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"The new standard has removed rare earth high-Fe aluminum alloy cable in favor of AA8000 series aluminum alloys defined under the US ASTM standard. Applications of AA8000 series aluminum alloy - widely used in low-voltage cable in North America nowadays - will become more common in China once the new standard takes effect, SMM understands. Henan Zhongfu Aluminum Alloy, Jiaozuo Shenghao Aluminum, and other producers of such aluminum alloy rod will benefit from the new standard, SMM aluminum analyst said. "

A recent survey by the Shanghai Metals Market of 20 major Chinese copper tube producers, with a total capacity of 1.2Mt/y, showed that operating rates in December increased to 73.41%, up 2.29 percentage points from November. The survey cited increased production in China's air conditioner sector as a reason for the uptick in utilisation rates at tube producers. The release highlighted a separate survey of air conditioner manufacturers, which showed a pattern of inventory restocking, with finished inventories increasing for four straight months. The SMM survey also revealed that producer's inventories of raw materials for the production of copper tube had fallen to 12.78% of production in December, down 2.92 percentage points from November. The reason given was tighter credit conditions at the end of 2012.

Shanghai Metals Market (SMM) reported that the average operating rates of copper cablemakers in China rose by 10 percentage points to reach 78.7% in August. Newly tendered contracts from the State Grid Corporation of China during July and August led to the production increase. Figures from the National Bureau of Statistics also indicate that cable output rose by 2.5% m-o-m to 3.53M km in August. In addition to this, an August survey of Chinese copper wirerod fabricators by SMM showed a 2 percentage point increase in the industry's average utilisation rate from the previous month, reaching 75%.

A Shanghai Metals Market survey of Chinese wirerod producers showed that operating rates at 21 domestic producers, with capacity of 3.5Mt/y, fell to 69.02% in October, a decrease of 2.33% m-o-m, and 14.4% y-o-y. The report cited the extended October national day holiday and maintenance at one large domestic wirerod producer as reasons for the decline. The release also showed that wirerod producers held lower raw materials stocks in October at 16.02% of production, down from 17.21% of production in September. Finally producers' inventories of finished goods increased to 15.80% of production in October from 5.58% of production in September as the above-mentioned large wirerod producer increased stocks prior to its maintenance shutdown.

An October survey of 21 Chinese copper plate, sheet, strip and foil producers, with a annual capacity of 984,200t/y, showed that operating rates fell to 56.40% in October, down 1.13 percentage points from September. The survey also reported that raw materials inventories held by producers fell to 20.08% of production, down 4.61 percentage points from September. The survey cited sluggish demand from European and US markets as a factor weighing on PSSF demand, and said the orders ahead of the Christmas period were still low. The survey also highlighted producer pessimism about the copper price as a factor in lower raw materials stock holdings.

A survey of 21 major Chinese wirerod producers, with total capacity of 3.67Mt/y, showed that the average operating rate increased to 74.29% in November, up 5.27 percentage points from October. The survey cited an increased demand for wire from the power generation and construction sectors, as well as a roll off of October's seasonal effects as reasons for the increase. The overall level of utilisation in November 2012 was down 12.51 percentage points from a rate of 86.80% in November 2011. The survey also reported that raw materials inventories at Chinese wirerod producers had decreased to 13.98% of production, stating that most producers are not expecting large increases in the copper price, and with tighter cash flows, prefer to hold smaller inventories.

A recent survey by the Shanghai Metals Market of 21 major Chinese copper wirerod producers, with a total capacity of 3.4Mt/y, showed that operating rates in February fell to 57.8% as facilities slowed production during the Chinese New Year holiday. Wirerod producers reduced output as downstream demand from cable makers was weak in February, according to an SMM report with the survey. Many migrant workers return to their homes during the period, forcing factories to shut or reduce working hours. The SMM survey also revealed that producer's inventories of raw materials for the production of wirerod had increased to 22.6% of production in February, up 7.3 percentage points from January.

A recent survey by the Shanghai Metals Market of 21 major Chinese copper tube producers, with a total capacity of 1.24Mt/y, showed that operating rates in November rebounded to 71.12%, up 9 percentage points from October. The survey suggested that the bounce came as a result of weak production in October, rather than a particularly strong November. The commentary released with the survey stated that inventories of air conditioners, a major end use of copper tube, had declined to a historical low of 6.89M units in November. The survey also revealed that producer's inventories of raw materials had fallen in November to 15.7% of production, down 2.28 percentage points from October.

A survey by the Shanghai Metals Market of 20 major Chinese electric wire and cable producers, with total capacity of 978,000t/y, showed that the average operating rate fell to 76.59% in December, down 2.8 percentage points from November. The survey cited the falling temperatures in Northern China as dampening the demand for electrical wire for use in new infrastructure. The survey also reported that raw materials inventories at Chinese electrical wire producers had increased by 4.24 percentage points from November to 25.12% of production, stating that the fall in copper prices in December had tempted producers to increase stocks.

A recent survey by the Shanghai Metals Market of 21 major Chinese electrical wire and cable producers, with a total capacity of 990,000t/y, showed that operating rates in January decreased to 69.73%, down 6.86 percentage points from December. The survey cited a lull in major contracts for power cables prior to Chinese New Year as the reason for sluggish demand. However, stabilisation in the demand for enamelled wire was noted in January, whilst demand for electrical wire was estimated to have picked up. The SMM survey revealed that producer's inventories of raw materials had picked up prior to the Chinese New Year Holiday, with producer's raw materials holdings as a percentage of production up 9.46 percentage points since December, to 34.58%. The survey suggested easier cash flows and expectations of future copper price rises were reasons for the increase.

"SHANGHAI, Jun. 4 (SMM) - China has launched pilot applications of rare earth high-Fe aluminum alloy cable in Fujian Province, local media reported. Rare earth high-Fe aluminum alloy cable, self developed by China, has broken US monopoly over the past more than 40 years. "

"SHANGHAI, Jun. 5 (SMM) -Speculation is running high that aluminum will replace copper in wire & cable now that China's new standards for aluminum alloy cable will take effect September 1. However, the new standards will do little in boosting aluminum applications in wire & cable, Shanghai Metals...... "

"SHANGHAI, Aug. 11 (SMM) - There is huge market potential to replace copper with aluminum in China's cable industry, cableabc.com reported. Market value of China's aluminum alloy cable approached 13 million yuan ($2.1 million) in 2014. However, China's rate of substituting aluminum alloy for copper in cable is just 3%-5% at present, well below 55% in Japan. Currently, the rate of using aluminum alloy and Al-Mg-Si alloy to replace copper cable has reached 70%-75% in the US, cableabc.com added, quoting data from Research and Markets. "

A recent survey by the Shanghai Metals Market of 20 major Chinese wire and cable producers, with a total capacity of 1.007Mt/y, showed that operating rates in November hit an annual high of 79.37%, up 3.97% m-o-m. The reading showed a strong rebound from October but remains well below levels seen in 2011, when utilisation rates hit a high of 92.10%. The healthiest utilisation rates in the sector were for large producers (> 50,000t/y), whose rate was at 83.31% in November, well above small producers (<20,000t/y), whose reported utilisation rate was just 56.80%. Both large and small producers reported low raw materials stock levels at between 19% and 21% of production.

According to a February survey from the Shanghai Metals Market, the operating rate at 21 major Chinese electrical wire and cable makers fell to 48.5%, a 21 percentage point fall from January. The drop in utilisation rate was the result of the Chinese New Year celebrations which fell in February this year. Operating rates are expected to rebound in March as cable makers increase production to fill contracts from China's State Grid Corporation. The survey also revealed that raw materials stocks rose by 15.3 percentage points in February to 49.8% of production in February.

A recent survey by the Shanghai Metals Market of 21 major Chinese copper plate, sheet, strip and foil producers, with a total capacity of 966,200t/y, showed that operating rates in February fell to 42%, as factories shut for the Chinese New Year holiday. Copper flat-rolled producers closed facilities as migrant workers returned to their homes and did not come back to work until after the lantern festival in late February. Survey participants were reporting better levels of demand post holiday as end-users such as the automotive industry and the lithium ion battery industry increased production. Survey participants expect utilisation to increase to around 60% in March.

According to data from China Customs, Chinese imports of semi-finished copper products amounted to 51,900t in November, a slight increase from October's 51,000t but down 17.6% y-o-y. Compared to 2011, Chinese January-November semis imports were down 14.7% at 613,400t as the ramp-up in domestic semis production in China reduced the demand for foreign produced semis. China customs also reported that cathode imports rebounded in November to 250,666t, up 8.7% from October.

Official data from the Ministry of Industry and Information Technology revealed that major electronic information manufacturing company profits declined by 14% y-o-y, reaching RMB122B in H1 2012. The decline in profits was attributed to weakening orders caused by the European debt crisis and slowing world economy. The number of electronic manufacturers reporting a loss over H1 2012 rose by 20.2% y-o-y, to reach 4,250, which is thought to be as a result of high financing costs.

The National Development and Reform Commission of China approved 25 new urban rail transit and intercity rail projects in investment programmes worth RMB800B (US$127B). The projects are expected to be completed in the next three to eight years. Local governments will be major investors, however, banks loans are also expected to constitute a significant portion of the total investment funding.