SHANGHAI, Sep 20 (SMM) – The average operating rate across licensed smelters of secondary lead in Jiangsu, Anhui and Henan provinces fell 2.2 percentage point from the prior week to 50.8% in the week ending September 20, showed an SMM survey.
This week, operating rates in Jiangsu and Anhui came in at 58.3% and 40%, respectively, both unchanged from the week to September 12.
The rate in Henan dropped 9.2 percentage points to 48.4%, as Yuguang Gold & Lead, top lead producer in China, conducted maintenance.
Secondary lead discounts slightly narrowed this week, as prices of secondary lead bullion rose on tighter supply and also environmental rectification subdued production in Anhui’s Taihe county.
Downstream consumers—lead-acid battery producers—stepped up purchases this week, as lead prices plunged.
As of September 20, secondary refined lead was mostly quoted in a discount of 100-200 yuan/mt against the average price of SMM 1# lead, on an ex-factory basis and tax included.
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