Lead Ingot Social Inventory Dropped Significantly Before the Holiday; Focus on Lead Ingot Production Resumption and New Capacity [SMM Survey]

According to the SMM survey, as of September 26, SMM lead ingot social inventory in five regions was 43,200 mt, down 15,900 mt from September 19 and 22,400 mt from September 23.

According to the survey, this week was the week before the National Day holiday. Downstream lead-acid battery companies arranged holiday plans and built up lead ingot inventory for production during the holiday. The market activity for lead ingots improved relatively, and social inventory decreased significantly, with a continued downward trend expected before the holiday. Recently, some primary and secondary lead smelters have gradually completed maintenance, and new lead ingot capacity is about to be released. The lead ingot production in October is expected to increase by more than 30,000 mt. Coupled with the downstream companies taking days off during the National Day, there will be a mismatch in lead ingot supply and demand, leading to a higher risk of inventory accumulation after the holiday. Future attention should be paid to the resumption of primary and secondary lead enterprises and new capacity commissioning progress.