SHANGHAI, October 9 (SMM) – According to SMM, approximately 25% of monthly output in Jiangsu Province (17.5% of total national output) will be affected by the power shortage and control of power consumption, and the proportion amounted to 10 – 15% in Zhejiang (13%), Guangdong (12.8%) and Anhui (10.2%).
Jiangsu: Copper rod companies have suspended production for 3-8 days due to electricity rationing; cable and enamelled wire companies suspended production for 5 days at the end of September. Some copper processing companies in Suzhou are limited to 70% of last month’s electricity consumption, and energy-intensive machines at copper rod factories have been shut down. Taizhou’s major chemical companies suspended production from 9.16 to 10.7, resulting in a surge in insulation materials and a shortage of products. Copper production in Jiangsu accounted for 17.5% of national production, and about 25% of the total production of copper rods produced from copper cathodes in Jiangsu will be affected in September, which will have a huge impact on demand copper cathodes. At the same time, as the main supplier of insulation materials for the cable industry, the continued shortage of insulation materials will also affect the production of cable companies in other provinces.
Zhejiang: Some cable and enameled wire companies received electricity rationing notices in October and are expected to close for a total of a week in September and October, affecting production for around 4 days in September. A large copper tube factory will also shut down production during the National Day in response to the government’s policy of controlling energy consumption. Most of the copper sheet / plate and strip companies will be shutting down for 3 days a week and production has been suspended for 5-6 days during the national holiday. Zhejiang’s power rationing policy came a little later than in other provinces, but the intensity was great. Zhejiang’s copper production accounts for 13% of the country’s total production, becoming the second most influenced province in terms of copper cathode demand. About 15% of Zhejiang’s overall monthly production will be affected in September-October.
Guangdong: The Pearl River Delta, Shantou, Jieyang and other areas have been affected by power rationing, covering 90% of copper processing companies and their companies downstream of Guangdong. From September 16, most copper companies in these areas had to close for 3 days a week, or even 6 days in some areas, mainly for cable and enamelled wire companies. Guangdong’s copper production accounts for 12.8% of national production, and about 15% of Guangdong’s monthly production will be affected by electricity rationing.
Anhui: Some downstream copper processors have been urged to reduce their electricity consumption by 20% since September 26, and the impact on production has been limited with a slight drop in production. Since the restriction was imposed on the production of aggregates, a group company has shut down most of the copper sheet / plate and strip production lines, and around 60% of production has been affected due to the intensification of electricity rationing. Copper production in Anhui accounts for 10.2% of the country’s total production, and the subsequent impact of electricity rationing on local cable, sheet and tape, copper rod and steel companies. other businesses will expand, which should affect 10% of local production. .
Guangxi: Copper tube, wire and cable processing companies in Guilin, Baise, Liuzhou and other areas received a notice on September 26 to suspend production until the end of the month. Copper production in Guangxi accounts for about 1% of total national production, so the overall impact on demand for copper cathodes has been insignificant.
Hunan: The off-peak production program has been in operation since September 25, affecting 7 to 12 days of production among local copper rod, wire and cable companies. The rationing of electricity continues during the national holiday. Copper production in Hunan represents less than 1% of total national production, so the overall impact is insignificant.
Shandong: Most copper processing and downstream businesses were closed for 3 days in September, affecting 10% of total production. Copper production in Shandong accounts for 3.8% of national production, and the impact has been insignificant amid modest electricity rationing.
Heilongjiang, Jilin and Liaoning: Liaoning sheet / plate and strip enterprises, cable and wire and copper foil enterprises in Jilin and Heilongjiang were subjected to an off-peak production program, and production was suspended from September 25 to 30, this time. which resulted in sluggish resupply demand ahead of National Day. holiday. Copper production in these three provinces represents less than 1% of national production, so the impact has been limited.
Hebei: About 10% of the output of copper rod companies that use copper cathodes or scrap copper has been affected by electricity rationing, and the impact on downstream companies has been insignificant. Copper production in Hebei represents less than 1% of national copper production, so the impact has been limited.