Spot Copper Cathode Premiums in North China Under Pressure

Middle East Air Conditioning Market: Restocking Demand Concentratedly Released as Conflicts Ease. Regional geopolitical conflicts have eased in phases, trade and logistics order has been restored, releasing previously pent-up restocking demand; coupled with the implementation of large-scale infrastructure projects in various countries driving demand for commercial equipment, and the iteration of regional energy efficiency regulations accelerating the replacement of old products, further boosting the growth in import stockpiling.

Air Conditioners in Southeast Asia: Market demand is steadily recovering. Affected by the El Niño climate, extreme high temperatures frequently hit Southeast Asia, continuously activating residents' rigid cooling demand. Combined with accelerating urbanization, expanding commercial and industrial supporting facilities, sufficient destocking of end-user inventories, a recovery in dealers' willingness to restock, and ample room for penetration rate growth, this supports the steady rise of regional demand.

ChinaIOL monitoring data shows that in May 2026, China's household air conditioner production was 18.74 million units, down 10.0% YoY; sales were 19.58 million units, down 11.1% YoY; of which exports were 7.58 million units, down 4.2% YoY; and domestic sales were 12.00 million units, down 15.0% YoY. Production and sales continued to decline. Affected by the domestic end-use market climate, the YoY decline in domestic sales widened significantly. Under inventory pressure, production was proactively reduced to start destocking.