China: Refined Copper Exports Surged to Touch Fresh Peak

SEATTLE (Scrap Monster): According to Customs data released last week, the Chinese refined copper exports recorded notable surge during the previous month to hit fresh record high. The prior week data had indicated significant increase in exports of unwrought copper and copper products.

The refined copper shipments by the country more than doubled from May to total around 158,000 tons in June 2024. This is significantly higher than the previous record of 102,000 tons reported in 2012.

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Meantime, the prices of the commodity witnessed notable decline over the past several months. Since mid-May this year, the copper prices have recorded decline by almost 14%. It must be noted that the Chinese economy registered slowest growth in five quarters during the quarter ended June 2024. In response, the Chinese central bank had cut a key short-term policy rate for the first time in almost a year.

The Chinese copper inventories have been piling up due to lacklustre domestic demand. The LME copper stockpiles have nearly doubled since mid-May this year. The smelters in the country have been sticking with their previously announced production plans and have been preferring export trade, on account very weak domestic demand.

The prices of copper and other industrial metals are likely to see further decline in the near term, said analysts.