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Home / Metal News / Operating Rate at Chinese Aluminum Wire and Cable Producers Slides to 59.11% in May 2014

Operating Rate at Chinese Aluminum Wire and Cable Producers Slides to 59.11% in May 2014

Jun 24, 2014 16:06

Source:SMM

Average operating rate at Chinese aluminum wire and cable producers slid to 59.11% in May, Shanghai Metals Market survey showed.

SHANGHAI, Jun. 24 (SMM) – Average operating rate at Chinese aluminum wire and cable producers slid to 59.11% in May, Shanghai Metals Market survey showed.

Some producers cut output since demand from the power sector did not grow markedly, while others rejected some orders as banks have tightened lending. Both factors sliced 4.35 percentage points off April’s average operating rate, SMM learnt.

Although the State Grid Corporation of China (SGCC) announced bid winners in May, the immediate boost for orders at surveyed wire and cable producers was limited. This is because delivery deadline is months later or as late as the end of this year, SMM survey showed.

Cash-starved SMEs, in particular, are focusing their marketing on the housing and infrastructure sectors against payment delays from the SGCC.

operating rate survey

China aluminum wire and cable producer operating rate

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