Latest Update in the SMM NdFeB Scrap Market

This week, the social inventory of HRC was 2.6659 million mt, down 163,500 mt WoW, down 5.78% WoW, down 8.79% YoY, and down 3.48% on a lunar YoY basis. The in-plant inventory of HRC was 1.1187 million mt, down 9,800 mt WoW, down 0.87% WoW, down 1.11% YoY, and down 0.05% on a lunar YoY basis. The total inventory of HRC was 3.7846 million mt, down 173,400 mt WoW, down 4.38% WoW, down 6.64% YoY, and down 2.50% on a lunar YoY basis.

【SMM Lead Ingot Social Inventory: Regional Tightening of Lead Ingot Supply, Social Inventory Decline Widens】 This week marked the first week after the delivery of the SHFE lead 2503 contract, with delivered goods re-entering the market. Additionally, lead prices fluctuated upward, prompting suppliers to actively sell. During this period, the premium for warrant goods against the SHFE lead 2504 contract decreased from 0-50 yuan/mt last week.

On March 21, CMOC released its performance report. The report showed that in 2024, the company's operating revenue exceeded 200 billion yuan for the first time, reaching 213.029 billion yuan, up 14.37% YoY. Its net profit attributable to the parent company surpassed 10 billion yuan for the first time, reaching 13.532 billion yuan, up 64.03% YoY. In 2024, the production of the company's main products, including copper, cobalt, niobium, and phosphate fertiliser, all reached record highs.

【SMM Spot Copper】During the day, standard-quality copper was quoted at a discount of 60-30 yuan/mt against the front-month contract, while high-quality copper was quoted at a discount of 40 yuan/mt to parity. According to SMM, the destocking trend in domestic social inventory paused this week. Although east China maintained a destocking trend, the main reason was a decrease in inventory replenishment. Due to the recent continuous rise in copper prices, downstream consumption remained weak. It is expected that spot premiums will continue to decline tomorrow.

SMM Daily Review: Weak Inquiries in High-Grade NPI Market, Prices Remain Stable with Cost Support. On March 27, the average price of SMM 8-12% high-grade NPI was 1,025.5 yuan/mtu (ex-factory, tax included), up by 0.5 yuan/mtu compared to the previous working day.