August 17 Scrap Battery Market Transaction Summary [SMM Daily Review]

SMM News, August 17:

Today, quotations from smelters and the recycling side in the waste lead-acid battery market remained stable. Recyclers judged current prices to be steady. With the traditional peak season approaching, most participants were waiting for further confirmation of changes in demand and supply. The survey showed that recycling has generally become more difficult across regions recently. Recyclers in east China, north China, southwest China, and other areas all reported significant fluctuations in daily average recycling volume. Tight supply was more concentrated at the retail outlet level. Some outlets showed a strong willingness to hold goods and have not been actively selling for the time being. Recyclers’ shipments were mostly characterized by quick in-and-out, with no stockpiling and no holding back cargo, and small recyclers were particularly cautious; a few recyclers, based on peak-season expectations, temporarily slowed shipments and moderately accumulated inventory. In Henan, some smelters still had situations of holding back cargo, but this was mainly concentrated in hydropower batteries, as the sampling and water-draining process is time-consuming; for dry batteries, there was basically no issue of holding back cargo, and circulation was relatively smooth. Scrap battery prices are expected to remain stable in the short term, with a wait-and-see stance. Going forward, attention should be paid to the extent to which the peak season materializes, the release of supply from retail outlets, and changes in smelters’ procurement demand.