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Rising Lithium Prices Lift Ganfeng and Tianqi – But Not Equally

Tianqi’s stock is getting a bigger lift from soaring prices for the key metal in electric car batteries as it continues to rebound from a debt crisis two years ago

A rising tide lifts all ships, but it may lift some more than others.

That seems to be the key takeaway judging from recent trends for two of China’s top lithium producers, which have benefited hugely over the last year from soaring prices for the metal that’s a key component in new energy vehicle batteries. Lithium prices have jumped about fivefold this year alone, providing a huge boost for all producers.

But as we said at the outset, some producers seem to be getting a bigger lift than others from this rising tide. We’ll explore that theme in more detail by taking a look at the latest profit alerts from Tianqi Lithium Corp. (9696.HK; 002466.SZ) and Ganfeng Lithium Group Co. Ltd. (1772.HK; 002460.SZ), which both came out nearly simultaneously after markets closed last Friday.

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