Copper Cathode Rod 2025 Long-Term Contract First Round Quotations Underway, Market Acceptance Analysis [SMM Analysis]

With only half a month left until 2025, copper rod enterprises have successively started negotiations on long-term contract prices and communicated with downstream enterprises about future market conditions. The following is a regional breakdown:

According to the statistics, current copper cathode rod long-term contract quotations are mainly concentrated in the east China market, while quotations in south China, north China, and central China are relatively scarce. Most enterprises are still observing copper cathode long-term contract prices or the overall market situation. At present, mainstream quotations in the east China market are concentrated at a reduction of 40-70 yuan/mt compared to 2024, while the south China market sees a reduction of around 50 yuan/mt. In the central China market, some enterprises have quoted a reduction of 100 yuan/mt compared to 2024, while others have maintained prices unchanged. In the north China market, as long-term contracts are signed later, no formal quotations have been made by enterprises yet.

From the perspective of downstream enterprises' acceptance, no copper rod enterprises have been reported to have formally signed fixed-price long-term contracts for 2025. Downstream enterprises remain cautious, believing that there is still room for further reductions in the first-round quotations from copper rod enterprises. Copper rod enterprises are expected to continue facing profit margin compression risks in 2025. Additionally, it is worth noting that other copper cathode rod enterprises that have not yet quoted are intensively discussing quotations this week, and some enterprises' long-term contracts will expire in December-January. It is expected that more copper rod quotations and communications with downstream enterprises will emerge in the second half of December.

How the final signing of 2025 copper cathode rod long-term contracts will unfold and what the market outlook will be, SMM will continue to monitor for you.