Supply Tightens & Pre-Holiday Stockpiling: Secondary Lead Finished Product Inventories Continue to Decline [SMM Secondary Lead Inventory Weekly Review]

SMM, September 11:

As of September 10, secondary lead finished product inventories stood at 14,600 mt, down 5,200 mt MoM. Downstream battery enterprises have begun stockpiling ahead of the dual festivals, with just-in-time procurement seeing some increase; meanwhile, raw material shortages are constraining smelter output, and supply of some cargoes is tightening, supporting the decline in inventories. Looking ahead to next week, dual-festival stockpiling is still ongoing, but the shutdown of Inner Mongolia smelters is strengthening expectations of supply contraction. If downstream purchasing intensity holds, inventories may continue to run at low levels; once stockpiling winds down, the pace of destocking will slow.