SHANGHAI, Apr 15 (SMM) – Operating rates at lead-acid battery producers across Jiangsu, Zhejiang, Jiangxi, Hubei, and Hebei provinces inched up 0.69 percentage points from the previous week and averaged 55.55% in the week through Friday April 12, showed SMM data on Monday April 15.
Production across battery producers last week recovered from the Qingming Festival holiday, and this lifted operating rates.
But weaker orders limited gains in operating rates. A continued low consumption season and sharp declines in lead prices grew risk aversion among domestic distributors, who scaled back procurement. This, together with fewer orders from foreign buyers, forced some battery producers to slash production.
Operating rates across lead-acid battery producers in the five regions are expected to hold stable this week, but producers might cut lead purchases as the new national standards for electric bikes are likely to reduce demand for lead-acid batteries.