Copper Cathode Rod Enterprises Face Higher Holiday Downtime
A recent survey by Shanghai Metals Market (SMM) found that copper cathode rod enterprises in China experienced more production downtime during this year's National Day holiday compared to last year.
The survey, which investigated 20 major copper cathode rod enterprises with a combined capacity of 7.66 million mt/year, revealed that the average holiday downtime was 4.4 days, up from 4.05 days in 2025.
Copper prices had been fluctuating at highs earlier this year, suppressing downstream purchasing demand, but a sharp pullback in copper prices before the holiday triggered a concentrated release of rigid demand. However, as the holiday approached, spot copper cathode supply became scarce, and spot premiums rose, making raw material procurement more difficult.
Downstream wire and cable and enamelled wire enterprises had already restocked intensively when copper prices pulled back sharply earlier, but approaching the holiday, their stockpiling pace slowed due to high copper prices and premiums. As a result, new orders were limited as the holiday approached, and enterprises expect demand in October to lack clear signals of a peak-season recovery.
Looking ahead to October, affected by holiday downtime, multiple enterprises indicated that operating rates would decline month-on-month, while consumption performance is weak under high copper prices. SMM expects the operating rate of copper cathode rod enterprises in China to decline month-on-month in October and fall below the level of the same period last year.