Copper scrap supply in China is estimated to have shrunk nearly 200,000 mt in the first three months of 2020, as escalated virus-control measures disrupted global trade flows and as Chinese suppliers held back on sales following a slump in copper prices. A total of 225,083 mt of copper scrap was imported to China in January-to-March, down close to 140,000 mt, or more than 38% from the same period last year, according to data from China customs. SMM estimates that those copper scrap imports, with average Cu content of 78.49%, contained 176,676 mt of copper, down more than 37% from the quarter ended March 2019.

Prices of ternary materials and precursors in China will see further downside risk before May as inventories continued to pile up, driven by slowed or delayed purchases by downstream producers of power batteries amid falling orders. 

The global widespread of COVID-19 has forced many countries to enforce stringent containment measures which result in a heavy impact on global economic activity. Over the past few months, we saw serious disruption of manpower, transportation and production in China. We are now seeing these scenarios happening around the world.

The global widespread of COVID-19 has forced many countries to enforce stringent containment measures which result in a heavy impact on global economic activity. Over the past two months, we saw serious disruption of manpower, transportation and production in China. We are now seeing these scenarios happening around the world. 

Chinese silicon plants may face difficulties to resume production as scheduled in the wet season starting from June as the global widespread COVID-19 has disrupted the supply chain and led to a shortage of raw material wood charcoal. SMM learned that most silicon plants have conducted maintenance and tried to secure feedstock for the preparation of resumption.

Prices of battery-grade nickel sulphate, a raw material used to produce electric vehicle batteries, halted their decline that lasted for much of March, and edged higher as of March 30, as concerns about feedstock supply disruption intensified after Papua New Guinea banned vessels at ports to stop the spread of the COVID-19.

Social inventories of stainless steel in China showed signed of declines at end-March, after the stocks hit the highest level on record last month. However, downstream demand has yet to recover sufficiently to support a sustained slide in the inventories, which may threaten lingering inventory pressure in April that will keep stainless steel prices under pressure. 

Manufacturing activities across nickel downstream sectors in China expanded in March after contracting for eleven consecutive months, as factories get back to business amid the easing of movement restrictions from COVID-19.

Trades in the spot copper market in Shanghai were active with spot premiums rising on the morning of March 31 as upbeat data on China’s manufacturing activities improved market sentiment and led to...

Transactions of spot copper were active in Shanghai on the morning of Friday March 27 as traders stepped up purchases on reduced futures prices. This prompted spot cargo holders to lift premiums.