SHANGHAI, May 10 (SMM) — According to SMM survey, domestic silver output stood at 1262.4 mt (including 1067.9 mt of mineral silver) in April, up 5.61% from the previous month.
Due to the recent major changes in the Fed’s interest rate policy and the mixed results of the US economic data, domestic and overseas market fluctuated sharply in April, and the volatility also accelerated. However, the export spreads narrowed recently, while manufacturers continued to complete the export volume in order to maximize their profits when the quotas were allowed in the previous period. According to the data of this month, the output of some manufacturers has increased significantly, and to a certain extent, it is also for the full production of export silver ingots. In particular, the production operating rates of smelters with export quotas were higher than other smelters. However, the competition for silver-containing materials, including anode mud, was still fierce. Some manufacturers said that the current pricing coefficient of silver-containing materials was still very high, and it was not easy to purchase silver-containing materials. Some manufacturers also continued to take the opportunity to turn into maintenance in April, such as Yunnan Tin Group, Gejiu Lianxing, etc. were still in the maintenance period.
SMM has learned that a small number of manufacturers also have maintenance plans in May. However, it is said that Gejiu Lianxing will start construction soon after the Labour Day holiday, and there should be silver ingot shipments in May. Silver output or the number of processing on behalf of a small number of production companies significantly decreased this month due to the increased difficulty in purchasing silver-containing raw materials. In addition, SMM learned that due to the strict control over the export tax rebate of silver products since the beginning of this year, the recent supervision has also been strengthened. It is expected that China's silver output will remain relatively stable in May.
