Lithium hexafluorophosphate prices in the US remained largely stable in February, with only minor fluctuations recorded. Mid-February, prices dropped slightly, influenced by weak post-Lunar New Year holiday demand and cautious procurement by electrolyte producers. The cost stability of key raw materials, such as solvents and additives, also played a role in keeping lithium hexafluorophosphate prices steady. Despite price suppression efforts by battery manufacturers, the market remained resilient due to stable production and order-based supply from manufacturers.

In recent weeks, lithium hexafluorophosphate prices have shown little volatility, reflecting a play between supply and demand. In China, a major exporter to the US, electrolyte producers procured materials only as needed, keeping transaction volumes limited and preventing major price shifts. With an operating rate of approximately 36.87% in January, electrolyte production saw a 5-percentage-point decline from December. February's operating rates are expected to dip further to 34.81% due to slow recovery in end-use demand. Battery cell manufacturers continued to procure lithium hexafluorophosphate at stable levels, but overall market demand softened post-Chinese New Year, keeping price movements minimal.

Despite changes in lithium carbonate (upstream of Lithium hexafluorophosphate) values, suppliers maintained stable pricing strategies. Meanwhile, Chile projected a 7% increase in lithium production in 2025, reaching 305,000 tons, reinforcing global supply stability. However, a structural surplus is expected in the global lithium market, with an estimated oversupply of 89,000 tons in 2024 and 141,000 tons in 2025. Production cutbacks by lithium firms may slow supply growth, but the market remains in surplus.

Seasonal restocking has softened downstream demand for lithium hexafluorophosphate, potentially affecting short-term pricing trends. However, potential policy changes under the Trump administration could introduce unpredictability in the U.S. EV market, affecting incentives and trade policies for lithium-related products.

Tesla's dominance in the fully electric vehicle segment faced a decline, with its market share dropping from 55% in 2023 to 49% in 2024. The overall sales performance of EVs and plug-in hybrid vehicles remains uncertain, depending on potential policy shifts. The federal EV tax credit of up to $7,500 may be at risk under the new administration, which could impact lithium hexafluorophosphate demand. Any policy changes affecting EV adoption rates will directly influence the lithium hexafluorophosphate market in the USA.

According to the ChemAnalyst, looking ahead, lithium hexafluorophosphate prices are expected to fluctuate within a narrow range. While market stability is anticipated, potential raw material cost variations could lead to short-term price oscillations. The increasing demand for power batteries and ESS installations is likely to support market growth, despite uncertainties in the policy landscape. As battery manufacturers expand production and grid-scale energy storage projects gain traction, lithium hexafluorophosphate demand is set to rise steadily in the long term. The market will continue to navigate supply-demand dynamics, with global lithium production trends playing a crucial role in shaping future price movements.