CATL (03750) fell nearly 6% in Hong Kong trading, declining 5.82% to HK$502 by the latest update, with a turnover of HK$876 million. The drop comes as Zimbabwe moves to tighten exports of lithium concentrate, causing lithium carbonate futures to surge over 11% earlier in the day, reaching a high of 187,700 yuan per ton. According to CITIC Securities, the export ban on lithium ore from Zimbabwe is expected to exacerbate short-term supply shortages of lithium carbonate in China, potentially leading to a significant increase in lithium prices. In a recent report, CLSA noted that CATL's stock performance has been subdued since the start of the year, suggesting that the weak share price has largely priced in recent headwinds, including slowing electric vehicle sales in China, rising lithium prices, and reduced value-added tax rebates for battery exports.