China Cu Products Apparent Consumption Data Analysis in June 2013

SHANGHAI, Jul. 29 (SMM) – 

Refined copper apparent consumption during June was 826,800 mt, up 12.86% YoY. Refined copper apparent consumption during the first six months of 2013 was 442 million mt, down 4.12% YoY. The 27.22% year-on-year drop in refined copper imports had a severe negative effect on apparent consumption. Domestic copper inventories have been falling since March, and after a fourth consecutive month of declining inventories, coupled with the shift to refined copper by some smelters which previously used scrap copper as raw material, should cause refined copper actual consumption to grow by 7.5% YoY during 1H 2013. 

 

Copper semis apparent consumption during June was1.38 million mt, up 9.18% YoY. YTD refined copper apparent consumption through June was 6.91 million mt, also up 15.63% YoY, and even higher than the 12.99% YoY growth a year ago. Due to strong demand from the home appliance sector, the average operating rate at copper tube/pipe producers during 1H 2013 was 80.87%, up 5.67% YoY. Overall operating rates at copper cable and wire producers were also stable despite significant growth of capacity. Orders at copper tube/pipe, plate, sheet, strip and foil producers were down in July due to the season low demand period, however, so copper semis apparent consumption is expected to fall as well.