China's Copper Foil Industry Operating Rate Continues to Climb, Full-Year Prosperity Expected [SMM Analysis]

SMM November 11 News:

According to SMM, the operating rate of China's copper foil enterprises reached 84.22% in October 2025, up 2.05 percentage points MoM and up 8.61 percentage points YoY. Specifically, the operating rate for large enterprises was 89.95%, for medium-sized enterprises 55.22%, and for small enterprises 71.35%. By sector, the operating rate for electronic circuit copper foil was 81.81%, up 0.95 percentage points MoM and up 4.44 percentage points YoY; the operating rate for lithium battery copper foil was 85.45%, up 2.61 percentage points MoM and up 10.83 percentage points YoY. The overall operating rate for the copper foil industry in November 2025 is projected to climb further to 84.49%.

Copper Foil Enterprise Operating Rate at 84.22% in October 2025

End-use demand remained robust in October, with the copper foil enterprise operating rate climbing for the sixth consecutive month. According to SMM data, total lithium battery production increased 0.92% MoM in October. In the power sector, NEV sales continued their positive trend, with demand maintaining high growth amid the traditional peak season. In the ESS sector, some enterprises are still in the capacity ramp-up stage, continuously releasing new production, while downstream demand shows a dual-track pattern domestically and overseas. For electronic circuit copper foil, high-end orders, such as those for AI servers, continue to face undersupply, and orders related to 3C electronics also showed growth due to rising copper prices and seasonal stockpiling needs.

Shipments Continue Growth, Industry Finished Product Inventories Decline in October

In October, the finished product inventory/output ratio for the copper foil industry fell 0.32 percentage points MoM to 9.62%, while the raw material inventory ratio decreased 0.34 percentage points MoM to 15.43%. Overall copper foil shipments increased 2.11% MoM, with lithium battery copper foil shipments up 2.51% MoM and electronic circuit copper foil shipments up 1.27% MoM. This led to a further decline in industry finished product inventories to low levels.

Copper Foil Industry Operating Rate Forecast to Rise to 84.49% in November 2025

SMM expects the overall operating rate for copper foil enterprises to reach 84.49% in November 2025, up 0.26 percentage points MoM and up 9.01 percentage points YoY. The operating rate for lithium battery copper foil is projected at 85.74%, up 0.28 percentage points MoM and up 10.42 percentage points YoY. The operating rate for electronic circuit copper foil is forecast at 82.03%, up 0.22 percentage points MoM and up 6.28 percentage points YoY.

SMM anticipates a slight continued climb in the operating rate of China's copper foil enterprises in November, with end-use demand expected to grow steadily towards year-end. For lithium battery copper foil, Q4 power battery demand is robust, passenger vehicle sales maintain steady growth, commercial vehicle contributions increase, and the traditional push for annual targets at year-end is approaching. In the ESS sector, ongoing domestic project deployments and diversified overseas demand provide joint support, with downstream lithium battery copper foil expected to maintain high industry prosperity. For electronic circuit copper foil, rising CCL prices are driving the release of downstream orders, and high-end server-related orders are also expected to remain strong. However, as capacity utilization rates have already reached relatively high levels at most copper foil enterprises, the upside room for further increases in the operating rate is limited.