[SMM Aluminum Alloy Daily Review] Futures side, the most-traded aluminum alloy 2606 contract opened at 24,140 yuan/mt today, rose to a high of 24,245 yuan/mt during the session before weakening, hitting a low of 23,935 yuan/mt, and finally closed at 24,040 yuan/mt, down 115 yuan/mt from the previous close, a decline of 0.48%. Spot side, ADC12 market prices remained largely stable today. The upward momentum in primary aluminum prices slowed, weakening cost-side drivers. Meanwhile, downstream demand remained persistently weak, with purchases mainly driven by rigid demand. Against the backdrop of ample low-priced supply and intensifying price competition, enterprises generally lacked the motivation to raise their quoted prices. However, purchase activities by futures-spot traders provided som

SMM April 17 News: Lead prices were weak in the first half of this week, with secondary refined lead quoted at premiums of 0-50 yuan/mt, and smelters saw sluggish shipments. In the second half of the week, lead prices rose, and quotes pulled back to discounts of 50 yuan/mt to premiums of 25 yuan/mt, with shipment enthusiasm rebounding. Downstream sectors were in the consumption off-season, mainly restocking on dips and purchasing via long-term contracts. The tug-of-war between upstream and downstream intensified. Both supply and demand are expected to be weak next week, with premiums moving sideways. Affected by weak lead prices and high scrap battery costs, secondary lead smelting losses widened. As of April 17, large-scale enterprises posted profits/losses of -200 yuan/mt, while small and medium-sized enterprises posted -404 yuan/mt. Some producers plan to cut or halt production next week to control losses. Weak downstream demand is unlikely to improve, and the industry's loss-making landscape will be difficult to reverse in the short term.

On April 17, the SMM average price of battery-grade nickel sulphate rose significantly.

【SMM Copper Cathode Rod News Flash】 The operating rate of copper cathode rod producers fell 2.16 percentage points WoW to 77.82% this week. Copper prices fluctuating at highs suppressed downstream purchasing demand, new orders were weak, and enterprises mostly relied on earlier orders to maintain rigid-demand production, with operating rates pulling back slightly. Downstream demand showed significant divergence, with the enamelled wire industry performing weakly, while the wire and cable industry remained relatively stable, supported by State Grid procurement.

This week, the weekly operating rate of leading downstream aluminum processing enterprises in China was flat MoM at 64.7%. such as can stock, energy storage, and automobiles. However, aluminum prices fluctuated at highs, exports to the Middle East were impeded, and some end-use consumption recovered less than expected, limiting upside room for the operating rate. The industry exhibited the characteristics of “steady with progress and structural divergence.”

[Loose Pattern Unchanged, GO Silicon Steel Prices Expected to Remain Stable Next Week] Currently, demand in the downstream transformer industry is clearly diverging. Orders for high-end projects such as ultra-high voltage and data center supporting facilities remain stable, underpinning demand for high-grade Hi-B silicon steel. However, orders for ordinary distribution transformers are sluggish, with demand for mid-to-low-grade resources remaining persistently weak. Most transformer enterprises maintain strategies of just-in-time procurement and low inventory operations, resulting in limited market purchasing enthusiasm. The supply side exhibits structural looseness, with ample circulating resources of ordinary CGO grain-oriented silicon steel in the market. Some small and medium-sized traders are offering slight price concessions to accelerate capital turnover. Meanwhile, high-end grade resources such as high magnetic induction and ultra-thin specifications remain tight, with top-tier enterprises holding firm on their quoted prices.