【SMM Copper Inventory Update】Reduced arrivals of domestically produced copper cathode over the weekend, combined with a significant pullback in copper prices last week that spurred a recovery in consumption, led to a notable destocking of copper cathode inventories in the Shanghai area. Other regions continued to experience inventory buildup, collectively driving a reduction in SMM's social inventory of copper cathode across mainstream regions.

【SMM Copper Inventory Update】Due to increased arrivals of domestic supplies, wild swings in copper prices, and weak downstream consumption, SMM copper cathode social inventory in key regions saw another inventory buildup this week.

【SMM Copper Inventory Update】 As of December 4, SMM copper inventories across mainstream regions in China decreased by 100 mt WoW to 158,900 mt. Although the pace of warehouse withdrawals slowed down this week, inventories still saw a slight destocking due to lower arrivals of imported and domestic supplies. Looking ahead, SMM expects imports to further decrease, while domestic arrivals are projected to remain at normal levels. Combined with market wait-and-see sentiment as copper prices fluctuate at highs, weekly inventories are expected to show an inventory buildup trend.

Data released by the London Metal Exchange (LME) showed that LME copper inventories continued to decline last week, with the latest inventory level reaching 114,475 mt, the lowest in over a year. The latest data released by the Shanghai Futures Exchange indicated that during the week of June 13, SHFE copper inventories dropped back slightly, with weekly inventories increasing by 5.08% to 101,943 mt. International copper inventories increased by 299 mt to 11,373 mt. Last week, COMEX copper inventories continued to increase, with the latest inventory level reaching 196,046 mt, hitting a nearly seven-year high. Note: Generally speaking, a continuous decline in inventories at domestic and overseas exchanges will support futures prices, while the opposite will have a bearish impact on futures prices. Comparison of Copper Inventories at the Three Major Exchanges Since 2023 The following are the copper inventory data at the three major exchanges since June 2025: (Unit: mt)

Data released by the London Metal Exchange (LME) showed that LME copper inventories maintained a downward trend last week, with the latest inventory level at 132,400 mt, hitting a new low in nearly a year. The latest data released by the Shanghai Futures Exchange indicated that during the week of June 6, SHFE copper inventories rebounded slightly, with weekly inventories increasing by 1.52% to 107,404 mt. International copper inventories held steady at 11,074 mt. Last week, COMEX copper inventories continued to accumulate, with the latest inventory level at 187,877 mt, reaching a new high in nearly seven years. Note: Generally, a continuous decline in inventories at domestic and overseas exchanges will support futures prices, while the opposite will have a bearish impact on futures prices. Comparison of Copper Inventories at the Three Major Exchanges Since 2023 The following are the copper inventory data at the three major exchanges since May 2025: (Unit: mt)

[SMM Analysis] It cannot be ignored that the shortage of copper concentrates has gradually been transmitted to copper cathode. In the first half of 2024, there were continuous reports of production cuts and even shutdowns at overseas smelters. This indicates that despite the launch of new smelting and refining projects in the second half of the year (H2), the global supply of copper cathode will not ease.