Seasonal lull lowers operating rates across lead-acid battery producers

SHANGHAI, Mar 29 (SMM) – Operating rates at lead-acid battery producers across Jiangsu, Zhejiang, Jiangxi, Hubei, and Hebei provinces lost 0.57 percentage point from the previous week and averaged 56.6% in the week through Friday March 29, showed SMM data.

A greater seasonal lull drove lead-acid battery producers to promote sales, and this kept operating rates lower on the week. 

With weak prices of lead, lower value-added taxes and new standards for electric bicycles and electric motorcycles in April, battery distributors stockpiled cautiously and this depressed orders at lead-acid battery producers. 

As the low season will extend into April, some battery producers are likely to cut their production schedule next month if their in-plant inventories of finished products continue to accumulate, SMM learned.