit margin transmission across the supply chain have continued to intensify. Meanwhile, the advancing restart of Jiangxi lithium mines and lingering expectations of a sequential decline in lithium prices in H2 have kept the broader sector under pressure.
Despite TIANQI LITHIUM reporting robust first-half results on August 27 — revenue of RMB 12.242 billion, up 153.32% year-over-year, and net profit of RMB 4.242 billion, surging 4,925.46% — the market remains cautious about the sustainability of such earnings momentum amid rising supply-side headwinds. GANFENG LITHIUM, a peer in the Specialty Chemicals sector, fell 3.35% on the same day, reflecting broad-based weakness across lithium mining stocks.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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