Firm battery scrap prices, weak lead prices weigh on secondary lead smelters

Published: Jun 26, 2019 17:52
Prices of battery scrap dipped no more than 50 yuan/mt when SHFE lead prices tumbled below 16,000 yuan/mt on Jun 21

SHANGHAI, Jun 26 (SMM) – Chinese secondary lead smelters have seen their profits narrowed by weak lead prices and firm prices of battery scrap.

SMM learned that major smelters who purchase battery scrap to produce secondary refined lead currently see extremely thin profit margins, and that small and medium-sized smelters who produce lead bullion with battery scrap as feedstock are at the breakeven level.

A low season for battery replacement tightened supplies of battery scrap across the market, and kept prices firm.

SMM assessments showed that prices of battery scrap dipped no more than 50 yuan/mt when Shanghai lead prices tumbled below the key 16,000 yuan/mt level on Friday June 21.

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