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Average Operating Rate at Scrap Copper Smelters Down to 45.4% in July, Scrap Copper Inventories Remain Low (Sample: 17)

iconAug 10, 2012 11:36
Source:SMM
SMM’s latest survey found that the average operating rate at scrap copper smelters continued to fall in July, down to 45.4%.

Shanghai, Aug. 10 (SMM) - Operating Rates: SMM’s latest survey found that the average operating rate at scrap copper smelters continued to fall in July, down to 45.4%. Although the amount of scrap copper recently arriving at Chinese ports has increased, most shipments consisted largely of scrap wire and other low-quality scrap. Supplies of #2 scrap copper, the input favored by scrap copper smelters, remained very tight. Scrap copper smelters quoted processing fees for #2 scrap copper of between RMB 1,200-1,500/mt over the past week, but added that actual purchasing was extremely difficult. The high prices commanded by scrap copper continued to generate losses for scrap copper smelters, forcing more SME smelters to cut back production further. Nevertheless, some medium and large scrap copper smelters increased scrap copper purchase volumes to remain in operation, causing their average operating rate to remain stable in July.

Orders: SMM’s latest survey confirmed that scrap copper smelters kept scrap copper inventories low through July. Tightness in the supply of scrap copper did not improve in July as most cargo-holders chose to hold back goods in anticipation of higher prices in the future. This actually helped scrap copper prices remain firm. Incurring losses, few scrap copper smelters evinced much interest in buying scrap copper in July. 
 

scrap copper smelters
scrap copper

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