[SMM Brass Bar Flash News] Looking ahead to next week (4.3-4.9), order momentum has cooled somewhat from the initial period after the Chinese New Year, but the refrigeration sector still provides support, and large enterprises are maintaining active production. Considering multiple factors, SMM expects the industry's operating rate next week to edge up 0.32 percentage points MoM to 55.48, with overall operations remaining mild.

[SMM Brass Bar Flash News] This week (3.27-4.2), the operating rate of the brass billet industry came in at 55.16, up a slight 0.77 percentage points WoW. The industry as a whole remained mild, supported strongly by robust demand from downstream refrigeration and heat dissipation sectors.

[SMM Brass Bar Flash News] Looking ahead to April, enterprises reported that current order momentum has cooled somewhat compared with the initial period after the Chinese New Year, but the refrigeration sector still maintained a certain degree of support. Large enterprises maintained an active production stance and continued to capture market share. SMM expects the operating rate in April to increase slightly by 1.47 percentage points MoM to 54.06%.

[SMM Brass Bar Flash News] After returning from the holiday, brass bar enterprises saw solid order performance, exceeding market expectations. Robust demand from downstream refrigeration and heat dissipation sectors provided strong support, while downstream customers actively picked up goods to fulfill orders, driving a slight drop back in finished product inventories at copper billet enterprises.

[SMM Brass Bar Flash News] In March, the comprehensive operating rate of copper billet enterprises was 52.59, up 29.81 percentage points MoM and down 1.79 percentage points YoY. In March, the operating rate of large enterprises was 59.81, that of medium-sized enterprises was 43.93, and the operating rate of small enterprises was only 28.7, with clear divergence among enterprises.

This week (3.27-4.2), the operating rate of the brass billet industry came in at 55.16%, rebounding slightly by 0.77 percentage points MoM , with the industry as a whole maintaining a mild trend. Robust demand from downstream refrigeration and heat dissipation sectors provided strong support, while active downstream cargo pick-up for order delivery also drove a slight drop back in finished product inventories at copper billet enterprises. Looking ahead to next week (4.3-4.9), order momentum is expected to cool somewhat from the initial period after the Chinese New Year, but the refrigeration sector will still provide support, and large enterprises will maintain active production. Considering multiple factors, SMM expects the industry's operating rate to edge up 0.32 percentage points MoM to 55.48% next week, with overall operations remaining mild.

[SMM Brass Bar Flash News] As of the week ending March 27, the weekly CIF China quotation for US brass scrap had risen to $7,750/mt. Recycled brass raw materials prices continued to stay high, and overall spot availability in the market remained tight. High raw material costs made brass billet enterprises more cautious in their procurement strategies, with stockpiling willingness weakening significantly.

[SMM Brass Bar Flash News] Recently, the brass bar industry has been facing the dual challenge of persistently high raw material costs and diverging market demand. According to SMM, although the industry's overall operating rate has rebounded slightly amid the continued rise in prices of recycled brass raw materials, enterprises' willingness to stockpile has declined markedly, and wait-and-see sentiment in the market remains strong.

[SMM Brass Billet Flash News] This week (3.20-3.26), the operating rate of China’s brass billet industry came in at 54.39, up slightly by 0.26 percentage points WoW. The industry as a whole maintained a mild trend, while downstream orders showed divergence. Demand in the refrigeration valve fittings segment remained steady and improved, becoming the core driver supporting enterprises’ production schedules. Orders in traditional general-use segments such as hardware and plumbing were relatively stable, and enterprises mainly focused on executing previous contracts, with a relatively cautious pace in taking new orders.

This week (3.20-3.26), the operating rate of China’s brass billet industry came in at 54.39%, up a mild 0.26 percentage points MoM , with the industry as a whole maintaining a mild trend. Downstream orders showed divergence: demand in the refrigeration valve fittings segment remained steady and improved, becoming the core driver supporting enterprises’ production schedules, while orders in traditional general-use segments such as hardware and plumbing were relatively stable, with enterprises mainly executing earlier contracts and taking a relatively cautious pace toward new orders. Affected by elevated prices for recycled brass raw materials and relatively tight spot circulation in the market, sample enterprises showed lower willingness to stockpile raw materials this week, and days of raw material inventories edged down to 4.35 days. Finished product inventories turnover remained stable at 5.39 days, and overall industry inventory pressure was limited; Looking ahead to next week (3.27-4.2), fluctuations in copper prices are still expected to disturb downstream purchasing sentiment. Combined with the constraints of tight supply and elevated costs for recycled brass raw materials, this is expected to exert some restraint on enterprises’ operating loads. However, orders on hand will still provide support, leaving limited room for the operating rate to decline. SMM expects the operating rate of the brass billet industry next week to edge down 0.07 percentage points MoM to 54.32% , and the industry will continue to operate under a pattern driven by rigid demand and constrained by raw materials.