High Raw Material Prices vs. Large Discounts on Refined Lead, Secondary Lead Smelters Generally Entered a State of Loss [SMM Secondary Refined Lead Weekly Review]

SMM March 28 News:

Lead prices rose first and then fell this week, with suppliers following the market. Due to the significant drop in lead prices on Friday, spot order quotations for secondary refined lead decreased notably. In Anhui and Jiangsu, the ex-factory price of refined lead including tax was 75-0 yuan/mt lower than the SMM 1# lead average price, while in Hunan and Jiangxi, the discount was around 150 yuan/mt. As of March 28, 2025, the mainstream ex-factory price of refined lead including tax nationwide ranged from 17,100 to 17,250 yuan/mt.

Scrap battery supply was tight, and competition among smelters was intense, making raw material purchase quotations more likely to rise than fall. Meanwhile, downstream battery producers were cautious in purchasing, and smelters faced difficulties in selling finished refined lead, leading to widespread losses. As of March 28, 2025, the theoretical comprehensive profit and loss value for large-scale secondary lead enterprises was 79 yuan/mt, while for small and medium-sized secondary lead enterprises, it was -141 yuan/mt.

》Order to view SMM metal spot historical prices