[SMM Copper Anode Express] SMM expects that in June 2026, the overall operating rate of China copper anode enterprises will rise 0.18 percentage points MoM to 47.55%, with the operating rate of ore-derived copper anode enterprises expected to fall 3.53 percentage points MoM to 72.00%, and that of scrap-derived copper anode enterprises expected to rise 1.70 percentage points MoM to 37.56%. (Referring solely to the non-captive copper anode portion.)

[SMM Copper Anode Alert] In May 2026, the operating rate of China’s copper anode producers (SMM survey) was 47.37%, down 0.81 percentage points MoM. By raw material, the operating rate of ore-derived copper anode producers rose 0.57 percentage points MoM to 75.53%; that of scrap-derived copper anode producers fell 1.38 percentage points MoM to 35.86%. (Referring only to the non-captive copper anode portion.)

SMM June 5 update: Guangdong region: Premiums in this region showed a trend of bottoming out and rebounding this week. At the beginning of the week, premiums dropped sharply due to weak consumption. As copper prices declined, downstream restocking increased, and spot premiums stopped falling and rebounded. As of Thursday, high-quality copper was quoted at 30 yuan/mt, down 90 yuan/mt WoW; standard-quality copper was quoted at a discount of 30 yuan/mt, down 80 yuan/mt WoW; SX-EW copper was quoted at a discount of 80 yuan/mt, down 60 yuan/mt WoW. On Thursday, the price spread of standard-quality copper premiums between Shanghai and Guangdong was 80 yuan/mt higher in Guangdong. The price spread was relatively small, and there was no cross-regional cargo transfer. According to SMM statistics, as of Thursday, total inventory in Guangdong warehouses was 22,800 mt, an increase of 1,300 mt WoW, with warrants totaling 5,800 mt, down 100 mt WoW. Specifically: Warehouse arrivals this week were 13,500 mt/week, an increase of 1,100 mt/week WoW, slightly below the annual average (14,000 mt/week); increased shipments from smelters were the main reason. Warehouse withdrawals were 12,100 mt/week, an increase of 1,100 mt WoW, below the annual average (14,200 mt/week). As the period straddled a month-end, the increase in downstream procurement volume was limited. Looking ahead to next week, as nearby smelters complete maintenance, supply is expected to increase. However, downstream consumption recovery remains limited, making it difficult for inventory to decline significantly, and spot premiums are expected to hover at lows. (The above information is derived from market research and comprehensive assessment by the SMM research team. The information provided in this article is for reference only. This article does not constitute direct advice for investment research decisions. Clients should make prudent decisions and not replace independent judgment with this information. Any decisions made by clients are not related to SMM.)

[SMM North China Copper Cathode Spot Market] After copper prices continued to rise, demand in north China was suppressed and showed weakness. The spot market exhibited a significant discount premium with sluggish trading. Suppliers saw inventory tending to accumulate, and there were expectations to ship to delivery warehouse.

[SMM North China Copper Cathode Spot Market] Consumption in the market showed weakness during the week, compounded by the approaching month-end period, downstream capital was constrained, putting spot premiums under pressure and weakening them, and spot trading activity was sluggish.

SMM News, May 28: Guangdong region: Premiums in this region continued to trend lower this week, mainly driven by increased arrivals and weak consumption. As of Thursday, high-quality copper was quoted at 120 yuan/mt, down 120 yuan/mt WoW; standard-quality copper was quoted at a premium of 50 yuan/mt, down 110 yuan/mt WoW; SX-EW copper was quoted at a discount of 20 yuan/mt, down 110 yuan/mt WoW. On Thursday, the price spread of standard-quality copper premiums between Shanghai and Guangdong showed Guangdong was 230 yuan/mt higher. The relatively small price spread, combined with weakening consumption in Guangdong recently and the fact that earlier southbound cargoes had not yet been fully consumed, meant no additional cargoes moved south. According to SMM statistics, as of Thursday, total inventory in Guangdong warehouses was 21,500 mt, up 1,200 mt WoW, with warrants totaling 5,900 mt, up 1,000 mt WoW. Specifically: warehouse arrivals this week were 12,400 mt/week, down 4,600 mt/week WoW, below the annual average (14,000 mt/week); maintenance at nearby smelters and reduced southbound cargoes were the main reasons. Warehouse withdrawals were 11,000 mt/week, down 2,700 mt/week WoW, below the annual average (14,200 mt/week). Production cuts at some enterprises toward the month-end were the primary cause of the notable decline in demand. Looking ahead to next week, as downstream enterprises resume production, demand is expected to increase accordingly, while supply is not expected to rise significantly. Inventory is expected to decline again next week, and premiums are expected to stop falling and rebound. (The above information is based on market data collection and comprehensive assessment by the SMM research team. The information provided in this article is for reference only. This article does not constitute direct investment research advice. Clients should make prudent decisions and not replace independent judgment with this information. Any decisions made by clients are not related to SMM.)

Driven by global economic integration and technological innovation, magnet wire, as a fundamental material for the electrical power and electronics industries, has seen continuously climbing demand. In 2025, the rapid development of China's NEV, smart power grid, and other industries injected strong momentum into the magnet wire industry. Meanwhile, tightening environmental protection regulations and rising technological barriers accelerated the industry's transition toward green production and intelligent manufacturing. The eastern region exhibited a notable industrial clustering effect, the central and western regions accelerated their industrial layout leveraging resources and policy support, and the northeast embraced new opportunities through the Belt and Road Initiative. Against this backdrop, Zhejiang Jinjia Special-Shaped Copper Co., Ltd. joined hands with SMM to jointly produce the which came into being at the right moment. Through data collection and regional analysis, the industry distribution map was created to reveal development characteristics and trends, providing a scientific basis for enterprise strategies, policy formulation, and investment decisions, and facilitating the high-quality development of China's magnet wire industry. (Claim your free distribution map:) Specializing in High-Precision Oxygen-Free Copper Product Series ▌Company Profile Zhejiang Jinjia Special-Shaped Copper Co., Ltd. , located at No. 3 Chuangzhi Road, Lijiaxiang Town, Changxing County, in the Changxing Sub-zone of the South Taihu Lake Industrial Cluster Area, covers a land area of 111.8 mu, with a total building area of 167,600 m² for workshops and office buildings. The company specializes in high-precision oxygen-free copper processing, professionally producing premium upward-cast oxygen-free copper rod, oxygen-free copper busbar, copper billet, and special-shaped copper semis, as well as high-precision oxygen-free copper plate and copper strip products . The company owns multiple sets of domestically advanced energy-saving and environmental protection upward continuous casting units, capable of providing clients with premium electrical oxygen-free copper rod in various specifications ranging from Ø8.0 to Ø35.0 mm. The company owns multiple sets of the most advanced domestic copper semis continuous extrusion units of various models and fully automatic copper busbar drawing and straightening integrated units, capable of providing clients with copper busbars and copper billets in various specifications, producing copper busbar products with widths of 320 mm and below, and producing copper billet products with diameters of Ø120 mm and below, with internal quality and oxygen content both exceeding national standard requirements. The company possesses strong mold design and development capabilities, enabling it to provide clients with technical support and develop special-shaped copper busbars and electrical special-shaped products. The company co-established a "production-academia-research" research base with the Continuous Extrusion Research Center of Dalian Jiaotong University. Relying on Dalian Kangfeng Technology Co., Ltd., it developed the world's first TLJ800U copper semis continuous extrusion unit. The commissioning of this equipment enables the company to provide clients with oxygen-free copper plate/sheet and strip with a thickness of 12–20 mm and a width of 420–630 mm. The company also collaborated with China Copper Industry Kunming Heavy Industry on a copper plate/sheet and strip rolling production line and its ancillary facilities. Once in operation, it can provide clients with copper plates, copper strips, and other products in various specifications. The company has obtained certifications for the ISO 9001-2015 Quality Management System, ISO 14001-2015 Environmental Management System, and ISO 45001-2018 Occupational Health and Safety Management System, strictly implementing standardized management to provide reliable assurance for product quality. ▌ Contact Information Xu Jianhua 139 5759 7472 SMM Contact Chen Xiaolong 180 1708 9983 Long press to scan the QR code for a free distribution map

In May, TiO₂ prices held firm on cost support amid high operating rates and stockpiles, with exports lending support. Titanium sponge prices inched up on higher raw material costs, though demand remained tepid and overcapacity persisted.

The global copper scrap market is entering a period of structural tightening as geopolitical tensions and industrial policy increasingly reshape trade flows. The relationship between the United States and China sits at the center of this transition, particularly as Washington considers restricting exports of high-quality copper scrap in 2027 while China remains heavily dependent on imported secondary copper feedstock. China’s copper scrap imports remained strong in 2024 at 441,080 MT, underscoring continued demand from secondary refiners serving the EV, renewable energy, power grid, and manufacturing sectors. However, imports have collapsed in 2025 to 143,271 MT, with current projections for 2026 falling further to just 5,305 MT. The sharp decline signals a rapid deterioration in China’s direct access to imported scrap feedstock amid rising geopolitical friction and tariffs. China’s existing 10% tariff on US-origin scrap has already reduced the competitiveness of direct shipments, although clean high-grade material has continued to move because of favorable processing economics. Trade flows indicate that copper scrap is increasingly being rerouted through Southeast Asia rather than moving directly from the United States into China. US copper scrap exports to ASEAN rose from 170,687 tonnes in 2024 to 222,993 tonnes in 2025, while Chinese imports of copper scrap from ASEAN increased from 434,176 tonnes to 529,345 tonnes over the same period. The correlation strongly suggests ASEAN is emerging as a critical intermediary hub for scrap aggregation, processing, blending, and re-export into China. This shift reflects a broader restructuring of the global scrap trade as market participants adapt to tariffs, geopolitical risk, and the growing probability of tighter controls on high-quality US scrap exports. Countries such as Malaysia, Thailand, and Vietnam are increasingly functioning as alternative routing channels within the global secondary copper supply chain. The timing is significant because the United States continues to export around 1 million tonnes of copper scrap globally in 2025 while domestic secondary refinery production remains limited at approximately 50kt. This imbalance is becoming central to the policy debate in Washington. As US demand for copper accelerates through grid modernization, electrification, AI-driven data center expansion, and defense manufacturing, policymakers are increasingly questioning whether high-grade recyclable copper should continue flowing overseas while the US remains dependent on imported refined copper. Current policy discussions focus on retaining a larger share of premium copper scrap within the domestic market beginning as early as 2027. Although proposals currently stop short of a full export ban, any retention mechanism would still materially reduce export availability for high-quality grades such as bare bright copper and No.1 copper scrap. For China, tighter access to premium scrap has important implications beyond the secondary market. High-quality scrap directly competes with refined copper cathode because it offers high recovery rates with lower processing intensity than primary smelting. If imported scrap availability continues to tighten, Chinese refiners will likely need to increase refined copper purchases to maintain output levels. This dynamic could become increasingly supportive for refined copper markets globally. The primary copper market is already facing structural constraints from weak mine supply growth, declining ore grades, permitting delays, and years of underinvestment in new projects. A simultaneous tightening in high-grade scrap availability would amplify pressure on refined copper balances precisely as demand linked to electrification continues to strengthen. As a result, the market could see narrower scrap discounts relative to cathode, firmer copper premiums in Asia, and increased volatility across both COMEX and LME pricing. The secondary copper market is therefore becoming an increasingly important variable in the broader refined copper outlook. Ultimately, the copper scrap market is no longer operating purely on economic arbitrage. Strategic resource security is becoming a defining driver of trade flows and policy decisions. The rapid growth in ASEAN intermediary trade, combined with collapsing direct Chinese scrap imports and growing US policy intervention, signals that the global copper supply chain is entering a new phase of fragmentation — one that is likely to tighten both scrap and refined copper markets into 2026 and beyond. Author: Shairaz Ahmed, Principal Market Analyst For more information or to discuss market dynamics, you can contact me on shairazahmed@smm.cn

SMM News on May 21: Guangdong region: Premiums in this region trended gradually lower this week, mainly due to increased arrivals coupled with weakening consumption. As of Thursday, high-quality copper was quoted at 240 yuan/mt, down 30 yuan/mt from last Thursday; standard-quality copper was quoted at a premium of 160 yuan/mt, down 40 yuan/mt from last Thursday; SX-EW copper was quoted at 90 yuan/mt, down 40 yuan/mt from last Thursday. On Thursday, the price spread of standard-quality copper premiums between Shanghai and Guangdong showed Guangdong higher by 270 yuan/mt, and it widened to 300 yuan/mt mid-week. The relatively large price spread led to cargoes from Jiangxi and Shanghai flowing southward. According to SMM statistics, as of Thursday, total inventory in Guangdong warehouses was 20,300 mt, up 3,400 mt from last Thursday, while warrants totaled 4,900 mt, down 152 mt from last Thursday. Specifically: warehouse arrivals this week were 17,000 mt/week, up 4,000 mt/week WoW, higher than the annual average (14,000 mt/week), mainly due to increased arrivals from northern cargoes. Warehouse withdrawals were 13,700 mt/week, down 1,100 mt WoW, slightly below the annual average (14,200 mt/week), as terminal orders decreased and copper processing enterprises' operating rates declined. Looking ahead to next week, affected by increased supply and weakening demand (according to our understanding, a large copper processing enterprise will see significant production cuts next week), inventory is expected to continue increasing, and spot premiums are expected to continue declining. (The above information is based on market collection and comprehensive assessment by the SMM research team. The information provided in this article is for reference only. This article does not constitute a direct recommendation for investment research decisions. Clients should make prudent decisions and not use this as a substitute for independent judgment. Any decisions made by clients are unrelated to SMM.)