Power, NEV markets slow YoY decline in Feb operating rate at copper plate, strip, foil plants

Published: Mar 13, 2019 15:42

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Compared to Feb 2018, the rate edged down 0.25 percentage point last month

SHANGHAI, Mar 13 (SMM) – Seasonal factors significantly impacted February's operation of domestic producers of copper plate, strip, and foil from January, but on a yearly basis, operating rates only dipped, supported by the electronic and new-energy vehicle (NEV) markets.

Operating rates across those producers stood at 46.91% in February, down 19.76 percentage points from January. Compared to February 2018, the rate edged down 0.25 percentage point last month, after it slid by nearly 10 percentage points year on year in January.

In February, producers reported robust orders from the downstream power, electronic, and NEV sectors, SMM learned.

The ratio of raw materials inventory to output at producers stood at 25.06% in February, up 6.23 percentage points from January, as CNY closures cut output in February.

For March, SMM expects operating rates across plants of copper plate, strip, and foil to rebound by 25.38 percentage points from February, to 72.29%, as producers return from holidays. However, slower recovery of downstream demand and overall weakness in the domestic economy will cap actual gains in the rates.

SMM surveyed 21 domestic producers of copper plate, strip, and foil in February, with capacity of 1.27 million mt.

Operating rates Copper plate strip and foil

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

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