High Copper Prices and Year-End Effects Double Pressure, Industry Operating Rates Continue to Decline [SMM Enamelled Wire Market Weekly Review]

       This week (12.26-1.1), the operating rate of machinery in the enamelled wire industry is expected to pull back by 1.07 percentage points to 75.53%. The current high copper prices significantly suppressed end-use demand, with enterprise orders performing far worse than the same period in previous years. Coupled with the approaching year-end, downstream purchase willingness was already low, and copper prices fluctuating at highs further weakened procurement enthusiasm. Only on Tuesday, due to a pullback in copper prices, downstream orders saw a significant increase, while market demand remained generally weak during the rest of the week. Against the backdrop of copper prices fluctuating at highs, the demand suppression effect continued to be prominent, and some enterprises plan to cut production during the New Year holiday. SMM expects the industry's machinery operating rate to further decline to 74.93% next week.