Copper Inventories in China's Major Regions Continued Destocking This Week [SMM Weekly Data]

SMM April 23 News:

Data Brief: As of Thursday, April 23, SMM copper inventories in mainstream regions nationwide decreased by 4,300 mt WoW to 258,900 mt, with total inventory up 77,200 mt compared to the same period last year at 181,700 mt.

Specifically, arrivals of imported copper in Shanghai maintained a steady pace, while arrivals of domestic sources decreased somewhat. Combined with the continued consumption of previously imported sources, inventory continued to decline. Inventory in Jiangsu was basically flat, with destocking progressing steadily. In Guangdong, increased arrivals from northern sources, coupled with weakened downstream consumption following copper price increases, led to a slowdown in the degree of destocking.

Looking ahead, supply side, arrivals of imported copper are expected to maintain a steady pace, while overall domestic copper arrivals remain relatively low. Demand side, downstream enterprises are expected to adopt a cautious purchasing stance, mostly restocking on an as-needed basis. The current market presents a pattern of tight supply with consumption driven mainly by rigid demand, and social inventory is expected to continue a modest destocking trend next week.