Lithium demand in China has grown rapidly with the popularization of 3C electronics, electric vehicles, and other products. As an important part of the global processing of lithium products, China still relies on importing a vast majority of raw lithium materials, which significantly affects the supply security of China's lithium market. Therefore, this study used material flow analysis to analyze the supply and demand characteristics of China's lithium trading market from the trade material flow and industrial material flow. The results showed that that the import of lithium resources in China is mainly concentrated on lithium carbonate, which is the raw material for power batteries, and the import of lithium accounts for 72.5% of the consumption in China. With the increasing demand for lithium in China, secondary lithium recovered from end-of-life (EoL) batteries is expected to become an important lithium source.