en.Wedoany.com Reported - As of June 29, 2026, total copper cathode inventory in China's major markets stood at 207,400 tons, an increase of 1,400 tons compared to the previous Thursday (June 25). Significant divergence in inventory trends emerged across regions: inventories in Shanghai and Jiangsu continued to decline, driven by falling copper prices and recovering end-user demand; in Guangdong, inventories surged sharply due to weak end-user demand and a notable increase in supply.
Copper, as a key industrial metal, is widely used in sectors such as power, construction, transportation, home appliances, and new energy. Changes in its inventory are regarded as an important leading indicator of macroeconomic and manufacturing activity. China is the world's largest copper consumer, accounting for approximately 55% of global copper consumption. According to data from the China Nonferrous Metals Industry Association, China's refined copper consumption in 2025 was about 14.8 million tons. Data from Shanghai Metals Market (SMM) shows that China's refined copper production increased by approximately 4.2% year-on-year from January to May 2026.
From a regional perspective, Shanghai and Jiangsu, as core areas for copper processing and consumption in China, saw continued inventory declines, reflecting stronger restocking intentions among downstream enterprises. Copper prices have fallen from a high of around 82,000 yuan per ton in mid-May to the current level of about 75,000 yuan per ton, prompting some end-users to purchase at lower prices. Key copper-consuming industries such as wire and cable, and air conditioning and refrigeration, maintained a certain production pace ahead of the traditional off-season. Guangdong, on the other hand, faced a completely different situation. As a major manufacturing base for home appliances and electronics in China, copper consumption demand in Guangdong is closely tied to export orders. According to data from the General Administration of Customs, China's exports of mechanical and electrical products fell by 2.1% year-on-year in May 2026, with a slowdown in home appliance export growth, putting pressure on copper consumption in Guangdong.
On the supply side, recent arrivals of imported copper and increased shipments from domestic smelters in Guangdong further exacerbated the oversupply situation. According to industry statistics, spot copper premiums in Guangdong have turned into discounts from premiums at the beginning of the month, indicating ample supply in the spot market. This divergence in inventory suggests that during the copper price adjustment, the differences in supply and demand fundamentals across regions are widening. The scenario of a slight increase in national total inventory while regional inventory trends move in opposite directions warrants continued attention.
Historically, June to August is the traditional off-season for copper consumption, with operating rates at downstream processing plants typically declining month-on-month. According to a survey by Shanghai Metals Market, the operating rate of China's copper rod enterprises in June 2026 was about 65%, down 3 percentage points month-on-month. Under the dual effects of the off-season and regional divergence, China's copper inventory may experience a volatile pattern in the short term. Going forward, attention should be focused on copper price trends, the recovery of end-user orders, and the pace of imported copper arrivals.
