Chinese Domestic Copper Cathode Premium Has Began to Widely Offer

According to SMM, on the evening of December 19, 2025, Antofagasta and smelters under the China CSPT group finalized the 2026 copper concentrate long-term contract TC/RC at USD 0/mt and 0 cents/lb, marking a historical low. By comparison, the 2025 copper concentrate benchmark TC/RC was set at USD 21.25/mt and 2.125 cents/lb.

Compared with the end of 2024, during this year’s CESCO week, Chinese smelters accelerated the pricing rhythm for 2026 domestic copper cathode long-term contracts. It is reported that first-round offers for major copper cathode brands circulating in East China are mostly above RMB 180/mt. This article provides a brief summary of current long-term contract quotations across different regions.

Overall, spot premiums in 2025 have improved notably compared with 2024. However, in East China, uneven brand liquidity, wide inter-brand price spreads, and the scarcity of imported COMEX-registered brands have resulted in a highly fragmented fixed-price long-term contract market. Coupled with copper prices repeatedly hitting record highs, most downstream consumers remain pessimistic about signing 2026 copper cathode long-term contracts. Although expectations have risen from late-2024 levels and there is some anticipation of potential supply tightness in 2026, high copper prices and elevated premiums continue to deter downstream buyers, and the proportion of fixed-price long-term contracts is expected to decline further.

Based on SMM’s active market discussions this week, first-round fixed long-term contract offers in Eastern China are mainly quoted at RMB 200–260/mt on exw Shanghai warehouse basis, while ex-work plant prices from large smelters in East and Central China are quoted at RMB 180–200/mt. Adjustments may be made depending on delivery terms, pricing mechanisms, transportation distance, and contracted volumes.

In South China, exw warehouse prices are quoted at around RMB 260/mt, compared with approximately RMB 120/mt in 2025.
In Southwest China, first-round ddp offers are around RMB 160/mt, versus RMB 110/mt in 2025.
In northern regions, quotations vary significantly. Offers in North China have yet to commence, while Henan and Shandong are heard at around RMB 60–70/mt, and Northwest China at approximately RMB 140–160/mt on ex-work basis

Note: 2025 average prices are calculated up to December 26, 2025.

Following the completion of the first-round quotations, producers are expected to actively negotiate with downstream buyers. SMM will continue to monitor market developments closely.