Copper inventories in major regions across the country decreased by 14,800 mt during the week [SMM weekly data].

SMM April 24 News:

As of Thursday, April 24, SMM's national mainstream copper inventories fell by 14,800 mt WoW to 181,700 mt, down 51,700 mt from last Thursday, marking the eighth consecutive week of destocking. Currently, inventories have pulled back 195,300 mt from the year's highs and are 223,000 mt lower than the 404,700 mt recorded YoY.

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    Specifically, Shanghai's inventory fell by 7,300 mt WoW to 127,800 mt, while Jiangsu's inventory dropped by 3,100 mt to 23,600 mt. Sustained high consumption levels were the main reason for the continued decline in inventories, but the destocking speed slowed towards the end of the week due to increased imports. Guangdong's inventory decreased by 0.41 to 25,100 mt, primarily driven by reduced arrivals and increased outflows from warehouses, as reflected by the daily average outflows from warehouses hitting a yearly high.

     Looking ahead, it is understood that imported copper arrivals will remain high next week, while domestic copper arrivals will be limited, with total supply expected to be similar to this week. On the consumption side, downstream enterprises are likely to replenish stocks ahead of the May Day holiday, and consumption is expected to increase WoW. Therefore, we anticipate a scenario of flat supply and rising consumption next week, with weekly inventories likely to continue declining.