HK Stock Market Move | Ganfeng Lithium Group (01772) fell more than 4% due to suspected insider trading cases being referred for prosecution, and lithium carbonate futures continue to decline.

Ganfeng Lithium Group (01772) fell more than 4%, falling 4.11% to HK$52.55 as of the time of publication, with a turnover of HK$2.34 billion. On the news front, on the evening of December 29, Ganfeng Lithium Group announced that it had received a notice of prosecution from the Yichun Public Security Bureau on December 29, notifying the company of the transfer of the case to the prosecution authorities for review and prosecution for suspected insider trading. Ganfeng Lithium Group stated that as of now, all of the company's production and business activities remain normal and orderly. The matter involved in this case is a specific historical event that the company has previously disclosed, and is not expected to affect the company's normal production and operations. It is reported that the insider trading case involving Ganfeng Lithium Group mainly involves trading in the shares of another lithium industry company, Jiangxi Special Electric Motor. In addition, the price of lithium carbonate rose and then fell yesterday, with a halt in trading at the close, and a sharp drop in lithium carbonate futures this morning, down nearly 6% to HK$119,200 per ton as of the time of publication. Huatai Futures pointed out that sodium battery substitution has become a new topic, as the significant rise in lithium carbonate prices has made sodium batteries economically viable again, especially in the energy storage sector, potentially replacing some demand for lithium batteries in the future. Overall, recent fluctuations in lithium carbonate prices have been largely influenced by news and capital factors, with little change in the fundamental situation, and lithium carbonate supply is expected to remain slightly in excess by 2026.