Operating Rates Across Licensed Smelters of Secondary Lead Down 0.91% on Week

SHANGHAI, Sep 17 (SMM) - Operating rates across licensed smelters of secondary lead in Jiangsu, Anhui, Henan and Guizhou averaged 60.2% in the week ended September 17, down 0.91 percentage point from the previous week, showed an SMM survey.

Operating rates at secondary lead smelters declined further this week amid losses at secondary refined lead smelters and weak productivity. Individual smelters in Anhui continued to suffer losses and output declined further, leading to a decline in operating rates of secondary lead. In addition, individual smelters in Guangdong, Hubei Chukai, Xinjiang Renewable Resources among others have resumed operation from maintenance. Therefore, the overall output of secondary lead smelters trended higher this week. Phase Ⅰ new smelter at Huabo in Anhui is expected to release its output, coupled with declining battery scrap prices, profits at some secondary lead smelters increased, which reduced their intention of output cuts. The overall secondary refined lead output, including the four markets, is expected to increase further.