Copper Prices Center Rises Again, Downstream Consumption Weakens Significantly, Premiums Fall [SMM Shanghai Spot Copper]

Published: Dec 12, 2025 17:19

Save

[SMM Shanghai Spot Copper] Looking ahead to next week, as the SHFE 2601 copper contract begins trading, the 2025 long-term contracts for copper cathode will largely conclude, and negotiations for 2026 long-term contracts will commence. Trading activity in the spot market is expected to slow down accordingly. With the market shifting entirely to spot order transactions, price volatility is likely to widen. Premiums and discounts against the SHFE 2601 copper contract are expected to remain at a discount next week.

SMM December 12:

Today, SMM #1 copper cathode spot prices against the current month 2512 contract were quoted at a discount of 70 yuan/mt to a premium of 30 yuan/mt, with the average price quoted at a discount of 20 yuan/mt, down 25 yuan/mt from the previous trading day; the SMM #1 copper cathode price ranged from 93,330 to 93,860 yuan/mt. In the morning session, SHFE copper rose from 93,500 yuan/mt to above 93,700 yuan/mt, with the inter-month spread showing a contango of 100-50 yuan/mt, and the import loss for the current month SHFE copper contract expanded to around 1,500 yuan/mt.

Intraday procurement sentiment continued to decline, as higher copper prices increasingly suppressed downstream demand, while market sales sentiment remained, but prices were forced lower. In the morning, suppliers directly quoted at a discount, with some cargoes starting to be quoted against the SHFE copper 2601 contract. During the first trading session, transactions were concluded at a discount of 60 to 20 yuan/mt, with high-quality copper showing a small premium, but demand weakened. In the second session, market transactions continued to weaken, with some deliverable cargoes being purchased by traders for delivery to warehouses, and the discount of 70 yuan/mt basically stabilized.

Looking ahead to next week, as trading for the SHFE copper 2601 contract begins, the 2025 copper cathode long-term contracts will basically conclude, and negotiations for 2026 long-term contracts will start. Trading activity in the spot market is also expected to decrease. The market is expected to enter a phase of purely spot order trading, with price fluctuations likely to amplify. Premiums and discounts against the SHFE copper 2601 contract are expected to remain at a discount next week.

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

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

14 hours ago

Zambia to Reopen Key DRC Mineral Export Route After Rain Damage Disrupted Transport

Zambia’s Minister of Infrastructure said the main corridor for the DRC’s exports of copper, cobalt, and other minerals was expected to reopen after transport was disrupted by road damage.The DRC is Africa’s largest copper producer and the world’s second-largest copper producer by production. The DRC is also the world’s leading supplier of cobalt, with cobalt production accounting for more than 70% of global production, and most cobalt is exported together with other critical battery minerals.Kasumbalesa is the busiest transit point for the DRC’s metal cargo (mainly bound for China and the US). On Sunday, traffic at the crossing was suspended after heavy rains washed away parts of the road.So far, no mining company has reported that shipments of copper or cobalt have been impeded.

14 hours ago

Capstone Copper said on Monday that its Q4 revenue hit a record high, exceeding analysts’ expectations

Capstone Copper said on Monday that its Q4 revenue hit a record high, exceeding analysts’ expectations.The company’s adjusted Q4 earnings before interest, taxes, depreciation, and amortization (EBITDA) fell short of analysts’ expectations, despite record copper production.The company’s Q4 2025 copper production reached a record high, driven by improved operations at the Mantoverde and Mantos Blancos mines.Capstone Copper expects 2026 copper production to be 200,000-230,000 mt. It expects 2026 C1 cash cost to be $2.45-2.75 per pound.

14 hours ago

Drone Attack on US Embassy in Riyadh; Israel Strikes Tehran and Beirut, Trump Promises Response Measures

The US Embassy in Riyadh, Saudi Arabia, was attacked by a drone on the 3rd local time, causing a fire and partial damage to the building. Meanwhile, the Israeli military announced that it was simultaneously carrying out airstrikes on Tehran, the capital of Iran, and Beirut, the capital of Lebanon, further escalating the intensity of the conflict in the Middle East. In response to the embassy attack, US President Trump said Washington would announce response measures “soon,” and revised his remarks to say that “there is no need to deploy ground troops.” On the same day, Trump claimed on social media that the US has “almost unlimited” ammunition reserves, and that “with these reserves alone, we can keep fighting forever and win very beautifully.”

14 hours ago