SHANGHAI, Dec 10 (SMM) – Operating rates across China's copper rod producers stood at 76.85% in November, up 0.43 percentage point from October and up 4.4 percentage points from a year ago, an SMM survey found.
Annual targets pushed some copper rod producers to step up production in November. More overseas purchases for Christmas Day also buoyed operating rates across domestic copper rod plants.
In November, downstream orders for copper rods that used to manufacture enamelled wire remained weak, and this capped the increase in the overall operating rate at copper rod mills.
Year-end cash flow issues across producers and a bearish outlook on consumption kept in-plant stocks of raw materials unchanged on the month, SMM learned.
For December, SMM expects that domestic greater investment in the electric grid will extend the increase in operating rate by 0.67 percentage point from November to 77.52%.
SMM surveyed 25 domestic copper rod producers, covering capacity of 6.13 million mt.