As of January 8, the in-factory inventory of primary lead delivery brands was 22,600 mt, a WoW increase of 5,700 mt.
Recently, production at primary lead smelters remained stable with an increase, while lead consumption was relatively weak amid rising supply. In addition, lead prices retreated after a rapid rise this week, prompting downstream enterprises to adopt a cautious purchasing approach. Due to the New Year holiday, smelters and downstream enterprises had different holiday schedules, leading to a gap in lead consumption and a general rise in smelters' in-factory inventory. Furthermore, the SHFE lead 2601 contract will enter the delivery period next week, and suppliers are expected to shift inventory to delivery warehouses. It is anticipated that the inventory growth at smelters may slow down, with destocking being a possibility under optimistic conditions.
