How do Copper Downstream Industries Perform as Year-End Approaches [SMM Analysis]

As the year-end approaches, various industries have entered a critical phase of annual review and future planning. In the fields of power construction, infrastructure, and real estate development, companies are facing different market challenges. This article analyzes the current situation of several typical enterprises as follows:

Company A (Power Construction): Before the year-end, the focus is mainly on continuing ongoing projects. We are actively bidding for new projects, but progress is slow. In the short term of a few months, the situation is expected to remain stable, with few new projects coming in. Some projects need to be completed by the year-end.

Company B (Power Construction): New projects and ultra-high voltage power construction projects are being launched successively, while some projects are nearing completion. The outlook for Q1 next year is relatively optimistic.

Company C (Infrastructure): Currently, there is no news of new land acquisitions. Ongoing projects are progressing slowly, with the second phase project expected to be completed in H2 next year. Our overall operating rate this year was greatly affected by project progress, but expectations for next year are better than this year.

Company D (Infrastructure): No new projects are planned to start before the year-end. The sales of completed and delivered projects are good, with rapid capital recovery. Next year's plan is to maintain this year's level, with increased investment in cultural tourism and improved housing.

Company E (Real Estate Development): The current urgent situation has not improved, and the industry conditions are not expected to change quickly. Projects remain the same as before, with no new projects likely to come in by the year-end. The workforce is decreasing, and both procurement and sales are performing poorly. The outlook for next year is not optimistic.

Company F (Real Estate Development): Ongoing projects are progressing slowly. Projects originally planned for completion at the end of this year will be delayed until mid-next year. Financial constraints have been persistent, and market conditions are not good. The discounted sales of inventory houses in Weihai are also poor. The Chinese New Year break is expected to be extended this year.

Company G (Real Estate Development): There are 6 projects under construction, but progress is intermittent, making it difficult to define the operating rate. Land acquisition has been poor, but housing sales are relatively stable, possibly slightly better in first-tier cities.

In summary, in the power construction and infrastructure sectors, some companies have made positive progress in bidding for and starting new projects at the year-end, laying the foundation for next year's development. Meanwhile, other companies have had to slow down project progress and land acquisition plans due to poor market conditions and financial constraints. In the real estate development sector, companies are facing slow project progress, financial constraints, and no significant improvement in sales under the poor industry environment. Most companies have pessimistic expectations for next year.

Additionally, as an important supporting industry for these sectors, the wire and cable industry has shown some volatility in market performance. According to SMM, although industry orders for the wire and cable industry rebounded better than expected in November, entering December, the production efficiency of wire and cable enterprises is expected to slow down due to cold weather and year-end account closures of some customers.