SMM analysis on China June molybdenum concentrate output and July forecast

According to SMM, China's molybdenum concentrate production in June was approximately 17,200 mt, down 1.8% MoM.

In June, molybdenum concentrate production held relatively stable, mainly due to the following factors. Domestic molybdenum market demand stabilised, and molybdenum prices stayed high, encouraging producers to maintain high output amid considerable profit margins. However, in regions like Hebei, tightened environmental protection-related controls limited the output of some private molybdenum mines, leading to a reduction in molybdenum concentrate production.

Entering July, environmental protection-related restrictions on the output of molybdenum mines will continue, and large molybdenum mines in Northeast China have maintenance plans. Therefore, it is expected that molybdenum concentrate production will continue to decrease slightly in July.