How Environmental Protection Action Affect Chinese Copper Industry? SMM Reports

SHANGHAI, Dec. 12 (SMM) - China enhanced environmental protection inspections recently due to severe air pollution. What’s the impact on domestic copper industry?

SMM undertook a survey and found that the inspections barely affected large copper rod producers using scrap copper as raw material in Guangdong Province. These producers had put emphasis on environmental protection issue and taken related measures.

Copper rod producers using scrap copper in Hebei were significantly affected by environmental protection inspections December 1. Almost all such plants in the regions were shut down two weeks ago, SMM understands. Only those having environmental protection license restarted last week, and those without relevant license remained closed, a closure rate of 50%. Scrap copper disassembling was also dampened.

After the environmental protection inspection team entered Hebei December 1, almost all local scrap copper smelters were forced to shut down. Only Hebei Dawufeng Jianchang Copper Co. maintained production because its environmental protection facility met requirements. Hebei only has a small number of large scrap copper smelters. The shutdown of small scrap copper workshops barely had any impact on copper supply, SMM said.

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