During the first six months of 2025, the lithium battery sector continued to grapple with cyclical mismatches in supply and demand. Market competition escalated, industry restructuring accelerated, and corporate performances exhibited marked disparities. Within the upstream sector of the industry chain, fluctuations in lithium prices posed significant challenges to corporate profitability, with self-sufficiency rates for resources and cost control capabilities emerging as pivotal determinants of success. Tianqi Lithium successfully lowered production costs by absorbing high-priced inventories and incorporating newly acquired lithium concentrates, positioning itself to transition from losses to profits in the first half of the year. Yongxing Materials, boasting a high self-sufficiency rate for lithium mines, displayed robust resilience, achieving a net profit of 401 million yuan in the first half. Ganfeng Lithium, leveraging its integrated layout, effectively mitigated cyclical fluctuations, resulting in a year-on-year narrowing of losses. Conversely, lithium salt manufacturers such as Shengxin Lithium Energy and Jiangte Motor encountered heightened short-term pressures, with the extent of their losses widening in the first half of the year.