BEIJING: China’s copper cathode output in June was little changed from May, state-backed research house Antaike said on Monday, as some smelters shut down for maintenance even as others lifted output.
Production at 22 smelters surveyed by Antaike, accounting for 83% of China’s total capacity, was at 777,000 tonnes, up by 0.3% from a revised 774,600 tonnes in May.
Smelters in the northwestern region Xinjiang, as well as eastern Zhejiang and Anhui provinces, began planned maintenance last month, while some extended the periods they went offline amid poor margins in the world’s top copper smelting nation.
Copper prices plunged to 20-month lows last Thursday as persistent concerns about recession dampened metals demand.
Copper steady as softer dollar offsets China demand fears
Some smelters had however increased production, expecting profits to improve as COVID-19 curbs were lifted.
In the first half of 2022, the surveyed smelters made 4.62 million tonnes of copper cathode, up 2.11% on an annual basis, it added.
It expects July output to reach 803,000 tonnes as reasonable refining charges and high sulphuric acid prices will bolster smelters’ willingness to ramp up their production.
China’s top copper smelters set their floor treatment and refining charges (TC/RCs)for copper concentrate in the third quarter of 2022 at $80 per tonne and 8 cents per pound.
Comments
Comments are closed.