Primary lead smelter operating rate fell on maintenance

SHANGHAI, Oct 18 (SMM) – Operating rates across primary lead smelters in Henan, Hunan and Yunnan provinces averaged 57.7% in the week ended October 18, down 1.9 percentage points from the previous week, showed an SMM survey.

The operating rate in Henan dropped 6 percentage points to 70.2%, as Jinli and Wanyang smelters conducted maintenance.

The production decline was offset by Yunnan Mengzi smelter’s full recovery from maintenance. The operating rate across primary lead smelters in Yunnan rose 5.9 percentage points to 43.8% this week.

Operating rates at Hunan, meanwhile were stable at 45.5%.

Despite this week’s moderate decline, supply remained subdued as the spread between primary and secondary lead widened to 500 yuan/mt amid sluggish downstream consumption.