BEIJING (Commodity Online): China’s copper hunger is back with the country importing around 550,500 tonnes of the metal in June, which is higher than the 479,000 tonnes imported in May.
According to market analysts, low spot prices and a fluctuating price ratio is restricting growth in copper concentrate imports. However, China’s YTD imports of copper concentrate are still positive up 8.21% and a result of expanding copper smelting capacity during H1 2010 and limited raw material substitutes.
The insatiable hunger of China for copper may still help the metal continue its rise in the coming months also, said analysts.
China’s imports of refined copper were only 212,000 tonne in June down 67,700 tonne from May and down 44.11% YoY. Higher premiums for imported copper in May and June depressed buying interest and that fluctuating copper prices were also to blame for marked declines in imports of refined copper. Premiums for imported copper will continue to rise and imports of refined copper will not likely improve during July.
China’s imports of copper semis were 82,500 tonne in June down slightly from 83,700 tonne in May but still up on a yearly basis. June is the start of a traditional low demand period for copper semis and demand from the electronics industry, which consumes a high proportion of copper semis imports in the form of copper foil has fallen significantly. SMM believes China’s imports of copper semis will continue to fall during July.
(Source: SteelGuru)
