MNI BRIEF: China July Copper Production Increases M/M
China copper production rises.
China’s copper cathode rod output reached 851,000 metric tonnes in July, up 47,900 mt from June, according to the Shanghai Metals Market (SMM) on Wednesday.
The industry operating rate was 65.1%, up 2.6 percentage points m/m and 1.3 pp y/y, after July’s price drop below 75,000 yuan/mt released backlogged orders.
SMM forecasted output in August to reach 885,400 mt, with operating rates increasing 2.6 pp m/m, but a possible slowdown in demand could impact production.
Beijing will likely tilt its support towards consumption in H2 and could issue consumer coupons or other measures that offer subsidies to lower-income households, advisors and economists told MNI. (See MNI: Beijing Shifts Focus To Consumption To Boost H2 GDP)