Imports of Lead Concentrate in September Fell Nearly 50% MoM, and that in January-September Declined

SHANGHAI, Oct 25 (SMM) - According to customs data, China imported 87,150 mt of lead concentrates in September, down 44.53% on the month, but down 25.41% on the year. The imports totalled 763,100 mt from January to September 2022, a year-on-year decrease of 12.8%.

The relatively weak macro front in August and September further expanded the SHFE/LME price ratio. Coupled with the high exchange rate of RMB against US dollar, the import of lead concentrate was limited. Russian Federation, the United States and Turkey were the main importers of lead concentrate in September, accounting for over 64.7% of total import volume. Entering the fourth quarter, some imported lead concentrates purchased for winter by some smelters in north China will arrive at ports. However, due to the tight supply of overseas lead concentrates, the total imports of lead concentrates booked by manufacturers may decline year-on-year. In early-October, due to the news of shutdown of overseas smelters, the LME lead prices rose sharply, while the increase in SHFE lead prices was limited. The SHFE/LME price ratio began to fall, hence the import window may be closed for a short time. The market is mostly cautious. The imports of lead concentrate may be less than expected.