(Yicai Global) April 19 -- Do-Fluoride Chemicals' stock price jumped after the Chinese firm said it will hike the prices of a major lithium battery material amid high demand.

Do-Fluoride's stock price [SHE:002407] rose by the daily limit of 10 percent to CNY20.93 (USD3.20) today.

Chinese buyers need to pay CNY30,000 (USD4,597) more per ton for lithium hexafluorophosphate and exports will become USD4,500 more expensive, the Henan province-based company said in a statement yesterday.

The electrolytic material makes up more than 40 percent of each lithium battery electrolyte's cost. Last August, prices of the raw material started surging amid the booming new energy vehicle market. Early that month, prices in China were still as low as CNY67,000 per ton.

Currently, lithium hexafluorophosphate prices range between CNY180,000 and CNY220,000 (USD33,751) per ton in China, according to a website under the China Industry Association of Power Sources.

Do-Fluoride receives orders for as much as 1,300 tons of lithium hexafluorophosphate per month, which is about 50 percent more than it can deliver, and the supply is expected to be tight for long, one of the firm’s senior managers said on the Shenzhen Stock Exchange’s investor relations platform early last month.

The company aims to raise its annual production capacity to 50,000 tons by 2025, the executive added. Currently, the firm can make 10,000 tons of the material per year while new plants should raise that by 5,000 tons in the second half of this year.

Editor: Emmi Laine, Xiao Yi