Chinese Copper Smelters Propose Joint Output Cut Amid Tightening Supplies

Chinese smelters, responsible for more than half of the world’s refined copper supply, are considering a joint output cut amidst dwindling ore supplies, which have caused processing fees to plummet. Thirteen major smelters have suggested a potential 5-10% reduction in planned output for this year, aiming to counter the impact of tightening supplies. This proposal was introduced at the recent gathering of the Copper Smelters Purchasing Team in Shanghai, with the discussions being kept private. Such a move could significantly alter the market dynamics for refined copper, potentially affecting global supply and pricing.