[SMM Weekly selection] A large number of manufacturers of copper scrap rods actively replenish corresponding raw materials.

Published: Jul 18, 2020 10:12

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This week, "SMM Copper Industry chain Weekly report" was released, and the editor selected hot topics, prices, market or major changes in the industry chain and published articles for your reference.

Copper prices skyrocketed at the beginning of the week, while scrap copper rods rose slowly, deducting about 1400 yuan / ton on the disk, attracting traders and downstream purchasers, manufacturers had a large number of transactions, and actively replenished the corresponding raw material positions in the market, receiving and bidding higher. Overall, good orders support the high-load production of scrap copper rod mills. According to SMM data, the operating rate of scrap copper rod enterprises in June was 66.71%, a sharp increase of 23.08% from the previous month, an increase of 18.91% over the same period last year, and it is expected that the operating rate of scrap copper rod enterprises in July will be 70.12%. The demand for copper in the lower reaches is strong, and the supply remains tight.

At the 15th China International Copper Industry chain Summit on July 17, experts in the renewable resources industry gathered to discuss the development of new standards and the import of scrap copper. At present, the standard for recycled copper has been established, mainly waiting for the customs code to be released. It is believed that the reasons that hinder the issuance of tariff numbers by the customs are as follows:

The first and second outbreaks have made the customs more cautious about imports and greatly increased their workload.

Second, the new code alignment standard WTO standard, but also need to consult the formulation of opinions;

Third, the new waste consolidation law to be promulgated in the near future and the penalties imposed by regulators on imports exceeding the standard are not clear enough;

Fourth, overseas shipping companies are worried about being jointly punished by the new waste consolidation law, resulting in some shipping companies suspending shipments after September.

From this point of view, the implementation of recycled copper standards still need more preparatory work, and it is difficult to implement quickly in the short term.

The average weekly price of bright copper this week was 46470 yuan / ton, up 1540 yuan from last week, and the average weekly price difference of refined copper was 2504 yuan / ton, an increase of 379yuan / ton compared with last week. In terms of imported scrap copper, this week's scrap copper CIF quoted a deduction of 17 cents / lb for the 12-month contract price of Meijing copper, and CIF quoted a deduction of 27 cents / lb for the December contract price of Meijing copper. American brass is quoted at US $3980 per ton.

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Catalogue of "SMM Copper Industry chain Weekly report" in this issue

Analysis of hot topics: a brief analysis of the reasons for the sudden increase in import data of copper concentrate and unwrought copper and copper products in June

Copper price forecast next week and focus on economic data

SMM data: spot discount, inventory at home and abroad, refined waste price difference

The underground part of Grasberg copper and gold mine is gradually increasing. Domestic spot offers are increasing.

A large number of manufacturers of scrap copper rods actively replenish the corresponding raw materials.

Local trading situation and output of electrolytic copper

Copper trade market analysis (Yangshan copper premium trend, import profit and loss data)

The latest situation of enterprise research: data and analysis of operating rate of copper enterprises

Maintenance trend of smelter

LME&COMEX: copper inventory and cancellation warehouse receipt ratio, LME copper spot discount

Dynamic news of enterprises at home and abroad

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"SMM China Copper Industry chain High-end report" includes: copper industry chain market changes, future views, monthly updates and interpretation of hot events, quantitative analysis of copper industry chain upstream and downstream output, import and export, inventory, cost, price and so on. And exclusively publish the monthly output data, operating rate and new items of the top ten copper smelting or processing enterprises in China. "View details

The "SMM China Copper Industry chain routine report" includes changes in exclusive data markets from copper mines, smelters to copper processing materials, spot to futures markets, future views, and weekly updates of hot events, focusing on contradictions that have changed greatly during the week. "View details

Scrap copper import and export recycled copper

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

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