Data: SHFE, DCE market movement (Feb 04)

Liangshan Copper Co., Ltd. is scheduled to commence trial production in March 2026. Upon operation, the project is expected to achieve an annual output of 125,000 tons of high-purity cathode copper, with an estimated annual production value of approximately 8 billion yuan. It will also co-produce by-products such as anode slime and crude nickel sulfate. By establishing a complete industrial chain of "copper concentrate → blister copper → cathode copper," the project will further promote the efficient local conversion of resources and significantly enhance the added value of products.

The Shanghai spot copper market is expected to remain weakly structured. A slightly widened nearby contango is incentivizing suppliers to move spot material into warehouse warrants, limiting liquidity tightness. Concurrently, smelters' delivery stockpiling and suppliers' strong price-holding sentiment are restricting available spot supply, supporting the prevailing discount. With the holiday approaching, downstream procurement has largely slowed, diminishing demand-side support for prices. Amid high prices, tight supply, firm holder sentiment, and spread pressure, spot discounts are forecast to narrow slightly further tomorrow.

[SMM Shanghai Spot Copper] The Shanghai spot copper market is expected to continue exhibiting a weak supply-demand pattern. The contango spread between nearby months widened slightly, further encouraging suppliers to convert some spot cargo into warrants, limiting further tightening of spot liquidity. Some smelters have opted for stockpiling for delivery, coupled with suppliers' evident reluctance to sell and firm price-holding sentiment, resulting in limited tradable spot cargo in the market, which will support the spot discount structure. As the holiday approaches, downstream enterprises have generally slowed their procurement pace, with most having entered the final stage of pre-holiday stockpiling or production adjustment phases. Actual transaction activity is suppressed, and demand-side factors are unlikely to provide sustained boosts to prices. Amid intertwined factors such as high copper prices, tight supply, firm price-holding by suppliers, and pressure from the futures spread, spot discounts are expected to narrow slightly further tomorrow.