Social inventory of lead ingots in the China's five major regions declined

According to an SMM survey, as of July 4, the total social inventory of lead ingots in the five major regions was 61,600 mt, down more than 200 mt from June 27 and up about 700 mt from July 1.
According to survey, entering July, the supply shortage issue of raw materials such as scrap remained unchanged. In the largest production area of secondary lead—Anhui, many smelting enterprises reduced or halted production. Coupled with environmental inspections, the supply of lead ingots was limited. Meanwhile, the import window for lead ingots opened, and some imported lead flowed into the domestic market, slightly easing the tight domestic supply situation. The social inventory of lead ingots has shown little change in the past two weeks. In the week of July 8-12, the reduction in production at secondary lead smelters will increase, and the delivery of the SHFE lead 2407 contract will be on the agenda, with attention to the possibility of inventory accumulation due to futures contract delivery. Additionally, market news indicates that imported lead will arrive at ports in mid-to-late July, so attention should be paid to the impact of imports on social inventory.