Singapore, Feb 28, 2026, 02:38 SGT — The market is closed.
- China’s lithium carbonate futures spiked, reacting to Zimbabwe’s suspension of exports for raw minerals and lithium concentrates.
- Lithium-linked shares jumped in China, Australia, and the U.S., traders reacting to signs of tightening supply.
- Eyes are on Zimbabwe as investors await fresh direction on export permits, while China futures are due back online March 2.
Lithium prices shot up in China this week, jolted by Zimbabwe’s abrupt halt on raw mineral and lithium concentrate exports. The surprise move unsettled battery-metal markets and triggered gains in lithium stocks in multiple regions.
The timing is key. Zimbabwe now counts as a significant source of spodumene concentrate, the lithium-rich ore that goes into battery chemical production. China, for its part, depends on outside feedstock to turn out lithium carbonate and hydroxide.
Traders, too, entered the headlines with a similar tilt. Lithium’s rebound was underway, driven by talk that grid-scale energy storage could start absorbing extra supply—even as EV demand continued its patchy run in certain regions.
The lithium carbonate contract with the highest trading volume on the Guangzhou Futures Exchange shot up 6.07% to 178,020 yuan ($26,043) a metric ton by 0330 GMT Thursday. Earlier, it had surged over 9% to hit 187,700. Zimbabwe exported 1.128 million tons of spodumene concentrate in 2025, most of that headed for China. A sudden halt to those exports instantly rattled the market, raising concerns about supply.
Shares of lithium producers tracked the broader market swings. Tianqi Lithium jumped up to 7.3% in Hong Kong, Ganfeng tacked on 5.6%. In Australia, PLS Group popped as much as 7.6% and Mineral Resources advanced 6%. Across the Pacific, Sigma Lithium finished up 30% in the U.S., with Albemarle rallying 10%. CRU Group’s Cameron Hughes pointed to “the higher lithium price and continuous illegal shipments” as likely drivers behind the shake-up, while Jefferies, in a note, flagged that the Zimbabwean order could create a brief tightening in the market. Mining
Sichuan Yahua Industrial Group has kicked off construction on a lithium sulfate facility in Zimbabwe, marking the company’s move in line with the country’s strategy to boost higher-value processed exports. Yahua signaled to investors that it’s waiting on approval to restart shipments, saying in a report that green light could come within two weeks.
Companies didn’t all react alike to the policy jolt. A handful of China-listed miners operating in Zimbabwe played down the fallout in local press, insisting that producers who tick the right boxes could still get export permits—just with more paperwork. Yahua reported it already moved concentrate out, while Sinomine paused shipments, waiting for more clarity. Shares in Yahua, Sinomine and Huayou Cobalt slid that day, illustrating just how fast the mood can pivot from fears of a “supply squeeze” to hopes for a “policy exception.” Yicai Global
Bulls face a real risk here: if Zimbabwe lays out a permit system that gets big miners moving again, the rally could lose steam fast. The same goes if China’s futures market cools off after the initial wave of headline-driven buying. It’s not just about what’s announced—it’s the actual paperwork and enforcement that matter.
Right now, the policy message is clear. Lithium sulfate—an intermediate that later becomes battery-grade lithium carbonate or hydroxide—requires significant time and investment to upgrade. If export curbs go into effect before fresh processing plants come online, the market risks tightening.
When markets open after the weekend, eyes turn to Zimbabwe’s mines ministry for any updates. China’s lithium carbonate futures are also back on Monday, March 2, giving investors the next clear signal.
