This week (1.9-1.15), the operating rate of machinery in the enamelled wire industry rebounded by 4.33 percentage points to 79.2%. Specifically, although high copper prices continued to suppress end-user demand, underlying demand remained resilient. The home appliance sector, in particular, saw a prominent year-end peak season effect, with demand for enamelled wire continuing to climb, becoming the core driver supporting the market. Orders in the wheel hub motor sector also showed a rebound, providing some supplementary support to the demand side. Crucially, copper prices pulled back last Friday, leading to a significant increase in enterprises' order intake, which became the key factor boosting the operating rate this week. Additionally, some companies, in order to compete for orders, opted to sacrifice profits for orders by offering an M-1 settlement policy to certain new clients, further lifting this week's operating rate. It is worth noting that, affected by copper prices remaining high throughout the week, new orders received by enterprises were mixed, with the industry's new orders increasing only slightly by 0.13 percentage points this week. On the inventory side, downstream cargo pick-up pace remained smooth, and days of finished product inventories decreased to 8.84 days. Looking ahead to next week, as some companies performed poorly in new orders this week, the production enthusiasm of enamelled wire enterprises pulled back, and the industry's operating rate is expected to adjust to 78.67%.
