After years of development, China's copper processing industry has formed an industrial pattern of copper wire, copper strip, copper pipe, copper bar and copper foil as the main subdivision industries. In 2018, The output of Copper processing materials in China reached 17.16 million tons, among which copper wire production accounted for the largest proportion, 44.64% of copper processing materials. The output of copper strip, copper pipe and copper bar accounted for 19.88%, 15.61% and 13.70% respectively, and the output of the above four products accounted for more than 90%. China's copper output in 2020 was 20.46 million tons, up 0.9% year on year. In the first eight months of 2021, China's copper production was 13.89 million tons, up 1.7 percent year on year.
Last week, the social inventory of Electrolytic copper in China hit a new low in a year, and the market circulation supply is becoming increasingly tight. After the decline of copper, the downstream demand picks up and the goods are picked up positively. The domestic smelters still ship less to Shanghai, and the inventory in Shanghai cannot be steadily replenited. Copper scrap tension and limited import supply flow, fine waste price gap narrowed, copper scrap circulation source decreased on a monthly basis, downstream processing profit waste enterprises raw material inventory tension.
Copper pole market, last week copper pole market overall transaction performance is acceptable. Fine copper rod end, last week in east China, the overall transaction performance is good; Last week, after the holiday, copper prices fell sharply at the opening, and because of the Mid-Autumn festival holiday inventory consumption, the downstream active replenishment, orders surged, especially large cable enterprises, the overall market transaction is hot, the first two trading days to maintain a good transaction situation. In the North China market last week, the factory's processing fee was 850 yuan/ton, up 200 yuan/ton compared with the previous week. The market transaction was ok, the transaction increased slightly, and the inventory in the factory was still tight. Scrap copper rod end, last week refined waste rod price difference 600-950, slightly narrower than the previous week, Wednesday market transaction is ok, most of the downstream bargain replenishment, low-cost supply advantage is obvious; Copper price continues to decline, the market wait-and-see mood, copper rod manufacturers can not keep up with the raw material supply, so control the daily shipment, in order to reduce the later production pressure; Copper price rose on Friday, the downstream purchasing intention is low, market transaction deviation, it is expected to start the formal pre-holiday replenishment work next week.
In the copper strip market, the gold nine silver ten consumption peak season, terminals and traders actively purchase, orders increased by 15%, the transaction is fair. In the middle of last week, copper price continued to fall 500 yuan/ton, transformer, stamping plant and other terminal enterprises actively replenishment, market transaction is relatively active, orders increased by more than 35%. Section of the weekend copper prices rose 200 yuan/ton, T2 copper belt trading price in 73700-74000 yuan/ton, H62 brass belt trading price in 56500-57000 yuan/ton, plate belt enterprises wah-see mood is strong, terminal procurement is more cautious, the general transaction. This week is approaching the National Day holiday, and the demand for stocking of terminals and traders is rising. Last week, the order volume increased by more than 30%. At the same time, guangdong, Zhejiang, Jiangsu, Anhui and other provinces have power cuts recently, and the production of plate and belt enterprises is not affected, but the delivery time of plate and belt production is more tense or longer.
In terms of copper pipe, copper pipe enterprises are generally shipping recently. Last week, downstream orders decreased slightly compared with the previous week. Currently, it is in the traditional off-season of the air conditioning industry. According to Mysteel research, cold storage equipment COMPANY A purchased 0.5 tons of copper pipes in the week, 0.1 tons less than the week before.
Copper bar, last week, the price of waste brass shock down, copper bar price affected by the decline of raw materials, the mainstream models fall significantly. According to Mysteel research, zhejiang recently ushered in the "power limit" notice, but several leading enterprises said that the impact on the output of the month is small, normal production, and a few middle and lower enterprises off-peak production, limited impact on the output. From the downstream point of view, the downstream order heat of valve enterprises is not reduced, the demand for copper rod is increasing, and the peak season of the terminal continues
