[SMM Analysis: Regional Tightness in Lead Ingot Supply and Social Inventory Continues to Decline]

SMM November 24: According to SMM, as of November 24, the total social inventory of lead ingots in five regions tracked by SMM stood at 37,000 mt, down 1,500 mt from November 17 and nearly 700 mt from November 20.

Recently, primary lead delivery brand enterprises in east China have undergone maintenance, while secondary lead enterprises have also faced maintenance or environmental permit renewals, leading to regionally tight lead ingot supply. At the same time, lead prices have been in the doldrums, prompting downstream enterprises to purchase as needed. Some lead ingot inventories near consumption areas have been drawn down, and social inventory has continued to decline. Notably, last week, SMM’s weekly finished product inventory for secondary lead dropped to 2,400 mt, the lowest level since 2021. Downstream enterprises face limited procurement options, making just-in-time procurement or a preference for primary lead more likely. In the short term, lead ingot social inventory is expected to maintain its downward trend.

Data Source Statement: Except for publicly available information, other data are processed by SMM based on public information, market communication, and SMM’s internal database model. They are for reference only and do not constitute decision-making advice.