Mitsubishi to Halt Copper Processing at Onahama by 2027, Citing Competition and Cost Pressures

[SMM Global Copper Cathode Flash] According to market sources, Aurubis AG, Europe's largest copper producer, has offered its clients a 2027 copper cathode long-term contract premium of $347/mt, up $32/mt, or 10.16%, from the 2026 long-term contract premium of $315/mt, setting a record high.

[SMM Copper Flash] According to SHFE copper futures warrant data, warrants increased by 14,050 mt today, mainly in Shanghai, Jiangsu, and Zhejiang, with increases of 7,404 mt, 5,225 mt, and 1,421 mt respectively. Total warrants increased by 14,050 mt, bringing the current total to 23,457 mt. As delivery approaches, delivery cargoes continued to increase, but due to the high backwardation, spot discounts in the market continued to widen.

[SMM Analysis: Copper Prices Break 110,000, Operating Rate Falls to 11.55% - Peak-Season Stockpiling Fails Amid Dual Pressure from Invoices and High Prices] In September 2026, the operating rate of secondary copper rod producers was 11.55%, below expectations of 13.06%, down 0.28 percentage points MoM and down 14.23 percentage points YoY. Throughout the month, the most-traded SHFE copper contract broke through the 110,000 yuan/mt mark, with the copper price center shifting notably higher from August and swinging wildly. The average price difference between copper cathode rod and secondary copper rod fluctuated sharply within a range of 766-2,114 yuan/mt. Quotes for secondary copper rod in Jiangxi against copper futures repeatedly switched between a premium of 153 yuan/mt and a discount of 898 yuan/mt. Average gross profit margins fluctuated within a range of 493-1,113 yuan/mt. Paper profits appeared moderate, but actual operating pressure remained high. The month was characterized by high price spread volatility, persistently low operating rates, pulsed transactions, and failed stockpiling efforts.