China August Copper Cathode Production Guidance May Be Lowered amid Potential Power Rationing

SHANGHAI, Aug 10 (SMM) – Due to rarely high temperature across China, the power stations are generally extremely overloaded, summoning power rationing again in 2022. As far as SMM understood, the operating rates of both refining and smelting capacities of a copper smelter in Zhejiang have been greatly constrained, and the supply shortage of anodes brings further pressure to some smelters.

As such, domestic copper cathode production guidance in August is likely to be lowered amid pressure. Previously SMM has set the August copper cathode production guidance at 892,100 mt, up 6.2% MoM and 8.9% YoY.

In addition, sulphuric acid prices dropped steeply across the country, and the market players are increasingly worried about the potential overstocking of sulphuric acid, disturbing the expected copper cathode production growth.