SHANGHAI, Apr 3 (SMM) – Operating rates across Chinese lead-acid battery plants edged lower this week as the COVID-19 pandemic overseas depressed export orders.
An SMM survey showed that operating rate across lead-acid battery producers in Jiangsu, Zhejiang, Jiangxi, Hubei and Hebei provinces averaged 65.03% in the week ended April 3, down 0.2 percentage point from last week.
Downstream demand for lead-acid batteries remained subdued, especially in the auto battery market, where the virus outbreak overseas weighed on export orders. Increase in new orders shrank significantly at battery mills in export-oriented areas such as Guangdong and Fujian, and some received orders have been delayed or cancelled. Those battery plants mulled output cut or suspension if orders fail to recover in the near term.
The demand for swapping electric bicycle batteries was also sluggish, and this saw inventory piling up at some battery companies. Most producers kept running below full capacity.
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