It is understood that from June 21 to June 27, 2025, the weekly comprehensive operating rate of lead-acid battery producers in the five provinces tracked by SMM was 68.77%, down 4.04 percentage points WoW.
As the mid-year period approaches, production at lead-acid battery producers has weakened, with the weekly operating rate declining this week. On the one hand, during the mid-year and month-end period, large lead-acid battery producers close their accounts and conduct inventory checks, leading to short-term production shutdowns or holidays, which drags down the operating rate. On the other hand, end-use consumption in the e-bike and automotive battery markets remains sluggish, coupled with increased substitution by new-type batteries such as lithium batteries. As a result, finished product orders for producers have continued to be weak, and producers have actively cut production and destocked during the mid-year period. Next week will mark the start of Q3. After the mid-year and month-end factors are resolved, some producers may resume production. However, lead-acid battery producers remain conservative in their expectations for the traditional peak season, with most producers still adhering to a produce based on sales approach.
