[SMM Analysis: Copper Prices Rebound at Week's End, Marginal Improvement in Copper Scrap Supply] In the first week of July (June 30-July 3), the copper scrap market operated under three overlapping factors: the second week after the implementation of the reverse invoicing regulation, the onset of the high-temperature off-season, and copper prices holding the 100,000 yuan mark. The overall supply-demand weakness that began in June persisted. The most-traded SHFE copper contract moved sideways within the 102,020-103,070 yuan/mt range, never breaching the psychological level of 100,000 yuan/mt, while the wait-and-see sentiment among end-users remained unabated...

[SMM Copper Cathode Rod Flash] Due to the fact that enterprises that previously cut production have not yet resumed production and new orders were insufficient, the recovery in operating rates fell short of expectations. Wire and cable and enamelled wire producers marginally sustained production based on existing orders. This week, the operating rate of copper cathode rod rose 0.38 percentage points WoW to 65.61%.

This week (June 26 – July 2), SMM data showed that the operating rate of copper wire and cable enterprises reached 71.8%, up 1.42 percentage points WoW and up 3.99 percentage points YoY. The previous pullback in copper prices prompted downstream buyers to lock in orders intensively; coupled with the concentrated production of outstanding orders, this drove the operating rate to rebound WoW this week. End-use demand side, as the market entered the traditional consumption off-season, downstream procurement sentiment was generally weak, with only the power and new energy sectors holding up relatively well. Inventory side, copper prices moved sideways at high levels, causing wire and cable enterprises' willingness to procure and stockpile to shrink substantially, with raw material inventories down 2.14% MoM. Meanwhile, sluggish end-user cargo pick-up during the off-season led to slow warehouse withdrawals of fixed-price orders, pushing finished product inventories up 2.57% MoM. Looking ahead to next week, continued strength in copper prices is expected to suppress order release, compounded by weakening seasonal demand. SMM expects the operating rate of copper wire and cable to decline 0.75 percentage points MoM to 71.05% next week (July 3 – July 9), down 0.47 percentage points YoY.

This week, the aluminum processing industry was broadly under pressure from three factors: a deepening off-season, continuously weakening aluminum prices that fueled widespread price-drop sentiment, and shrinking exports. Only a few subsectors such as energy storage provided marginal support. The operating rate is expected to continue its downward trend in the short term.

[SMM Monthly Wire and Cable Operating Rate] SMM learned that the operating rate of wire and cable enterprises in June fell 0.11 percentage points MoM to 72.22%, and declined 0.19 percentage points YoY. The operating rate for large enterprises was 77.62%, for medium-sized enterprises it was 47.54%, and for small enterprises it was also 47.54%. The operating rate is expected to increase 0.43 percentage points MoM to 72.65% in July.

In H1 2026, lithium battery recycling capacity construction accelerated, with seven provinces and regions—Ningxia, Jiangxi, Hunan, Anhui, Sichuan, Hubei, and Xinjiang—collectively announcing environmental impact assessment documents for a batch of scrap lithium battery recycling and comprehensive utilization projects. These projects cover various types of scrap resources such as LFP, ternary battery packs, positive and negative electrodes, and wires and cables, showing a clear trend of lithium battery recycling expanding from eastern coastal regions to the inland areas of central and western China.

According to SMM statistics, as of June 26, days of in-factory inventory at China’s aluminum rod plants were recorded at 1.43 days, down 0.39 days WoW from 1.82 days on June 18, with the inventory ratio further declining from 6.87% to 5.67%, a drop of 1.2 percentage points. The inventory destocking trend continued, but the decline narrowed significantly

Guangdong is a core hub of China’s wire and cable industry cluster, with a well-established industry chain, distinct locational advantages, and market reach extending across South China, Hong Kong, Macau, and Southeast Asia. The sector currently faces both opportunities and challenges: new energy and infrastructure markets outside China are expanding the space for going global, yet fluctuations in copper and aluminum raw materials, capacity homogenization, and low-price involution are squeezing corporate profits. Digital and intelligent upgrading has thus become the key to breaking through. will be held from July 14 to 15, 2026 at the Wyndham Hotel in the Guangzhou Design Capital, Guangdong . SMM , in partnership with Luoyang Sanwu Cable Group Co., Ltd. , invites you to attend. Leveraging entire industry chain data and in and outside China resources, the summit will focus on market analysis, transformation and upgrading, supply-demand matchmaking, and empowerment for going global, helping local enterprises enhance quality and expand markets while driving high-quality, internationalized development in the regional wire and cable industry. Click to . We look forward to meeting you at the summit. Sanwu Cables Reach Across the Seas Conductors and Wires Connect the Continents Luoyang Sanwu Cable Group Co., Ltd. (“Sanwu Group” for short, formerly Luoyang Sanwu Cable Co., Ltd.) was established in 2016 and now has over 600 employees. It is a mixed-ownership group enterprise integrating science, industry, and trade, headquartered in the Guobao Building in Luoyang, with three manufacturing entities and one trading company under its umbrella. Its production site is in the East Park of the Yichuan Advanced Manufacturing Development Zone, covering over 300 mu of land, with workshop space exceeding 150,000 m² and total annual capacity of more than 700 kt. Sanwu Group pursues a diversified development strategy rooted in specialization. Its main products include electrical round aluminum rod series, overhead conductor series, cable series, and deoxidized aluminum products series. These four product lines are mutually reinforcing, forming a solid business ecosystem. Sanwu products are widely used in electric power, transportation, new energy, metallurgy, petrochemicals, national defense, and urban construction. Its domestic clients include over 30 state-owned enterprises, central state-owned enterprises, and publicly listed firms, while its export markets have expanded to 37 countries and regions, 15 of which—including the Philippines, Singapore, Australia, Chile, and Kazakhstan—lie along the Belt and Road route. Sanwu Group’s subsidiaries have successively passed the “three-system” certification. All product series comply with IEC, ASTM, BS, and other international electrotechnical standards and authoritative detection requirements. The group has been recognized as a National High-Tech Enterprise, a Green Factory, a technology-based small and medium-sized enterprise, a provincial-level specialized and sophisticated small and medium-sized enterprise, and a Gazelle Enterprise. Its detection center collaborates deeply with Longmen Laboratory and has been accredited as a provincial engineering technology center and enterprise technology center. The group currently holds 10 inventions, 39 utility model patents, and 12 software copyrights, has contributed to the formulation of national standards, and has received a scientific and technological achievement evaluation report rating as domestically leading. It serves as the honorary chair organization of the Henan Electrical Industry Association and is an industry-academia-research base for Henan University of Science and Technology, Henan Institute of Technology, and Luoyang Institute of Science and Technology. Since 2023, it has been consistently listed among the top 100 enterprises in Luoyang, and in 2025, it was listed among the top 100 enterprises in Henan. Contact Information SMM Conference Contact Chen Bo 183 7089 1981 chenbo@smm.cn

The northern region is a core hub of China's wire and cable industry. Drawing on its industrial heritage, entire industry chain support, and favorable policies from Beijing-Tianjin-Hebei coordinated development, it has established a complete industrial cluster integrating raw material processing, wire and cable production, new material R&D, and intelligent equipment manufacturing. The annual output value of the regional wire and cable industry has surpassed 100 billion yuan, with a solid industrial foundation and broad market potential. will be held on July 23-24, 2026 at the Crowne Plaza Qingdao Jinshui, Shandong . The conference will focus on three major themes: industrial synergy, green intelligence, and globalization. SMM , in partnership with Guangdong Superconducting Cable Co., Ltd. , invites merchants from across the entire industry chain to gather, explore industry opportunities, and promote the quality upgrade of the northern wire and cable industry. Click to attend. We look forward to meeting you at the conference. Guangdong Superconducting Cable Co., Ltd. is located in Zengcheng District, Guangzhou. It is a specialized cable manufacturer integrating R&D, production, and sales, primarily engaged in various conductor, wire, and power cable products. The company relies on advanced automated production equipment, mature and stable manufacturing processes, comprehensive detection instruments and standardized detection procedures, complemented by a modern enterprise management system and a full-process closed-loop quality control system, to achieve full-chain quality control from raw material incoming inspection, production processing to finished product delivery, thereby solidifying the foundation of product quality. The business scope covers: wire and cable manufacturing, non-ferrous metal rolling processing, production and sales of metal materials, metal wire ropes and their products, as well as wholesale and retail of wire and cable, electrical equipment, power distribution switch control devices, hardware products, and building decoration materials—spanning the entire industry chain. This meets procurement needs across multiple fields such as power engineering, construction engineering, industrial and mining support, and dealer supply. The company adheres to the quality policy of "guaranteeing operation standards through strict management, forging product quality through excellent processes, and always centering on customer needs." It upholds the business philosophy of customer first, integrity and pragmatism, continuous improvement, and concerted efforts. Committed to technological iteration and product innovation, it strives to build a modern cable benchmark enterprise with superior quality, innovation-driven, and continuous advancement, consistently providing cost-effective cable products and one-stop supporting solutions to cooperative clients both in and outside China. Contact: Zhang Yaobo 139 2407 0890 SMM Conference Contact Chen Xiaolong 180 1708 9983 chenxiaolong@smm.cn

Guangdong is the core cluster region of China’s wire and cable industry, with a fully developed industry chain, pronounced regional advantages, and influence extending across South China, Hong Kong, Macau, and Southeast Asian markets. Currently, the industry is navigating a landscape of both opportunities and challenges. Outside China, new energy and infrastructure markets are broadening the space to go global, while copper and aluminum raw material fluctuations, homogenous capacity, and low-price involution are squeezing enterprise profits. Digital and intelligent upgrading has emerged as the key to breaking through the impasse. will be held on July 14-15, 2026 at the Wyndham Guangzhou Design Capital, Guangdong . SMM , in partnership with Shanghai Rottweil Electronic-Mechanical Technology Co., Ltd., sincerely invites you to join the conference. Leveraging entire industry chain data and resources in and outside China, the conference will focus on market analysis and outlook, transformation and upgrading, supply-demand matchmaking, and going global empowerment. It aims to help local enterprises improve quality and expand markets, driving high-quality, internationalized development within the regional wire and cable industry. Click to attend. We look forward to meeting you at the conference. Preferred Brand in China's Wire and Cable Industry Enduring Leadership in the Coding and Marking Industry Shanghai Rottweil Electronic-Mechanical Technology Co., Ltd. is a professional company providing high-grade industrial coding equipment and marking identification solutions , integrated with R&D, design, production, and sales . Headquartered in Shanghai, it has one production site in China; five logistics centers in the US, Germany, South Africa, China, and India; and has established branches or distributors in over 30 countries globally, including the US, Germany, South Africa, Russia, Brazil, and India. In China, it has a dedicated team of 200 and 15 offices across key economic centers, enabling it to serve clients in any Chinese city. The Rottweil factory has obtained ISO 9001 quality certification and ISO 14001 environmental management system certification, with products conforming to multiple international safety standards such as CE and RoHS. Its solutions are widely applied across numerous industry sectors, including wire and cable, food and beverage, building materials, pharmaceuticals, daily chemicals, pipes and tubes, electronics, civil explosives, and military industries . To enhance the purchasing experience and after-sales service quality for clients globally, Rottweil adopts an after-sales service system based on "One-on-One Service," "Prompt Response," and "Individual Accountability" . Adhering to the principles of client supremacy, sincerity, and efficiency, it serves every client, establishing Rottweil as a well-recognized brand with high client recognition, loyalty, and satisfaction. Contact Information Ren Jianjun 139 2220 8945 SMM Conference Contact Chen Xiaolong 180 1708 9983 chenxiaolong@smm.cn