Weak Consumption and Logistics Constraints Lead to Further Accumulation of Primary Lead In-Plant Inventory [SMM Weekly Review on Primary Lead Inventory]

        According to sources, as of August 28, the in-plant inventory of primary lead delivery brands stood at 15,700 mt, a WoW increase of 4,600 mt.

Recently, primary lead smelters saw a slight production decline, while their finished product inventories continued accumulating, mainly due to weak lead consumption and the lead price holding up well, even approaching the 17,000-yuan threshold, which heightened the wait-and-see sentiment among downstream enterprises. Transportation issues also contributed to smelters' inventory buildup, as vehicle restrictions emerged in North and Central China ahead of Beijing's military parade, such as prohibiting National V emission vehicles from entering factories, prolonging lead ingot delivery cycles. With the upcoming SCO summit and parade concluding next week, logistics are expected to normalize, coupled with increased smelter maintenance, which may reverse the current inventory trend and trigger a pullback.