China’s copper imports rise in August due to lower prices, lower inventories By Reuters

BEIJING (Reuters) – China imported 26 percent more oil in August than a year earlier, customs data showed on Wednesday, as lower prices and running stocks bolstered energy rationing appetite for supplies from abroad.

China’s total imports of copper and pure copper products – including anodes, refined copper products, alloys and semi-finished – reached 498,188.60 tons in August. The figure compares with the previous year’s volume of 394,017.10 tons, the lowest level in two years.

The year-over-year increase is attributed to lower prices in July and August which sparked buying interest among the producers.

Three-month copper prices on the London Metal Exchange closed at $7,801.50 a ton on the last trading day of August, up 8.5% from a 20-month low reached on July 15, but still 19.7% lower than at the beginning of this year. .

“Low copper prices in July and August led to buying activity. Open arbitrage between Shanghai and London also led to increased cargo flows,” said He Tianyu, copper analyst at CRU Group.

In addition, low availability in the domestic market encouraged Chinese imports.

Stocks of copper deposits on the Shanghai Futures Exchange fell to a seven-month low of 31,205 tons on August 19.

The decline came after production was below expectations as parts of China, including Anhui and Zhejiang provinces, distributed electricity to industrial users amid a heat wave. Copper producers were affected.

Copper imports in August rose 7.4% from 463.693.8 tons in the previous month.

(Reporting by Cie Liu and Dominic Patton. Editing in Spanish by Marion Giraldo)