SHANGHAI, Sept. 27 (SMM) – A recent SMM survey of 20 major domestic electric wire and cable producers revealed most producers expected wire and cable demand to stay stable in October.
As high as 80% producers in the survey believe wire and cable demand during October will basically be flat with September levels. As copper prices have been weak recently, orders at electric wire and cable producers, especially those large-sized producers, from China Southern Power Grid (CSG) and State Grid Corporation of China (SGCC) are growing, keeping producers optimistic towards orders during October. However, orders for wires used in construction, enameled wires and electronic wires are unlikely to increase in October due to sluggish downstream consumption, in addition to impacts from unclear economic trends both at home and abroad.
Only 5% producers believe October orders will turn better, since they are optimistic towards downstream consumption during September, which will be reflected in increasing orders in October.
The remaining 15% surveyed producers are unclear about October orders given uncertainties about copper price trends after China’s National Day holiday.