According to the SMM production schedule survey, as the Chinese New Year holiday approached in January, smelters in regions such as Hunan, Guangdong, and Jiangxi underwent concentrated maintenance. The specific survey findings are as follows:
On the eve of the Chinese New Year, both supply and demand in the lead market declined. Entering February, after the holiday ended, primary lead smelters in Hunan and other regions reported slow recovery in logistics and tight supply of polymetallic lead ore, resulting in delayed production resumption. After the holiday, smelters in Hunan primarily fulfilled long-term contracts with their in-plant inventory, and the accumulation of refined lead inventory was relatively small after logistics resumed. Some smelters, with primary lead production not yet fully restored, stood firm on quotes and were reluctant to sell.
Meanwhile, large-scale primary lead smelters in Henan, Inner Mongolia, and other regions generally maintained normal production, with a 5-7 day inventory accumulation during the holiday. A smelter that operated normally during the Chinese New Year holiday told SMM that logistics companies in 2025 also delayed resuming operations, unlike previous years when they started early to ship goods. Although the current inventory has been traded, due to the limited number of daily transport vehicles, it will take until around the Lantern Festival to fully clear the holiday inventory. Post-holiday, there were significant regional differences in refined lead supply and smelter inventory. Overall, in February, the recovery of primary lead smelter supply was limited. Due to logistics constraints and cautious downstream purchasing amid price drop concerns, refined lead inventory saw a temporary increase.
