SMM June 10 News: Dealers in Hunan region report that end-use consumption in the e-bike lead-acid battery market is sluggish, retailers' purchasing cycles have lengthened, and battery inventory currently stands at about half a month. Additionally, the wholesale price of the main model 48V20Ah is 380 yuan per unit. Manufacturers in Jiangsu region report that the off-season trend in the e-bike lead-acid battery market has intensified, with poor finished product orders. To ease battery inventory pressure, the factory operating rate has dropped to around 70%, and raw material lead is purchased as needed. Manufacturers in Jiangxi region report that replacement demand in the e-bike lead-acid battery market is sluggish, dealers are cautious in purchasing, and coupled with the decline in vehicle matching orders, the factory operating rate is currently maintained at around 60%, with raw material lead mainly used to digest inventories.

SMM June 1 News: Dealers in Jiangxi reported that end-use consumption in the automotive storage battery market was poor, making it difficult to boost battery sales. Current battery inventory stood at approximately one and a half months. Prices of certain battery models declined recently, with the main model 6-QW-60Ah priced at 220-240 yuan/unit. Manufacturers in Anhui reported that replacement demand in the automotive storage battery market was sluggish, with dealers only purchasing as needed. To avoid inventory buildup, factory production line operating rates remained below 80%, and raw material lead was primarily procured through long-term contracts. Manufacturers in Guangdong reported that the automotive storage battery market was in the off-season. Additionally, due to the price spread between domestic and overseas markets for lead, battery exports lacked a competitive edge, and battery orders remained persistently weak, with current factory operating rates at 70-80%.

SMM May 28 news: Dealers in Hunan reported that replacement demand in the automotive battery market remained weak, with retailers purchasing cautiously. Current battery inventory stood at nearly 2 months, and there were no signs of sales promotions in the battery wholesale market, with the mainstream model 6-QW-60Ah priced at 260-300 yuan/unit. Manufacturers in Zhejiang reported that the automotive battery market was in the off-season, with sluggish finished product orders. Coupled with obstacles in battery exports, factories maintained operating rates at 70-80% to avoid inventory accumulation. Manufacturers in Hebei reported that the off-season trend in the automotive battery market remained unchanged, with OEM orders for vehicle assembly also being limited. To ease inventory pressure, factory production line operating rates were maintained at 80%, and raw material lead was procured through long-term contracts.

SMM May 28: Overnight, LME lead opened at $2,016/mt, rising first then falling during the Asian session with a high of $2,021/mt. It then fluctuated downward after entering the European session, dipping to $2,000/mt near the close, and finally settled at $2,001/mt, down 0.72%. Overnight, the most-traded SHFE lead 2607 contract opened lower with a gap at 16,690 yuan/mt, briefly touching a high of 16,710 yuan/mt at the start of the session. After bulls reduced positions, it fluctuated downward to a low of 16,580 yuan/mt, and finally settled at 16,615 yuan/mt, down 0.69%. End-use demand for lead-acid batteries weakened, with retail stores seeing new battery inventory buildup and low scrap battery recycling volumes. Sales promotions were frequent in the market, and manufacturers' willingness to purchase lead ingots remained subdued. Additionally, multiple secondary lead enterprises plan to resume production after maintenance ends in early to mid-June, concentrating short-term bearish factors on lead prices. Subsequent focus should be on scrap battery supply and its impact on enterprises' production resumption progress. Data source disclaimer: Data other than public information is derived from public information, market communication, and SMM's internal database models, processed by SMM for reference only and does not constitute decision-making advice.

Futures: Overnight, LME lead opened at $2,016/mt, rising first then falling during the Asian session with a high of $2,021/mt. It then fluctuated downward during the European session, dipping to $2,000/mt near the close, and finally settled at $2,001/mt, down 0.72%. Overnight, the most-traded SHFE lead 2607 contract opened lower with a gap at 16,690 yuan/mt, briefly touching a high of 16,710 yuan/mt early in the session. After bulls reduced positions, it fluctuated downward to a low of 16,580 yuan/mt, and finally settled at 16,615 yuan/mt, down 0.69%. On the macro front: Samsung's union approved a wage agreement, averting strike risks. Reports indicated that TSMC will raise 3nm prices by 15% in H2, with a potential further 10% increase next year. The Reserve Bank of New Zealand kept interest rates unchanged for the third consecutive time, signaling that earlier and larger rate hikes may be needed. EU sources: EU member state governments have approved legislation to implement tariff reductions on US goods imports. China's State Administration for Market Regulation deployed local market regulators to carry out a special campaign on credit-empowered rectification of "involution" competition, May-December. ChangXin Technology's STAR Market IPO was approved by the listing committee. HKEX: launched a full-market trading fee waiver for gold futures. NBS: From January to April, total profits of China's above-scale industrial enterprises reached 2,435.84 billion yuan, up 18.2% YoY. From January to April, rapid development of semiconductor-related industries drove profit growth in electronic specialty materials manufacturing, optical fiber manufacturing, and optoelectronic device manufacturing by 601.7%, 347.6%, and 51.0%, respectively. : Circulating cargoes in the Jiangsu, Zhejiang, Shanghai market were limited, with few quotations from suppliers. SHFE lead continued to hold up well yesterday, and suppliers showed moderate willingness to ship, though mainly cargoes self-picked up from production site of primary lead smelters, with relatively firm quotations. Secondary lead smelters shipped along with the market, with some quotations turning to discounts. Secondary refined lead was quoted at premiums of -25~0 yuan/mt against SMM #1 lead, while a few regions quoted at premiums of +50 yuan/mt. As lead prices rebounded, downstream enterprises were cautious about purchasing at high prices, with some enterprises negotiating more. Only cargoes at large discounts (against the most-traded SHFE lead contract) saw transactions. On the inventory front: On May 27, LME lead inventory decreased by 1,350 mt to 284,350 mt. As of May 25, total SMM lead ingot social inventory across five locations decreased by 3,200 mt compared with May 18. Lead price forecast for today: End-use demand for lead-acid batteries weakened, with new battery inventory accumulating at stores and scrap battery recycling volume remaining low. Frequent market sales promotions have dampened manufacturers' willingness to purchase lead ingots. Coupled with several secondary lead enterprises planning to resume production after maintenance in early-to-mid June, factors pressuring lead prices have converged in the short term. Going forward, focus should be placed on scrap battery supply and its impact on the pace of enterprise production resumptions. Data source disclaimer: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and SMM's internal database models. The data are for reference only and do not constitute decision-making advice.

SMM May 26 news: Dealers in Hubei reported that end-use consumption in the automotive storage battery market was sluggish, with battery sales being mediocre and battery inventory exceeding one and a half months. Additionally, selling prices in the battery wholesale market remained unchanged, with the main model 6-QW-45Ah priced at 180-200 yuan/unit. Manufacturers in Anhui reported that replacement demand in the automotive storage battery market was weak, with finished product orders remaining sluggish, while OEM orders for complete vehicles were also limited. Currently, factories produce based on sales, with operating rates maintained at around 80%. Manufacturers in Zhejiang reported that the automotive storage battery market was in the off-season, with dealers purchasing cautiously. Coupled with poor export orders, factory operating rates were currently maintained at 70-80%, and raw material lead was only purchased as needed.

SMM May 20: Dealers in Hunan reported that end-use demand in the e-bike lead-acid battery market was sluggish, with battery sales showing no improvement for the time being. Battery inventory stood at about one month, and the wholesale selling price of batteries remained unchanged in May, with the main model 48V20Ah priced at 400 yuan/set. Manufacturers in Zhejiang reported that replacement demand in the e-bike lead-acid battery market was weak, with finished product orders showing no significant change for the time being. To control inventory accumulation, factory production line operating rates were maintained at 70%, and raw material lead was purchased as needed. Manufacturers in Jiangxi reported that the off-season in the e-bike lead-acid battery market continued, with dealers only purchasing as needed. To ease finished product inventory pressure, factory operating rates were currently maintained at around 70%, and raw material lead was bought and used on demand.

SMM May 13 News: Dealers in Hunan reported that end-use consumption in the automotive storage battery market was sluggish, with slow battery inventory digestion. Additionally, selling prices in the battery wholesale market remained unchanged for now, with the main model 6-QW-45Ah wholesaling at 160-180 yuan/unit. Manufacturers in Hebei reported that the off-season trend in the automotive storage battery market persisted, with dealers purchasing cautiously and supporting orders also being limited. Currently, factory operating rates were maintained at around 80%, and raw material lead procurement through long-term contracts was sufficient to meet production needs. Manufacturers in Zhejiang reported that the automotive storage battery market was in the off-season, compounded by export disruptions, resulting in poor finished product orders. Factory operating rates were currently around 70%, with raw material lead purchased only through just-in-time procurement. In addition, prices of auxiliary materials such as sulphuric acid rose, pushing up battery production costs.

SMM May 12: Dealers in Zhejiang reported that demand in the e-bike lead-acid battery market was sluggish, with battery sales weakening. Current battery inventory stood at nearly one month, and the battery wholesale market had yet to see sales promotions, with the main model 48V12Ah priced at 280-300 yuan/set. Manufacturers in Jiangsu reported that the off-season trend in the e-bike lead-acid battery market intensified, with dealers showing poor purchasing enthusiasm. Finished battery inventory saw a buildup, and factory operating rates had dropped to around 70%, with plans to halt production for holidays going forward. Manufacturers in Jiangxi reported that replacement demand in the e-bike lead-acid battery market was sluggish, with finished product orders declining further compared to April. Current factory operating rates remained at 70%. Additionally, lead prices fell today, and on the raw material side, they were considering buying the dip.

SMM May 7 news: Dealers in Jiangxi reported that replacement demand in the automotive storage battery market was weak, with retailers only restocking as needed. Current battery inventory was maintained at nearly 2 months. Additionally, the main model 6-QW-100Ah was wholesaled at 380-400 yuan/unit. Manufacturers in Hebei reported that the automotive storage battery market was still in an off-season phase, with dealers purchasing cautiously and vehicle assembly orders also limited. Currently, factories produced based on sales, with operating rates maintained at around 80% and raw materials purchased as needed. Manufacturers in Zhejiang reported that replacement demand in the automotive storage battery market was sluggish, compounded by poor export orders. Currently, factory operating rates were at 50-60%, and raw material lead could be fully sourced through long-term contract purchases to meet production needs.