On March 27, the 2026 SMM (21st) Lead & Zinc Conference and Industry Expo, organized by SMM, wrapped up successfully at Howard Johnson Agile Plaza in Chengdu, Sichuan!

On March 11, Pan Xueyuan, Member of the Standing Committee of the Yangzhou Municipal Party Committee and Executive Vice Mayor of Yangzhou, led a team to Yizheng Economic and Technological Development Zone to survey the construction progress of the CIMC Green Hydrogen Zero-Carbon Equipment Industrial Park, a key provincial project in Jiangsu. He inspected the construction progress on site, inquired about the construction plan, key challenges, and industrial layout, and required that the leading role of chain-leading hydrogen energy enterprises be fully leveraged to coordinate efforts to bring the project into operation and deliver results at an early date. Meng Dehe, Secretary of the Yizheng Municipal Party Committee, and Yu Lei, Executive Vice Mayor, accompanied the visit, while Li Jie, General Manager of CIMC Jidian and CIMC Zhongdian, and his delegation reported on the work. In front of the project planning display board, Pan Xueyuan focused on learning about the industrial park’s product layout. The project covered a total area of 150 mu, with plant space of approximately 60,000 m², and included a 15-mu supporting detection and R&D testing base. After reaching full production, it was expected to produce 2 GW of electrolyzers and hydrogen-ammonia-methanol series equipment annually. With the goal of becoming a nationally leading supplier of hydrogen-based energy equipment, the enterprise laid out the full value chain of alkaline, PEM, and AEM electrolyzers, skid-mounted hydrogen production plants, and green ammonia and green methanol equipment, which Pan Xueyuan highly affirmed. As a chain-leading enterprise in the hydrogen energy industry chain at both the provincial and municipal levels, CIMC Zhongdian will join hands with CIMC Raffles Group to integrate industry resources and build a green hydrogen equipment industry chain. Next, with the support of the local government, the enterprise will build “two centers and two platforms,” continue to lead industry innovation, and support the high-quality development of the green hydrogen industry in Yizheng and Yangzhou as a whole.

The 2026 SMM (3rd) Global Renewable Metal Industry Chain Summit & Battery Recycling Forum will be held in Tokyo, Japan, from May 11–12, 2026. The summit aims to bring together leading global enterprises, research institutions, industry experts, and policymakers in the fields of renewable metals and battery recycling.

SMM News, March 13: This week, mainstream tax-inclusive ex-factory prices for secondary lead were at parity against the SMM #1 lead average price, with discounts of 50-100 yuan/mt in some areas; dragged down by scrap battery prices and weak downstream consumption, the industry remained loss-making, and most smelters held prices firm and were reluctant to sell. As of March 13, 2026, the theoretical comprehensive profit and loss for large-scale enterprises was -422 yuan/mt, and that for small and medium-sized enterprises was -633 yuan/mt (the model’s by-product revenue did not include tin or antimony). With delivery to be completed and rigid demand expected to recover next week, SMM expected discounts for secondary lead to narrow slightly. Overall, losses across China’s secondary lead industry remained unchanged and production resumptions were slow. Given the availability of primary lead and imported lead cargoes, premiums for spot orders of secondary refined lead were likely to maintain sideways movement, making substantial premiums difficult to emerge. > Subscribe to View Historical SMM Metal Spot Prices

SMM, February 28 news： In February 2026, China's secondary lead market was squeezed by three factors—the holiday effect, high costs, and weak demand—leading to a significant pullback in production as expected, with industry operations characterized by "weak supply and demand and profit margins under pressure." Data showed that secondary lead production in February 2026 fell as expected by 140,000 mt, plunging 40.38% MoM and dropping 2.19% YoY; secondary refined lead output decreased 45.18% MoM and declined 11.36% YoY. In terms of the causes of production cuts, the primary factors were fewer calendar days in the month combined with the impact of the Chinese New Year holiday, which led to widespread shutdowns or production cuts at mainstream secondary lead smelters across the country. Worker departures for the holiday pushed operating rates to low levels, with particularly sharp declines in core production areas such as Jiangsu and Henan due to delayed worker returns and logistics constraints. Pressure on the cost side further exacerbated the scale of production cuts: before the holiday, scrap battery prices remained high due to recyclers' reluctance to sell, pushing up secondary lead smelting costs, while lead prices continued to trend weakly during the same period, causing widespread losses among secondary lead enterprises. Theoretical comprehensive profit/loss margins for large-scale producers were in negative territory, with small and medium-sized enterprises facing even more severe losses. Weakness on the demand side created a dual suppression: downstream battery producers entered the holiday early, causing lead ingot purchase willingness to hit rock bottom, while smelters' finished product inventories continued to accumulate, further dampening production enthusiasm among enterprises and ultimately leading to a sharp contraction in secondary lead output in February. Looking ahead to March, China's secondary lead market is expected to see a clear corrective rebound, with production forecast to increase by about 70,000 mt compared to February. The core driver of this trend is the comprehensive resumption of work and production across the industry chain after the holiday. With workers returning in concentration after the Lantern Festival, secondary lead smelters will enter a period of concentrated production resumptions, and some enterprises have indicated that they can resume operating at full capacity by mid-March. Gradual recovery in downstream demand will provide solid support for the production rebound: battery producers are resuming work successively, pre-holiday accumulated lead ingot inventories are entering a digestion cycle, and purchase willingness is expected to continue improving. Meanwhile, some secondary lead enterprises need to ramp up production to fulfill long-term contract delivery obligations, further driving up operating rates. On the raw material side, the scrap battery recycling market is gradually recovering after the holiday, and smelters' raw material inventories are expected to be replenished, easing supply constraints. Although enterprises still face certain profit pressures, with the combined effects of demand recovery, order support, and inventory digestion, production enthusiasm in the secondary lead industry is expected to improve significantly. Output in March is likely to achieve a substantive rebound, and industry operations will gradually return to normal.

In the spot market this week (February 23-27, 2026), post-holiday refined lead spot market inventories increased as expected. Downstream enterprises gradually resumed operations but showed low enthusiasm for procurement and stockpiling, focusing mainly on long-term contract cargo pick-up or digesting pre-holiday stockpiles. Spot order transactions were generally weak. During the Chinese New Year holiday, most smelters in Hunan underwent maintenance and production cuts, with some producers not yet returning to full capacity this week, leading to tight refined lead supply in certain areas. Suppliers mainly quoted at premiums of 20-30 yuan/mt against the SMM #1 lead average price and were reluctant to sell. In Henan, refined lead supply remained stable; after post-holiday inventory accumulation, stocks were gradually transferred to social warehouses. Suppliers maintained quotations at discounts of 200-150 yuan/mt against the SHFE lead 2603 contract, but transactions at high prices were difficult. Approaching the weekend, some suppliers lowered their discount quotations to facilitate shipments. This week, enterprises across the lead industry chain had not fully resumed operations. Spot market transactions improved slightly compared to pre-holiday levels. After lead consumption recovers in March, the lead market is expected to see increases in both supply and demand.

[SMM Analysis] New National Standard for Secondary Lead and Inclusion in Delivery on the Agenda, Market to Shift to "Primary + Secondary Dual-Track Pricing" SMM February 27: Starting March 1, 2026, the "Secondary Lead Ingot GB/T 21181-2025" (hereinafter referred to as the "new national standard") will replace the "Secondary Lead and Lead Alloy Ingot GB/T 21181-2017" (hereinafter referred to as the "old national standard") and officially come into effect.

Futures: Overnight, LME lead opened at $1,957/mt and weakened slightly during the Asian session. Entering the European session, it continued to decline, probing a low of $1,950.5/mt, then rose to fluctuate near the daily moving average, ultimately closing at $1,959.5/mt, up $7.5/mt, a gain of 0.38%. Overnight, the most-traded SHFE lead contract opened at 16,655 yuan/mt. After the session began, it dipped to a low of 16,650 yuan/mt, then fluctuated upward, lightly touching a high of 16,840 yuan/mt, and finally closed at 16,745 yuan/mt, up 20 yuan/mt, a gain of 0.12%. On the macro front: The Trump administration is considering imposing new "national security tariffs" on six industries. According to informed sources, the tariffs under consideration may cover industries such as large-scale batteries, pig iron and iron fittings, plastic pipes, industrial chemicals, as well as power grid and telecommunications equipment. These tariffs would be levied under Section 232 of the Trade Expansion Act of 1962. The new US tariffs on the six major industries will be implemented separately from the new global 15% tariff. Regarding recent US tariff adjustment measures, a spokesperson for the Ministry of Commerce stated that China is closely monitoring and will comprehensively assess the relevant US measures. Subsequently, depending on the situation, China will decide at an appropriate time to adjust its countermeasures against US-origin fentanyl tariffs and reciprocal tariffs. Spot fundamentals: In the Shanghai market, Chihong lead was offered at a discount of 50-0 yuan/mt against the SHFE lead 2603 contract. Today was the first trading day after the Chinese New Year holiday. Suppliers gradually resumed work and attempted to offer prices for shipments. Some with higher prices offered at a premium of 150 yuan/mt against the SHFE lead 2603 contract, while those eager to clear inventory directly sold at a discount, with transactions reaching a minimum discount of 100 yuan/mt against the SHFE lead 2603 contract. SHFE lead got off to a good start on its first trading day. Additionally, as it is late February, suppliers were mostly actively shipping goods, while downstream enterprises were in the initial stages of resuming work, resulting in limited inquiries. Only a few enterprises restocked based on rigid demand, and initial transactions began to emerge in the market. Inventory: On February 24, LME lead inventory was recorded at 286,325 mt, unchanged from the previous day. As of February 24, the total social inventory of lead ingots in five regions tracked by SMM accumulated, with the total amount jumping to a five-month high. Today's lead price forecast: As enterprises across the lead industry chain gradually resumed work after the Chinese New Year holiday, lead consumption was temporarily absent because lead-acid battery enterprises had longer holidays than smelters. This led to accumulated lead ingot inventory at smelters after the holiday, which was transferred to social inventory. The first day after the holiday was the delivery date for the SHFE lead 2602 contract. Suppliers had gradually completed inventory transfers and shipments to delivery warehouses during the holiday, leading to an expected accumulation in social warehouse inventory, which surpassed the 60,000-mt mark. Downstream enterprises had not fully resumed work this week, and the lead ingot inventory reserved by most enterprises before the holiday could be maintained until around the Lantern Festival. In the short term, social lead ingot inventory will remain high. Follow-up attention is still needed on the recovery of lead consumption and the pace of secondary refined lead supply restoration. In the short term, lead prices may still be under pressure amid accumulating inventory.

SMM February 13: The most-traded SHFE lead 2604 contract opened at 16,700 yuan/mt during the day, fluctuating around the daily average line. Due to the dual decline in supply and demand in the spot market, lead prices lacked sufficient support, causing SHFE lead to fluctuate downward and hit a low of 16,640 yuan/mt. It finally closed at 16,700 yuan/mt, forming a doji with a decline of 0.33%. Trading volume was 46,911, and open interest was 69,507. As the Chinese New Year approaches, most participants in the lead industry chain have entered the holiday period, coupled with a decline in capital activity. SMM expects SHFE lead to be in the doldrums before the holiday. Data Source Statement: Except for publicly available information, other data are processed by SMM based on public information, market communication, and SMM's internal database model, for reference only and do not constitute decision-making advice.

SMM February 13: Lead prices fluctuated rangebound during the week, with low quotation activity in the spot market. Most smelters halted shipments for the holiday, while a few enterprises, facing high finished product pressure, were willing to sell off goods, but encountered limited purchase interest. The mainstream ex-factory prices for secondary refined lead spot orders, including tax, were at discounts ranging from 100 to 0 yuan/mt against the SMM #1 lead average price, with a few spot cargoes delivered to downstream enterprises at parity. Downstream battery producers resumed production slightly earlier than secondary lead smelters after the holiday, but digesting pre-holiday lead ingot inventory was expected to take 4 to 7 days. SMM anticipated that secondary lead enterprises would show high shipment activity at that time, while downstream purchase willingness would remain low. Losses at secondary lead smelters persisted, and the number of enterprises reducing or halting production increased during the Chinese New Year holiday. Although waste lead-acid battery prices declined slightly, sluggish trading activity in the lead industry chain weighed on lead price trends. As of February 13, 2026, the theoretical comprehensive profit/loss for large-scale secondary lead enterprises was -267 yuan/mt, while for small and medium-scale enterprises it was -474 yuan/mt (by-product revenues in the model exclude tin and antimony). After the holiday, secondary lead smelters concentrated on production resumptions, leading to a surge in demand for waste lead-acid batteries; raw material costs were expected to rise significantly. If purchase willingness among downstream battery producers recovers poorly, lead price increases will face pressure, and SMM expects the loss-making trend for secondary lead to persist. 》Order to View SMM Metal Spot Historical Prices