SHANGHAI, Nov 8 (SMM) – China's output of primary lead in October inched down 0.45% from September and stood at 252,200 mt, in line with SMM's expectations. This is down 12.69% from a year earlier.
In January-October, overall output of primary lead fell 10.52% from last year and came in at 2.44 million mt, showed SMM data.
Maintenance at smelters in Henan and Liaoning provinces, as well as suspension at a large-scale smelter in Hunan province, dragged down overall output in October. The producer in Hunan suspended to upgrade its product structure.
However, some smelters continued to raise operating rate in October, in order to meet annual targets. Production resumed at Anhui Tongguan. Yunnan Chihong, and Western Mining last month. These limited the downward room in overall output.
SMM expects China's primary lead output to nudge up to 253,300 mt in November as smelters will come back to operation in Liaoning, Henan, and Shandong provinces after overhaul. Large smelters will maintain their high operating rates through the end of the year.
Uncertainties remain for any impact of the upcoming winter cuts on primary smelters. Environmental probes started to affect Henan and Hunan in November, and a large smelter in Henan planned to undergo maintenance in late November, SMM learned.
