Copper Cathode Rod Enterprises Resume Operations After Maintenance, but Orders Weaken Due to Year-End Effect [SMM Copper Cathode Rod Weekly Review]

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       The weekly operating rate of major domestic copper cathode rod enterprises (1.3-1.9) rebounded as expected to 76.36%, up 9.93 percentage points MoM, slightly below the forecast by 0.3 percentage points, while the YoY growth rate continued to narrow to 2.62 percentage points. Entering 2025, copper cathode rod enterprises resumed production this week after excluding the impact of maintenance during the New Year holiday, leading to the operating rate rebounding as expected to 76.36%. From the inventory perspective, this week, disruptions from long-term contract negotiations and high spot premiums suppressed procurement willingness, causing raw material inventories at major domestic copper cathode rod plants to decrease by 2.88% MoM to 35,400 mt. In contrast, finished product inventories increased by 4.91% MoM to 55,600 mt, as downstream enterprises slowed their cargo pick-up pace due to rising copper prices during the week and the approach of year-end, with some enterprises beginning to stockpile. Looking ahead, most copper cathode rod enterprises reported that orders on hand could sustain production until the end of next week, but new orders are expected to weaken gradually toward year-end. The operating rate of copper cathode rod enterprises is projected to slightly decline to 75.32% next week (1.10-1.16), down 1.04 percentage points MoM, while still maintaining a YoY increase of 2.86 percentage points.