The Development Plan for the New Energy Vehicle Industry (2021-2035) suggests that average power consumption of new pure electric passenger vehicles should be reduced to 12 kwh/100 km, sales of new NEVs should reach 20% of total new vehicle sales

China has recently released the winter heating season policies for 2020/21, and while the initial view is that supply disruption may be less this year, there are still question marks over the impacts on demand.

Sellers of spot copper cathode cut offers on the morning of Friday May 8 as they were keen to cash in while a further rally in copper futures sidelined downstream consumers. 

Domestic demand for raw materials increased following the return of cobalt salt producers in March, and this led to the rebound in imports. It is understood that cobalt raw materials delivery to smelters resumed at the beginning of March and more than 80% of producers restarted operations by end-March. 

Northwest China’s Gansu province is mulling a plan to encourage local companies to stockpile up to 436,000 mt of nonferrous metals for at least seven months to support the market which has been hit by the COVID-19 pandemic crisis.

Demand for Chinese lithium cobalt oxide (LCO), a type of cathode material used to produce lithium batteries, could fall 40% in May, SMM estimates. This is against the backdrop of the coronavirus crisis overseas, which has led to steep declines in China’s export orders and prompted domestic smartphone makers to mull output cut.

Stringent coronavirus containment measures imposed by world authorities in March began to take their toll on supply of imported copper scrap in China, which accounts for about 60% of copper scrap consumption in the country, showed the latest SMM survey.

Demand remained subdued in China’s cobalt market last week while a handful of consumers purchased as required. The market may find some near-term support from the extended national lockdown of South Africa, which will last until end April and aim to curb the COVID-19 pandemic.  

SMM surveyed 41 major aluminium processors in 12 provinces and found that their average operating rate dipped 0.6 percentage point on a weekly basis to 74.4% last week.

The state-owned China Southern Power Grid company has planned to accelerate its investment in new energy vehicle charging facilities in the coming years, as part of the move to develop "new infrastructure" projects for boosting sustainable growth of the economy.