According to data from satellite surveillance of metal processing plants, around a fifth of global copper smelting capacity was suspended in May, mostly for maintenance reasons.
Earth-i, a company that specializes in observational data and tracks smelters representing up to 90% of global copper production, reported that an average of 20.8% of global copper smelter capacity monitored was inactive in May. This is an increase from 17.4% in the same month last year.
The company noted that global inactivity reached 25.4% on May 8th, with “seasonal maintenance closures remaining a key feature.”
In China, three smelters that were closed for maintenance at the end of April have since resumed activities, while others like Xingguang Copper, Shandong Fangyuan, and Hunchun are now shut. The Chinese-owned Lualaba smelter in the Democratic Republic of Congo also appeared to be closed for maintenance, according to Earth-i.
The data highlights the significant amount of copper smelting capacity that was taken offline during the month of May, equivalent to around a fifth of global production. This is likely due to the regular seasonal maintenance shutdowns that occur in the industry.
The suspension of smelting capacity could have implications for the global copper market, potentially tightening supply and affecting prices. However, the temporary nature of these maintenance closures suggests the impact may be limited in the longer term.