In H1 2026, China's copper plate/sheet and strip exports continued the strong momentum seen since 2025, with each month maintaining double-digit positive YoY growth, and overall exhibiting a pace of "strong start before Chinese New Year, accelerated surge after the holiday, and continuous volume expansion in Q2." From January to June, China's copper plate/sheet and strip industry achieved a cumulative YoY growth of 18.02%, laying a solid foundation for high growth throughout the year. With the continuous enhancement of international market recognition and the expansion pace of overseas new energy installations and power grid infrastructure investment, the prosperity of copper plate/sheet and strip exports will stay high in H2.

In H1 2026, China's exports of copper plate/sheet and strip sustained the strong momentum that began in 2025, with each month recording double-digit YoY growth, overall showing...

In June 2026, China's copper plate/sheet and strip exports set a new monthly record, with total exports of 13,424 mt, a significant YoY increase of 29.87%, covering 99 countries and regions. South Korea, Vietnam, and Taiwan, China were the top three destinations, together accounting for 29% of the exports.

According to data from the General Administration of Customs, China's exports of copper plate/sheet and strip stood at 13,423.84 mt in June 2026, up 8.21% MoM and 29.87% YoY; from January to May, China's cumulative exports of copper plate/sheet and strip totaled 71,316.9 mt, cumulatively up 18.02% YoY.

[2026 Copper Plate/Sheet and Strip Semiannual Review and Outlook: H1 Operating Rate Hits a Five-Year High for the Same Period, Emerging Sectors Underpin Industry Resilience] In H1 2026, after experiencing wild swings in copper prices at the start of the year and the seasonal shutdown during the Chinese New Year, China's copper plate/sheet and strip industry entered a rapid recovery path from March onward, presenting an overall...

According to SMM, the comprehensive operating rate of the copper plate/sheet and strip industry in June 2026 stood at 74.97%, down 1.58 percentage points MoM but up 8.19 percentage points YoY. The actual operating performance for the month was 0.46 percentage point higher than earlier market expectations. Among them, the operating rate of large enterprises was 84.38%, that of medium-sized enterprises was 55.99%, and that of small enterprises was 70.72%.

[Copper Plate/Sheet and Strip: Emerging Track Supports Industry Resilience, June Stronger-than-Usual Off-Season Operating Rate Far Exceeding Same Period] According to SMM, in June 2026, the operating rate of the copper plate/sheet and strip industry was ......

[SMM Analysis] SHFE copper cathode spot premiums experienced notable volatility in H1 2026, marked by deep discounts in phases, a recovery in Q2, and a return to positive territory by mid-year. In Q1, seasonal inventory buildup after the Chinese New Year, slow downstream recovery, and disruptions from contract rollovers repeatedly put spot premiums under pressure. Entering Q2, consumption improved QoQ, and concentrated smelter maintenance drove continuous destocking of domestic social inventory. In particular, the rapid decline in Guangdong inventory lifted spot premiums in South China, opened arbitrage opportunities for shipping inventory from East China to South China, and provided support to premiums in Shanghai and other regions. From May to June, although high copper prices and off-season expectations suppressed downstream purchases, the widening LME-COMEX spread diverted overseas supply to the US market, constraining the pace of imported copper replenishment in China, with low inventory levels still underpinning spot market resilience. Looking ahead to H2, SHFE copper premiums will be shaped by the interplay of inventory, consumption, imports, and supply additions. The Q3 off-season may limit the upside for premiums, but low inventories, uncertainty over import replenishment, and tight regional supply will continue to support spot premiums. In Q4, attention should be focused on the capacity ramp-up of new expansion projects such as Humon Phase 2, Chifeng Jintong Phase 2, and Shenghai Phase 2. If new supply is released smoothly, the import window opens, and consumption recovery remains weak, spot premiums may gradually come under pressure. However, if inventories stay low and import replenishment remains limited, premiums could still see intermittent strengthening opportunities.

When asked, "The company extracts the following by-products during copper smelting: rhenium, germanium, indium, gallium, bismuth, selenium, tellurium, platinum, palladium, antimony, and cadmium. Is this true? And what was the annual production of each in tonnes in 2025? Please reply, thank you!" Tongling Nonferrous Metals responded on the investor interaction platform on June 29 that the company fully leverages its comprehensive resource utilization advantages, recovering associated platinum, palladium, rhenium, and other rare and scattered metals during the copper smelting process to enhance by-product profit contribution, and the overall production volume accounts for a relatively small share. The company's overall operating performance of the rare and scattered metals business in 2025 has been reflected in the annual report. Tongling Nonferrous Metals replied to investor questions on the investor interaction platform on June 29: (1) The company's main business includes copper ore mining and beneficiation, smelting, and copper processing, and it has competitive advantages in mineral resource reserves, copper smelting, and deep processing. It is one of the most comprehensive integrated copper producers in China, with horizontal expansion and vertical extension of its industry chain, giving it a competitive edge in industry chain integration. (2) As of now, the specific projects related to the industrial park mentioned above are still in the preliminary survey and proposal evaluation stage; no final decisions have been made, nor have internal reviews or relevant administrative approval procedures been carried out. There is a degree of uncertainty about project implementation. The company will strictly comply with information disclosure laws, regulations, and regulatory requirements, and will perform its information disclosure obligations in a timely manner when the projects achieve substantive progress and meet disclosure thresholds. All material matters of the company are subject to the formal announcements published on the designated information disclosure media. Investors are advised to invest rationally and be mindful of investment risks. (3) Regarding the client situation of Jinxin Copper Branch, please refer to the company's announcements on statutory information disclosure platforms. Tongling Nonferrous Metals stated on the investor interaction platform on June 29: The copper wire rod capacity of Jinxin Copper Branch is in the process of gradual release; subsequently, based on market demand and its existing capacity, it will effectively plan capacity to ensure efficient resource allocation. As of now, Jinxin Copper's orders are normal and all operations are proceeding in an orderly manner. For specific orders and shipment volumes, please refer to the company's announcements on the statutory information disclosure platform. In response to the questions: "1. What was the average selling price of the 6.21 million mt of sulphuric acid produced in 2025? And what were the sales volume and average selling price of sulphuric acid in the first five months of this year? 2. What is the specific reason for the asset impairment loss of 1.627 billion yuan in Q1 2026? With non-ferrous metal prices generally rising, is the company's earlier provision for inventory impairment hiding profits? After the inventory for which impairment has been provided is sold, will profit be restored by an equivalent amount? 3. The company holds 600 million shares of Tongguan Copper Foil. Based on today's closing price of 200 yuan, the equity position has an unrealized gain of 119 billion yuan. Does the company plan to sell at an opportune time to realize the investment gain?" Tongling Nonferrous Metals replied on the investor interaction platform on June 26: 1. Regarding sulphuric acid sales volume and average selling price: Sulphuric acid is a by-product of the company's smelting process, and its selling price is market-oriented, affected by multiple factors including regional supply-demand patterns and demand from downstream fertilizer and chemical industries. The company's overall operating performance of the sulphuric acid business in 2025 has been reflected in the annual report, and 2026 operating data should be referred to in subsequent periodic reports disclosed by the company. The company will continue to monitor the sulphuric acid market and dynamically optimize production and sales pace to maximize the operating profit of by-products. 2. For the reasons for the Q1 2026 asset impairment provision, please refer to the company's Announcement on Asset Impairment Provision (Announcement No.: 2026-024) disclosed on cninfo.com.cn on April 29, 2026. The company strictly follows accounting standards for enterprise accounting treatment, and there is no hiding of profits. According to accounting standards, when inventory for which a price decline provision has been made is subsequently sold, the corresponding inventory price decline provision is simultaneously written off, reducing the current period's operating costs, thereby positively restoring profit for the period. However, it is not an equivalent amount; the write-off amount is capped at the originally provided amount for that inventory and will not generate additional profit beyond the original provision. 3. Tongguan Copper Foil is a controlled subsidiary of the company, and the company holds 72.38% of its equity. Its financial data are fully consolidated into the company's consolidated financial statements. From an accounting perspective, fluctuations in the secondary market share price of a controlled subsidiary represent changes in market valuation only. In cases where equity is not disposed of, or is partially disposed of without losing control, it will not affect the net profit in the company's consolidated statements for the current period. As of now, the company has no plan to sell Tongguan Copper Foil shares opportunistically. If equity disposal is involved in the future, the company will strictly comply with state-owned asset supervision and securities regulatory requirements, fulfilling review procedures and information disclosure obligations. An investor asked on the investor interaction platform: Dear Board Secretary, regarding the Mirador Phase II (Mirador) Mining Contract Amendment (Adenda), its status was updated from "awaiting signature" to "signed/notification process" when a shareholder inquired on April 21, 2026. May I ask whether ECSA, controlled by the company, has now received formal notification of the signing of the mining contract for the Mirador Phase II copper mine project? Tongling Nonferrous Metals stated on the investor interaction platform on May 21 that as of now, China Railway Construction Tongguan Investment Co., Ltd. (of which ECSA is the main operating entity for the Mirador copper mine) has not yet received formal notification of the signing of the mining contract for the Mirador Phase II copper mine project. Please refer to the company's announcements on the statutory information disclosure platform for updates. Tongling Nonferrous Metals released its Q1 report showing: The company achieved operating revenue of 64.67 billion yuan in Q1 2026, up 83.61% YoY; net profit attributable to shareholders of the listed company was 1.338 billion yuan, up 19.12% YoY; and net cash flow from operating activities was 6.632 billion yuan, up 473.09% YoY. Tongling Nonferrous Metals announced in its Q1 report matters concerning project delays at a controlled subsidiary: In recent years, Ecuador's political situation has been volatile with frequent personnel changes, and leadership changes at the competent ministry have led to personnel changes at the working level, greatly affecting policy continuity and administrative efficiency, thereby impacting the progress of signing the Mining Contract for the Mirador Phase II copper mine project. Since 2025, the company and ECSA have strengthened engagement with the relevant authorities of Ecuador's new government through multiple channels and at various levels. The latest round of preliminary negotiations for the Mining Contract for the Mirador Phase II copper mine project has been completed and submitted to the competent ministry for review. Given the significant differences in investment and operating environments between Ecuador and China, the volatile political situation, and the lack of stability in the legal environment, the specific timing for signing the Mining Contract for the Mirador Phase II project is still uncertain. As a result of the aforementioned factors, the formal commissioning of the Mirador Phase II project, once completed, can only commence after its Mining Contract is signed. For details, please refer to the company's Announcement on Subsidiary Project Delay disclosed on cninfo.com.cn on January 5, 2026. Tongling Nonferrous Metals disclosed in its 2025 annual report: In 2025, the company achieved total operating revenue of 172.825 billion yuan, up 18.68% YoY; net profit attributable to the parent company was 2.415 billion yuan, down 14.02% YoY. Tongling Nonferrous Metals announced: In 2025, the company overcame unfavourable factors such as tight copper concentrate supply and low TCs, and carried out in-depth activities to increase production and efficiency, and reduce costs and tap potential. In 2025, the company produced 197,700 mt of copper in self-produced copper concentrates, 1.9548 million mt of copper cathode, 400,700 mt of semi-finished copper products, 6.2185 million mt of sulphuric acid, 20.51 mt of gold, 579.55 mt of silver, 376,200 mt of iron ore concentrates, and 382,100 mt of sulphur concentrates, successfully achieving the annual production tasks. Regarding its main business activities, Tongling Nonferrous Metals stated in its 2025 annual report: The company is a large-scale integrated copper producer covering copper mining and beneficiation, smelting, processing, and trading, with main products including copper cathode, sulphuric acid, gold, silver, copper foil, and copper plate/sheet and strip. The company has deep technical accumulation, a leading industry position, and significant competitive advantages in copper mining and beneficiation, copper smelting, and copper foil processing. The 2026 operating plan disclosed by Tongling Nonferrous Metals in its 2025 annual report shows: 1. Core operating indicators In 2026, the company will strive to achieve various core product production targets, specifically: 227,600 mt of copper in self-produced copper concentrates, 2.108 million mt of copper cathode, 455,000 mt of semi-finished copper products, 22,000 kg of gold, 650 mt of silver, 7.07 million mt of sulphuric acid, 344,000 mt of iron ore concentrates (60%), and 308,000 mt of sulphur concentrates (35%), anchoring production and operational objectives with quantified indicators. A research report from Guosen Securities published on April 22 indicated that the company's copper smelting segment's profitability is industry-leading. In 2025, Jinlong Copper achieved a net profit of 800 million yuan; if simply converted by capacity, Jinguan Copper Branch's net profit was approximately 1.22 billion yuan. Excluding the newly commissioned Jinxin Branch, the three existing smelters had a combined annual net profit of 2.64 billion yuan. The decent profit of copper smelters including the company in 2025 can be attributed to factors such as raw material inventory cycles, high sulphuric acid prices, high copper smelting recovery rates, and high prices for by-product gold and silver. Compared with several other large copper smelters, whose main smelters had net profit margins mostly around 0.5%, Tongling Nonferrous Metals' main smelters all had net profit margins around 2%, significantly above the industry average. Mirador Phase II may come online in August. The company expects to produce 228,000 mt of copper concentrates in 2026. Based on past trends, domestic copper ore production is 50,000 mt per year, and Mirador Phase I production is 130,000 mt per year, so Mirador Phase II is scheduled to produce 50,000 mt in 2026, implying production start-up around August 2026. In 2025, China Railway Construction Tongguan Investment achieved a net profit of 1.93 billion yuan, and the Mirador project company reached a net profit of 3.79 billion yuan, demonstrating strong profitability. Mirador Phase II mining and beneficiation costs are only about 70% of Phase I. If Phase I costs are 28,000 yuan/mt, a rough calculation puts Phase II costs at 19,600 yuan/mt. If by-product gold and silver partially offset copper costs, Mirador Phase II costs could be negative. Risk warnings: risk of wild swings in copper prices, risk of copper concentrate TC declines.

I.AI Computing Power Expansion Opens Growth Space for Copper Global computing power infrastructure and data center construction have seen simultaneous explosive growth, with intensive commissioning of intelligent computing and supercomputing projects across regions, generating an entirely new incremental demand curve for copper semis. According to SMM projections, global new installations is expected to achieve a CAGR of 24% from 2025 to 2030, with the fastest pace of new deployment occurring in 2025 and 2026. New installations in 2026 are expected to grow 65% MoM, and by 2027, the growth rate of new installations is projected to pull back to 28.77%, followed by a year-by-year deceleration in 2028-2030. By region, global new installations of computing power are mainly concentrated in two major markets: the US and China. Leveraging its scale-leading cloud operators, highly efficient facility operation systems, and a well-established global AI industry ecosystem, the US continues to lead in deployment scale. In China, leading cloud producers such as Alibaba and Tencent continue to increase capital expenditure on computing power infrastructure, while the national computing power network is formally incorporated into the top-level planning of the "Six Networks" and the "East Data, West Computing" projects are being rolled out and commissioned in batches, leading to a steady rise in the market share of domestic intelligent computing centers. SMM analysis indicates that the CAGR of new copper consumption for global computing power from 2025 to 2030 is 21%, slightly lower than the growth rate of new installations. The core reason is the gradual release of medium and long-term technological effects that reduce copper usage. Looking at individual years, copper consumption growth is 54.94% in 2026, pulling back to 27.58% in 2027, and the growth of new copper consumption is also expected to exhibit a gradual slowdown trend from 2028 to 2030. II. Unit Copper Consumption in Computing Power Centers Shows a Phased Trend of First Increasing then Decreasing SMM's calculation by region shows that the comprehensive copper consumption per unit of global computing power centers will present a characteristic of first increasing then decreasing from 2025 to 2030. In the short term, new computing power is mainly through the construction of entirely new campuses, with supporting power, grounding, and other infrastructure built from scratch, coupled with high-density cabinets driving a rapid rise in the penetration rate of liquid cooling systems. Multiple factors jointly push comprehensive unit consumption upwards in 2025-2026. In the medium and long term, as 800V high-voltage DC power distribution is popularized at scale, the required thickness and cross-section of copper conductors under equivalent power scenarios will decrease significantly.Meanwhile, high-speed NVLink copper cables will face substitution by fiber optic interconnects. Coupled with the iteration of liquid cooling heat dissipation materials and technological breakthroughs in aluminum as a substitute for copper processes, the industry's comprehensive unit consumption will enter a downward trajectory. However, constrained by the pace of industrial technology penetration, SMM's calculations show no significant decline in unit consumption in 2027-2028, as consumption reduction and copper-increase factors offset each other, keeping unit consumption stable. The downward trend will only become significantly prominent after 2029. It is worth noting that comprehensive unit consumption is a weighted average calculated by SMM based on the deployment scale of computing power in the US, China, and the rest of the world. There is clear differentiation in unit consumption among data centers in different regions, with the unit copper consumption ranked as: Rest of the World > China > US, where the scale effect of large clusters effectively lowers unit copper intensity. III. Breakdown of Core Copper Usage in Computing Power Centers Computing centers fall into three categories: general-purpose IDCs, intelligent computing centers, and supercomputing centers. This article uses intelligent computing centers, which currently hold the highest market share and fastest growth rate, as the calculation sample to break down the copper consumption structure: The power supply and distribution system is the largest copper-consuming segment in a computing center, accounting for 66% of total copper consumption according to SMM calculations. It primarily handles medium- and high-voltage power conversion and ensures uninterrupted power supply for equipment rooms. Medium- and low-voltage distribution cabinets, UPS, and busways are the core copper-consuming equipment. In the short term, high-power cabinets continue to boost demand for copper semis in power distribution, while in the medium and long term, after the popularization of lithium battery UPS and high-voltage DC solutions, unit copper consumption in the distribution segment will trend steadily downward. SMM estimates that AI server hardware infrastructure accounts for 18% of copper consumption, undertaking all tasks of computing power, storage, and network interaction. It integrates core components such as GPUs, motherboards, and server power supplies, and the stable operation of the hardware directly determines the computing power output of the cluster. High-end AI server PCBs and internal interconnection copper wires are the main sources of copper consumption in this segment. The liquid cooling system accounts for 11% of copper consumption. The closed-loop liquid cooling cycle meets the heat dissipation demands of high-power AI chips, with cold plates, CDU heat exchange units, and circulating copper pipe & tube serving as the main copper-consuming components. Liquid cooling penetration during 2025-2026 will boost demand for copper pipe & tube and copper plate/sheet and strip, and once copper-aluminum composite heat dissipation materials mature, the copper intensity for heat dissipation will gradually decline. Network communication, grounding protection, and supporting auxiliary systems together occupy the remaining 5% of copper consumption , covering sub-scenarios such as high-speed interconnection cabling and equipment room grounding and lightning protection copper grids. The current optical fiber interconnection industry chain continues to expand production, with optical fiber enterprises seeing simultaneous improvements in orders and profitability, indirectly confirming the overall high prosperity of AI computing power construction. In the long term, optical fiber will also continue to divert demand from high-speed copper cables. IV. Comprehensive Analysis of the Proportions of Different Copper Semis Breaking down the copper consumption structure of computing centers comprehensively by semi-finished copper product category, cables and copper busbars are the core consumables throughout the construction process. SMM analysis shows that cables account for 40% of the total copper consumption in a computing center, acting as the “blood vessels” permeating every link, with core applications in high-voltage access, low-voltage distribution, power transmission, high-speed communication copper cables, building wiring, as well as grounding and lightning protection cables. Copper busbar (24% of total copper consumption), the "backbone" for high-current power distribution in data centers, is mainly used in high- and low-voltage power distribution cabinets, transformer copper busbars, UPS systems, etc.Copper plate/sheet and strip (17%) is mostly used in transformer windings and liquid cooling cold plate substrates, performing dual functions of power transformation and heat dissipation. Copper pipe & tube (11% of total copper consumption) is a dedicated consumable for liquid cooling systems, mostly used in circulation piping, CDU heat exchange units, and precision air conditioning heat exchange pipes. The large-scale expansion of liquid cooling will boost demand for copper pipe & tube in the short term. Copper foil (4%) covers application scenarios including servers, switches, and various PCB circuit boards. Industry demand is concentrated on HVLP ultra-low profile high-end copper foil. Although the copper consumption per GW is relatively small, the incremental elasticity driven by AI computing power expansion is extremely strong. Currently, copper foil enterprises are accelerating the switch of capacity from ordinary electronic copper foil to high-end HVLP capacity, while copper clad laminate (CCL) producers have full order books and processing fees are being raised continuously, indicating that the prosperity of computing hardware demand has been verified across the entire industry chain. In summary, the rapid expansion of computing centers directly drives the growth in demand for related copper semis. At the same time, high-density AI computing clusters significantly raise the requirements for power supply supporting facilities, and the overall electricity consumption scale of the industry surges simultaneously. The demand for power infrastructure construction derived from computing expansion has become a key focus for long-term tracking and research in the future. While computing demand expands, the industry's development also faces external constraints. Currently, the grid connection approval process has a relatively long queuing period, and the market is generally concerned that transmission, distribution, and generation-side capacity bottlenecks may drag down the implementation pace of computing projects. However, according to SMM forecasts, no substantial power supply gap risk is expected for the industry over the next five years. It will still be necessary to closely track the approval progress and commissioning pace of various transmission and distribution supporting projects. SMM will also continue to follow the relevant industry dynamics and copper demand changes. For detailed data, please contact Cynthia Wang of the SMM Copper Research Team at 15762822325.