SHANGHAI, Jul 18 (SMM) – China’s top copper smelters set their floor treatment charges (TCs) for the third quarter of 2019 in the mid-$50s/mt, down some $18/mt from the previous quarter, SMM learned on Thursday July 18.
The floor charges, the minimum that miners pay smelters to process their copper concentrate into refined metal, were finalised at a quarterly meeting of the China Smelters Purchase Team (CSPT) in Hunchun, in northeast China’s Jilin province on July 18. China is the world’s top copper consumer.
Spot copper concentrate TCs across Chinese markets have declined since 2019. Quotes for spot, clean copper concentrate stood at $54-58/mt as of July 12, SMM assessments showed.
Jiangxi Copper and Tongling Nonferrous, members of CSPT, last week reportedly agreed with Chilean miner Antofagasta to settle TCs for copper concentrate supply in the first half of 2020 in the mid-$60s/mt. This marked significant drops from $80.8/mt for 2019 annual contracts and $82.25/mt for 2018.