Affected by Multiple Factors, the Supply of Reduced Lead is Expected to Decline

SHANGHAI, Dec 5 (SMM) - Affected by multiple factors, the supply of reduced lead is expected to decline. Secondary lead smelters in north-west China reduced the production as the pandemic affected the procurement of battery scrap. Some smelters in north China either reduced or suspended the production. Amid the approaching cold weather in Inner Mongolia, many secondary lead smelters said that the energy consumption increased. At the same time, it was difficult to purchase battery scrap. As such, secondary lead smelters may take holidays in advance starting from the mid or late-December. A secondary lead smelter in central China stopped the production due to equipment failure in the early stage and is expected to resume the production over the past weekend. After resuming the production, the daily output of the smelter is expected to stabilise at 500-600 mt. Smelters in Hubei and Hunan said that although the pandemic affected the procurement of battery scrap, the production remained normal. The production capacity of secondary lead in east China was large and most smelters produced normally, hence the supply of reduced lead was relatively stable. SMM will pay attention to the impact of the pandemic, raw material prices, extreme low temperature, and production resumption on the supply of reduced lead.