Dual Pressure from Raw Materials and Losses, Secondary Crude Lead Market Trading Generally Weak [SMM Secondary Crude Lead Weekly Review]

SMM, August 14:

Under the dual pressures of tight scrap battery raw material supply and smelting losses, domestic secondary crude lead smelters showed weak willingness to produce and sell. This Friday, mainstream tax-inclusive delivered secondary crude lead transactions were concentrated at 14,400-14,450 yuan/mt. New transactions for imported crude lead were sluggish, with scarce public quotes in the market, and only a small number of long-term contracts were executed at parity with the SMM #1 lead average price on an EXW port basis. Looking ahead to next week, domestic secondary crude lead supply is unlikely to see significant release, and downstream demand is expected to remain mediocre. Against the backdrop of lead prices in the doldrums, suppliers holding imported crude lead lacked sufficient profit margins, mostly chose to hold back from selling and await sales; although their quotes remained firm, the impact on the spot market was limited.