Tight supply underpins scrap battery prices, next week to observe changes in smelter procurement sentiment [SMM Scrap Battery Weekly Review]

SMM, August 7:

The scrap battery market remained largely stable this week, with purchase quotes from some smelters edging up slightly. A mid-week rise in SHFE lead prices triggered a brief recovery in market sentiment, prompting recyclers to sell into the strength, before the market returned to a cautious, wait-and-see mode. Losses at smelters and weak secondary lead transactions curbed raw material procurement appetite, suppressing both scrap battery purchasing volumes and the acceptance of high bids. However, limited growth in social supply lent support to prices. Next week, scrap battery prices are expected to remain steady with a mild upward bias. Attention should be paid to inventory changes in secondary lead, adjustments in smelter operating rates, and the fulfillment of demand expectations during the traditional peak season. If a marginal improvement in lead ingot consumption drives a rebound in lead prices, scrap battery prices are likely to follow in tandem.