RCs of imported blister copper up through Jun

LME base metals closed mixed in the overnight trading last Friday, as the expanding inflation and rising US dollar weighed on the market, but short supply still supported the prices. SHFE metals basically went down.

LME and SHFE non ferrous metals all declined in yesterday’s overnight trading as Fed officials implied to raise interest rates in advance and increased the excess reserve ratio.

Jiangxi Copper and Chambishi, a Zambian blister copper producer under China Nonferrous Metal Mining Group, set the benchmark refining charge (RC) for imported copper anode at $145/mt cif, in their 2021 long-term contracts, rising significantly from the $128/mt in 2020, which indicates market expectations of ample blister copper supply in the future.

Mainstream refining charges (RCs) of domestic blister copper stood at 1,450-1,550 yuan/mt in December, delivery to factory, an average increase of 25 yuan/mt from the previous month.

This will intensify a shortage in China’s blister copper market after more smelters in the north underwent annual maintenance

China imported 86,400 mt of copper anode in Jan, up 61% month on month and 22% year on year

As of Mar 1, RCs for imported blister copper were mostly offered at $175-185/mt cif

As of Wednesday Feb 13, RCs for domestic blister copper were mostly offered at 1,500-1,600 yuan/mt

Imported blister copper RCs were mostly offered at $145-155/mt cif as of Monday

Environmental restrictions, falling prices of copper continued to limit supplies and refining charges for blister copper