A sharp increase in cobalt prices, coupled with a clearer medium-term demand outlook for the market, has given sellers the upper hand in metal contract discussions - a distinct change since the start of the year - according to sources that spoke to Fastmarkets.
The demand picture has been brightened by strong demand from the electric vehicle (EV) market, complemented by the consumer electronics sector and some restocking. A tightness in the supply of cobalt hydroxide, typically used as a feedstock by these markets, has led to purchasing of metal units.Some sellers were concerned at the time, because some consumers did not want to discuss contracts at all, or were looking for shorter contracts and potentially lower...