Shanghai, Feb 27, 2026, 03:25 CST — The market has closed.
China’s lithium prices spiked Thursday, reacting to Zimbabwe’s move to halt exports of both raw minerals and lithium concentrates. That’s amplified supply concerns for a market already stirred up by strong energy-storage demand. Lithium carbonate futures in Guangzhou—this contract is the exchange’s most active—jumped 6.07% to 178,020 yuan ($26,043) a metric ton as of 0330 GMT, after hitting 187,700 yuan earlier.
The mines ministry in Zimbabwe has slapped an immediate suspension on lithium concentrate exports, halting even shipments already in transit. The freeze is indefinite, superseding the earlier plan to phase out exports by 2027. Last year, the country exported 1.128 million metric tons of lithium-bearing spodumene concentrate, mainly heading to China, spurred by investment from Zhejiang Huayou Cobalt and Sinomine, among others. Huayou recently poured $400 million into a new plant for turning lithium concentrate into lithium sulphate. Not to be outdone, Sinomine is lining up a $500 million sulphate facility at its Bikita operation.
The move comes as battery demand tightens the market again, driven by both power grid and EV needs. Last year, Zimbabwe supplied roughly 10% of the world’s mined lithium, and made up about 19% of the lithium concentrate imported by China, according to a note circulated among market participants. Lithium producer shares rallied beyond mainland China. “The higher lithium price and continuous illegal shipments are likely driving factors for why the overhaul is happening now,” said Cameron Hughes, analyst at CRU Group. Mining
Shares of miners with stakes in Zimbabwe slipped in China as traders weighed uncertainty around the new permit rules. Yahua Industrial Group dropped 8.8% to 26.44 yuan. Sinomine Resource Group lost 4.8%, closing at 87.59 yuan. Huayou Cobalt finished down 0.8% at 76.88 yuan. All three told reporters they’re still evaluating the situation and waiting for firmer guidance from authorities.
Zimbabwe’s Mines Minister Polite Kambamura, speaking to reporters in Harare, said the export ban remains “until further notice.” He made clear the restriction would be lifted solely if miners meet the government’s requirements. Moneyweb
Benchmark Mineral Intelligence flagged the suspension as open-ended, arriving just as analysts see the global lithium market staying tight through 2026. Supply and demand should be roughly in balance by then, so it’s tough to gauge exactly how much Zimbabwe’s halt will impact overall flows this early after the move.
Lithium carbonate, crucial for batteries, trades on the Guangzhou Futures Exchange in 1-metric-ton contracts. Traders and a few industry players tap the contract to manage price volatility.
Even so, a policy announcement doesn’t automatically halt shipments. According to some miners, material has either already left Zimbabwe or there’s still a way to secure export permits—as long as they’re ready with additional paperwork. That could blunt the impact of any immediate supply disruption.
Bulls face a sharper threat if Harare limits the crackdown to unauthorised traders, rather than cutting off licensed exports—what starts as a panic could snap back into a short squeeze, only to fizzle out. Lithium’s track record? That sort of move is typical.
Looking ahead to the next China session, traders are waiting on Zimbabwe to issue a follow-up about export permits, and they’ll be watching closely for any indication of delays in shipments bound for Chinese refiners. Mainland markets are set to open at 9:30 a.m. local time.
