General Administration of Customs: China's April Copper Cathode Imports Hit a Near Six-Month High as Exports Continued to Pull Back

According to online query data from the General Administration of Customs, China's copper cathode imports in April totaled 315,798 mt, up 5.2% YoY and up 13.04% MoM, the highest since October last year. The main increase was contributed by the Congo, whose monthly shipments surged by nearly 50%, while Kazakhstan's supply also increased and Russia's supply pulled back.

Previously, China's import window opened intermittently. Demand was already strong in the traditionally robust April, and with domestic copper prices hovering below the 100,000 mark, downstream procurement demand warmed overall. Among them, non-registered and non-standard brand cargoes from the Congo had price advantages and good liquidity, making them popular in the market, with increased inflows. In addition, Q2 is the peak maintenance season for domestic smelters, and the market had expectations of a decline in China's copper cathode production. NBS data showed that China's copper cathode production in April fell 4.6% MoM to 1.269 million mt, confirming the pullback in production, and China's import demand picked up.

Recently, domestic demand has cooled somewhat, and the copper cathode import window has opened intermittently. However, affected by geopolitical tensions in the Middle East, sulfur imports in African countries such as the Congo have been impacted. Attention should be paid to the subsequent effects on local SX-EW copper production and whether it will impact their copper cathode exports.

Data source: General Administration of Customs

　(Wenhua Composite)