Enamelled wire operating rate weakened MoM, while YoY remained at a relatively high level

Published: Jul 7, 2026 10:11

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According to SMM, the overall operating rate of the enamelled wire industry was 71.96% in June, down 0.36 ppt MoM but up 2.03 ppts YoY. Large enterprises saw an operating rate of 76.49%, medium-sized enterprises 60.35%, and small enterprises 68.55%.

Wide fluctuations in copper prices were a key factor swaying industry orders in June. When copper prices pulled back temporarily during the month, downstream willingness to place orders improved noticeably, while procurement demand was significantly suppressed during price surges. The industry entered the traditional consumption off-season in June, causing the monthly operating rate to edge down MoM, with overall performance aligning with off-season expectations. Nevertheless, supported by sustained steady demand from sectors such as new energy, industrial motors, AI computing power, and two-wheelers, the industry’s overall operating performance beat earlier market expectations and still achieved decent YoY growth. Structural divergence on the demand side was prominent: the home appliance sector continued its off-season trend. Although Europe’s heat wave slightly boosted some overseas home appliance order increments, this provided only a temporary and marginal lift. Overall domestic end-user demand for home appliances remained weak, unable to reverse the sustained weakening in that sector.

Inventory side, downstream enterprises mostly purchased on demand, and the industry’s shipment pace was steady. Enamelled wire makers manage inventories based on orders, and days of finished product inventories stood at 10.92 days, a normal level.

SMM expects the July operating rate to be 70.07%, down 1.89 ppts MoM but up 2.81 ppts YoY. The enamelled wire industry will remain in the traditional demand off-season in July. Market order performance was mediocre at the beginning of the month, with weak support from essential orders. Subsequent order growth will be influenced by copper price fluctuations. Given the off-season expectations, the industry’s operating rate will continue to edge lower.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

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