With the statutory Chinese New Year holiday approaching, SMM has gathered information on the holiday schedules of domestic Copper Bar market enterprises. Below is a summary and analysis of the specific situation:
I. Extended Holiday Periods with Significant Variations in Scale
According to SMM, most copper bar enterprises plan to take holidays between February 7 and February 12, with production gradually resuming on February 24 (the eighth day of the lunar new year). The holiday duration generally ranges from 12 to 17 days, longer YoY. Among them, large enterprises have about five fewer holiday days than small and medium-sized enterprises.
II. Significant Order Contraction, Weak Post-Holiday Expectations
Since January, copper prices have hovered at highs, and raw material cost pressure has continued to increase. On the end-use demand side, except for some support from the refrigeration sector, traditional industries such as valves and sanitary hardware have seen a noticeable decline in purchase willingness for brass billets due to difficulties in price transmission, leading to a continuous contraction in orders. Some small enterprises, facing high costs and difficulties in taking orders, began their holidays early from mid-to-late January.
Compared with the same period last year, stockpiling orders before this year's Chinese New Year have decreased significantly. Most enterprises reported that current high copper prices have intensified market wait-and-see sentiment, with downstream clients placing orders cautiously, resulting in a YoY decline in orders on hand for brass bar enterprises. Some enterprises saw order reductions of up to 50%.
For post-holiday production resumptions, enterprises generally expect a slow recovery in market demand. Initially, operations will focus on digesting existing inventory and completing a small number of orders. Large-scale raw material procurement and production are expected to be delayed until after the Lantern Festival.
III. Low Inventory Levels, Cautious Outlook for 2026
Faced with market uncertainties, most brass bar enterprises have adopted low-inventory strategies, avoiding significant stockpiling of raw materials or finished products before the holiday and maintaining light inventory operations.
Overall, the brass bar market in 2026 will continue to face multiple pressures, including high costs and weak demand. Traditional industries lack growth momentum, and enterprises generally maintain a cautious and pessimistic outlook for the full-year trend.
