SMM, 13 May:
The operating rate of copper plate, strip and foil was 68.30% in April.
According to SMM research data, the overall operating rate of copper strip and foil enterprises in April was 68.30%, down 4.86 percentage points from the same period last year and 4.77 percentage points from the previous month. In April, the operating rate of copper strip and foil decreased to a certain extent, mainly due to the following factors. 1. In March this year, the copper strip operation rate rebounded beyond expectations, due to the impact of the previous epidemic on the backlog of orders accumulated to March, while the backlog of orders in the hands of strip processing enterprises decreased in April, so the operating rate fell back month-on-month. 2. According to the feedback of downstream research, the automobile and electronics industry has not performed well this year. In the first four months of this year, the cumulative retail sales of 4.445 million vehicles in the national passenger car market fell by 32.7% compared with the same period last year, which had a more obvious impact on copper strip manufacturers. Therefore, the backlog of orders also fell in April compared with the same period last year. Some plate and strip enterprises reflect that the downstream export-oriented enterprises are significantly affected by the current overseas epidemic situation, and there are basically no new orders entering in the near future, which has a certain impact on the production of some enterprises in April.
In April, the raw material inventory ratio of copper plate, strip and foil enterprises was 14.29%.
In April, the raw material inventory ratio of copper plate, strip and foil enterprises was 14.29%, down 2.94 percentage points from the previous month. Due to the low copper price in the early stage, the production enterprises increased the reserve warehouse in an appropriate amount, and used this part of the inventory production after the price rebounded in April to reduce the spot purchase volume, and some other enterprises implemented the zero inventory policy, and the raw material inventory ratio of strip and foil enterprises continued to decline in April.
It is estimated that the operating rate of copper plate, strip and foil in May is 64.83%.
According to SMM research, the copper strip foil operation rate is expected to be 64.83% in May, down 3.47 percentage points from the previous month and 14.32 percentage points from the same period last year. Plate and strip enterprises generally reflect that the current volume of new orders has declined significantly, inferred mainly by the weakness of the automotive industry and the decline in exports, so it is expected that the operating rate will fall back to a certain extent in May. (research enterprises: 21 total production capacity: 1.354 million tons)
(research enterprises: 21, production capacity: 1.354 million tons / year)