Konkola Copper Mines (KCM) in Zambia restarted mining operations at its Chingola B mine, which had been shut down for 18 years. As part of the Nchanga mine complex, the Chingola B mine is expected to produce over 200,000 mt of ore per month. KCM is 79.4% owned by Vedanta Resources and 20.6% by Zambia's state-owned investment company ZCCM-IH, and operates mines and processing plants in Chingola, Chililabombwe, Kitwe, and Nampundwe.

SMM Morning Meeting Summary: Overnight, LME copper opened at $13,477.5/mt, dipped to $13,461/mt in early trading, then gradually shifted its center upward to reach $13,676/mt, and finally closed at $13,654.5/mt, up 1.69%, with a trading volume of 17,000 lots and open interest of 273,000 lots, down 3,375 lots from the previous trading day, indicating bears reducing positions. Overnight, the most-traded SHFE copper 2606 contract opened at 103,950 yuan/mt, touching a low of 103,950 yuan/mt right at the open, then shifted its center upward to reach a high of 105,190 yuan/mt, and finally closed at 105,030 yuan/mt, up 1.04%, with a trading volume of 37,000 lots and open interest of 133,000 lots, down 3,198 lots from the previous trading day, indicating bears reducing positions.

[SMM Shanghai Spot Copper][SMM Shanghai Spot Copper] Looking ahead to tomorrow, demand side, according to SMM, although copper prices retreated after a rapid rise, absolute prices remained at high levels. End-user cargo pick-up pace slowed down. Affected by the accumulation of finished product inventories, some copper semis processing plants in east China opted to shut down furnaces for maintenance or close part of their production lines to reduce the capital occupation risk caused by high finished product inventories. Overall, amid weak demand, Shanghai spot copper premiums against the 06 contract are expected to remain at a discount tomorrow, or widen slightly.

In March 2026, the global steel market experienced a fierce geopolitical "sudden chill." According to the latest data from WSA, global crude steel production in March fell by 4.2% year-on-year to 159.9 million tons. The US-Iran conflict that erupted on Feb 28, and the subsequent blockade of the Strait of Hormuz, have completely disrupted the spring recovery rhythm of the global steel supply chain, with the shadow of energy crises and logistical interruptions rapidly spreading worldwide.

[Geopolitical Negotiations Remain Unresolved; Aluminum Prices Continue LME Outperforms SHFE Pattern] Overall, the Middle East negotiation process continued to face setbacks. However, the supply gap outside China and the continued drawdown of LME inventory supported LME prices to hold up well. Meanwhile, China's aluminum ingot inventory remained at elevated levels, and attention should be paid to whether the inflection point of domestic inventory can materialize smoothly.

On April 16 (Thursday), a document showed that Codelco and global miner Anglo American plan to separately submit environmental study reports to regulators for their proposed shared Andina-Los Bronces copper mine in Chile, using what they called an "unprecedented" dual-track model to streamline the approval process. The document showed that the two companies plan to submit two essentially identical applications in December for a copper mine to be jointly operated by both parties. Chile is currently the world's largest copper-producing country. Against the backdrop of an anticipated tightening in global copper supply, this model could serve as a blueprint for other major miners looking to share infrastructure and operations to boost production. The model would also allow Codelco and Anglo American to move faster and reduce risks. Codelco and Anglo American finalised this cooperation agreement in September 2025, planning to increase annual copper production by approximately 120,000 mt from 2030 to 2051, creating at least $5 billion in pre-tax value. ***"Mirror" Applications*** In areas where operations will overlap, the two companies proposed adopting identical environmental protection measures for each miner. A presentation document showed that they considered a single application submission legally unfeasible, as the Chilean constitution requires Codelco to retain ownership of its mining concessions. The two companies had also considered submitting three applications: one from each miner to extend the life of their respective mines, and a third from a joint entity responsible for operating the shared project. They ruled out this option, as it would require the enterprises to relinquish their existing open-pit mine environmental protection permits to make way for the merged mine. This "dual-track structure" also makes it possible for the two mines to resume independent operations in the future. ***On-Site Operations*** The documents detailed the plan to create a single mine site from the existing operations. Anglo American's Los Bronces mine is adjacent to Codelco's Andina mine. The two companies' plans showed that the rock barrier between them will also be mined, forming a single operating pit while keeping the project essentially within the existing footprint of the mines. A document showed that ore extracted from the shared mine site will be alternately sent to the Los Bronces and Andina processing plants, while waste rock will be dumped in each company's respective waste rock piles. To operate the two mines as an integrated system, modifications to waste rock piles, tailings facilities, pipelines, and supporting infrastructure are still required. The two companies stated that shared infrastructure can avoid redundant construction, reduce freshwater consumption, and alleviate pressure on the surrounding environment. ***Risks of a "Shared" Mine*** The two companies also identified significant risks, such as the need for close coordination with regulators, which could put pressure on Chile's already slow environmental review system. They emphasised that the project has "a very high level of public attention" and that there is a risk that environmentalists and affected communities may argue that the two reviews obscure the scale of the impacts. The Los Bronces mine has been accused for years of impacting air quality, water use, and glaciers in the high Andes region where it is located. Although Codelco and Anglo American believe the dual-track approach can reduce the risk of impacts being underestimated, they also acknowledged that it could lead to duplication of environmental protection management measures. (Wenhua Consolidated)

[Short-Term Supply-Demand Resonance, Bullish Trend in Aluminum Prices Continues] Overall, the Middle East negotiation process experienced repeated setbacks, but the supply gap outside China and continued LME inventory drawdown supported LME prices to hold up well. China's aluminum ingot inventory remained at elevated levels, and attention should be paid to whether a turning point in domestic inventory can materialize smoothly.

According to SMM data, during the week of March 9–13, 2026 , China’s stainless steel market moved into the middle phase of the traditional peak-demand season known as “Golden March,” while trading in the most-active stainless steel futures contract rolled smoothly into SS2605 . Against a backdrop of escalating geopolitical tensions and a visible turn in inventory trends, stainless steel futures continued to trade at relatively elevated levels. As of 10:15 a.m. on March 13 , the contract stood at RMB 14,275/mt (about USD 2,068/mt) , up RMB 40/mt (about USD 5.80/mt) from the previous Friday’s close. This week’s key market tension remained the mismatch between rising supply and only a modest recovery in demand. Although fundamentals have yet to show strong upward momentum, geopolitical risk premiums and persistently high raw material costs have kept downside pressure limited, preventing a broader correction from taking shape. Macro backdrop: geopolitics abroad, policy support in China At the macro level, external black swan risks and policy support in China have created a clear contrast. Iran reiterated that it would maintain the effective closure of the Strait of Hormuz, reinforcing safe-haven demand and pushing the US dollar index higher. That, in turn, capped upside in dollar-denominated base metals. Meanwhile, US core CPI rose 2.5% year on year in February , in line with expectations, easing immediate inflation concerns. Even so, the market remains wary of a potential surge in energy prices in March. In China, the Ministry of Finance has signaled that fiscal policy in 2026 will remain more proactive, with RMB 100 billion (about USD 14.49 billion) allocated to strengthen coordination between fiscal and financial policy, particularly in support of household consumption and private-sector investment. That measured policy support has helped improve expectations for a broader recovery in commodity demand. Inventory draw emerges, but spot demand remains cautious On the fundamentals side, the stainless market has finally reached a meaningful inflection point in destocking, although spot trading still appears underwhelming. The latest SMM data shows that social inventories fell to 998,100 mt this week from 1,016,400 mt the previous week, a decline of 18,300 mt , taking inventories back below the psychologically important 1 million mt threshold. As downstream processing plants gradually resumed operations, demand continued to recover. However, while spot transactions improved from earlier levels, trading activity still fell short of the strength typically associated with the seasonal peak. End-users have largely remained focused on buying only what they need, with little appetite for active restocking. At present, the supply increase resulting from concentrated mill restarts in March is meeting only a slow improvement in end-use demand. That still-fragile recovery continues to limit market confidence in any stronger upside breakout during the peak season. Raw material costs remain the key floor Raw material costs continued to trend higher and remain the market’s main source of downside support. With geopolitical tensions lingering and tight ore supply from Indonesia continuing to feed through the market, upstream quotations kept rising. As of March 13 , high-grade NPI moved up further to RMB 1,094.5 per nickel unit (about USD 158.61 per nickel unit) , up RMB 6.5 (about USD 0.94) from a week earlier. High-carbon ferrochrome also climbed to RMB 8,650 per 50-basis mt (about USD 1,253.50 per 50-basis mt) . As raw material prices continue to move higher, stainless mills’ production cost floors are also rising. Although downstream buyers remain resistant to expensive material, room for mills to offer discounts has narrowed sharply under the pressure of high costs and, in some cases, negative margins. As a result, cost support for both futures and spot prices has become increasingly firm. Outlook: high-level consolidation likely to continue Overall, the stainless steel market is now caught in a complex tug-of-war defined by rising supply, only a weak recovery in demand, firm cost support, and a clear turn in inventories. The safe-haven and inflation-hedging logic stemming from the Strait of Hormuz crisis, together with NPI prices approaching the 1,100 threshold, has effectively limited downside in the futures market. At the same time, subdued spot order activity has capped upside momentum. Looking ahead to next week, the market will be watching closely to see whether the destocking trend can continue. The main focus will shift to actual arrivals following mill restarts and the pace at which downstream orders improve. In the near term, the most-active stainless steel futures contract is expected to remain rangebound at relatively high levels. Market participants are advised to closely monitor geopolitical developments and nickel ore price movements, as both could trigger sudden directional swings. Written by: Bruce Chew | bruce.chew@smm.cn +601167087088

[Domestic Iron Ore Brief: Iron Ore Concentrate Prices in West Liaoning May Have Some Upside Potential] According to SMM tracking, iron ore concentrate prices in west Liaoning experienced a slight decrease. The current ex-factory price for 66% grade iron ore concentrates on a wet basis, excluding tax, is 750-755 yuan/mt. Some small and medium-sized local mines and processing plants suspended production for maintenance during the Chinese New Year and have not yet resumed normal operations. Most large mines and processing plants maintained normal production, but overall iron ore concentrate output remains relatively low.

Operations at the nickel-cobalt project Ambatovy in Madagascar have been suspended after a powerful cyclone struck the country. The project produced approximately 28,000 tonnes of nickel and 2,500 tonnes of cobalt in 2024. The storm also severely damaged Madagascar’s main port, Toamasina, potentially disrupting exports of mineral products. The company said its local processing plant sustained material damage and is currently assessing the full impact on assets and operations, with production to resume only after site safety and environmental conditions are fully verified. Ambatovy mainly produces nickel and cobalt briquettes, which can be further processed into sulphates used in battery materials. Market participants noted that a prolonged outage could push up battery material prices.