Copper Inventories in China's Major Regions Continued Destocking for the Fourth Consecutive Week Over the Weekend [SMM Weekly Data]

SMM April 7 News:

Data Brief: As of Tuesday, April 7, SMM copper inventories across major regions nationwide decreased 14.98% WoW from last Monday, with all regions continuing destocking.

Specifically, in Shanghai, although a small amount of imported copper arrived, pre-holiday warehouse withdrawals performed well, and combined with a significant reduction in domestic copper inflows recently, overall inventory pulled back. In Jiangsu, inventory trends stabilized with relatively small fluctuations. In Guangdong, cargo arrivals remained limited, while end-use consumption stayed robust, driving continued inventory declines.

Outlook: imported sources are arriving at ports steadily, domestic supply remains tight, and overall market supply still appears constrained. Demand side, downstream buyers mainly made just-in-time procurement, with overall consumption slowing down slightly compared to the previous period. According to survey data, the weekly operating rate of copper cathode rod is expected to drop to 82.58% this week, down 1.01 percentage points WoW. Considering both supply and demand sides, the market has formed a pattern of "tightening supply and phased consumption slowdown." Social inventory is expected to continue destocking this week, but the destocking pace is expected to slow down.