The Pullback in Copper Prices Drives Volume Surge in Rigid Demand Orders, Weekly Operating Rate Rises to 82.27% [SMM Enamelled Wire Market Weekly Review]

      This week (1.16-1.22), the operating rate in the enamelled wire industry rebounded more than expected, rising 3.07 percentage points WoW to 82.27%. With copper prices' center shifting downward during the week, downstream market ordering willingness was effectively stimulated, boosting the industry's weekly new orders up significantly by 14.99 percentage points WoW, and overall industry activity recovered noticeably. Enterprise side, enterprise orders showed a differentiated yet improving trend, with most enterprises' orders remaining stable, flat or increasing slightly WoW, while a few enterprises saw significant order growth, operating at full capacity. Besides the stimulus from lower copper prices, year-end stocking demand from terminal home appliance customers was released, further boosting rigid demand order growth. Inventory side also showed positive momentum, as downstream cargo pick-up pace accelerated this week, finished product inventory turnover efficiency continued to improve, and weekly finished product days of inventories dropped to 8.25 days. Overall, copper prices' pullback drove rigid demand order volume expansion, and the industry's operating rate is expected to climb further to 82.73% next week.