SMM January 21 Automotive Battery Market Review [SMM Evening News]

SMM January 21 news: Dealers in Hunan reported that as temperatures drop, replacement demand for automotive batteries has relatively improved, and battery sales have also rebounded. Current battery inventory is about one and a half months. Considering subsequent Chinese New Year logistics suspensions and enterprise holidays, they plan to stockpile appropriately before the Chinese New Year. Manufacturers in Zhejiang reported that domestic demand in the automotive battery market is moderate, and due to seasonal demand improvement, dealer purchasing enthusiasm is slightly better. However, exports are hindered by factors such as tariffs. Currently, the plant operating rate is maintained at 80-90%. Manufacturers in Jiangxi reported that overall demand in the automotive battery market is average, especially because the price spread between domestic and overseas markets for lead has resulted in higher battery production costs compared to overseas, leading to greater pressure on battery exports. To avoid inventory accumulation, the current plant operating rate is 70-80%. Additionally, recent lead ingot price fluctuations have been significant, so short-term lead ingot procurement is mainly based on long-term contracts.