Lithium hexafluorophosphate (LiPF₆) is a key electrolyte salt used in lithium-ion batteries, particularly for electric vehicles (EVs), consumer electronics, and energy storage systems. Production involves a complex process that requires lithium fluoride, phosphorus pentachloride, and hydrogen fluoride, often under tightly controlled conditions due to the compound’s corrosive and reactive nature. LiPF₆ prices are known for high volatility, largely tied to fluctuations in lithium raw materials (like lithium carbonate and hydroxide) and demand from the battery sector. Prices surged in previous years due to lithium shortages and supply chain stress, but have since corrected as new capacity has come online.