📉Palladium spot prices dropped 12% WoW and 17% MoM to USD 1,714/oz. The decrease might have been triggered by weak car sales: last week, the guidance for FY22 China car sales (~26% of global autocatalyst Pd demand) was cut by 2.5% to 26.8mn vehicles, which implies a 10% YoY drop in Dec sales (vs. -8% YoY in Nov). We see a second likely reason as being seasonal pre-NY inventories release by autocatalyst producers, which the market also experienced a year ago
• We expect the surplus on the Pd market in 2021 to turn into deficit in 2022F and beyond, mostly due to the subdued recycling rates: most Pd-rich autocatalysts were recycled through 2020-21. Supply problems might continue into 2023, as the electricity supply problem’s of SA’s Eskom appear to be getting deeper, with 6GW out of 42GW capacity out of order at the moment. Pd stocks remain low, while the marginal cost of SA miners was up >70% since 1H18 due to the grade depletion. Hence, we expect palladium prices to remain elevated in the medium term
#PGMs
• We expect the surplus on the Pd market in 2021 to turn into deficit in 2022F and beyond, mostly due to the subdued recycling rates: most Pd-rich autocatalysts were recycled through 2020-21. Supply problems might continue into 2023, as the electricity supply problem’s of SA’s Eskom appear to be getting deeper, with 6GW out of 42GW capacity out of order at the moment. Pd stocks remain low, while the marginal cost of SA miners was up >70% since 1H18 due to the grade depletion. Hence, we expect palladium prices to remain elevated in the medium term
#PGMs
📌How do PGM producers look at spot?
💰SBSW is an attractive name through which to gain exposure to PGMs, as it trades at 1.9x 1-y fwd EV/EBITDA, which is significantly below its peers (IMP-2.6x, AMS -4.7x). Moreover, the company generates a solid 21% FCF-yield.
💰Meanwhile, Norilsk Nickel seems expensive at 4.8x EV/EBITDA – the highest indication among its peers. At the same time, at spot, the Russian miner offers only a 10% FCF-yield (IMP-15%, SBSW-21%)
#PGMs
💰SBSW is an attractive name through which to gain exposure to PGMs, as it trades at 1.9x 1-y fwd EV/EBITDA, which is significantly below its peers (IMP-2.6x, AMS -4.7x). Moreover, the company generates a solid 21% FCF-yield.
💰Meanwhile, Norilsk Nickel seems expensive at 4.8x EV/EBITDA – the highest indication among its peers. At the same time, at spot, the Russian miner offers only a 10% FCF-yield (IMP-15%, SBSW-21%)
#PGMs
Morning Bites (part 1)
💎India's midstream diamond manufacturers have reported a business slump in Surat, amid unfavourable geopolitical conditions that are affecting demand from the US and Europe, and a recent spike in China's Covid cases. According to Bhavesh Tank, a vice-president of the Diamond Workers' Union, many of India's employees in cut-and-polish segment have suffered a 20% wage cut, while ~100,000 workers have lost their jobs. The vice-president also mentioned a large diamond unit's head in Surat, whose business is down 40% in terms of volume. In our view, the slowdown in Surat manufacturing (~90% of global polished diamonds output), is a moderately negative factor for rough stones demand and prices in the short term. Overall, the news might reflect the recent YoY decrease in India's polished diamonds net exports, supporting our view that the sector is likely to stay under stress in the near future
#diamonds
https://metals-wire.com/sector/Diamonds
💎India's midstream diamond manufacturers have reported a business slump in Surat, amid unfavourable geopolitical conditions that are affecting demand from the US and Europe, and a recent spike in China's Covid cases. According to Bhavesh Tank, a vice-president of the Diamond Workers' Union, many of India's employees in cut-and-polish segment have suffered a 20% wage cut, while ~100,000 workers have lost their jobs. The vice-president also mentioned a large diamond unit's head in Surat, whose business is down 40% in terms of volume. In our view, the slowdown in Surat manufacturing (~90% of global polished diamonds output), is a moderately negative factor for rough stones demand and prices in the short term. Overall, the news might reflect the recent YoY decrease in India's polished diamonds net exports, supporting our view that the sector is likely to stay under stress in the near future
#diamonds
https://metals-wire.com/sector/Diamonds
Morning Bites (part 2)
🔗Russia's slab prices have surged 9.2% over three weeks to USD 495/t FOB Black Sea, according to Metal Expert. The dynamics were likely supported by a revival in Chinese demand – China's FOB export HRC prices surged 8.1% over the period to USD 598/t, while Taiwan's CFR import slab prices were up 7.5% to USD 530/t
∙ However, we do not expect the steel market to recover to 2021 levels in 2023. According to leading indicators of China’s construction activity – the major driver of steel demand – domestic excavator sales have remained subdued through 2022, signalling an absence of recovery in the sector. In addition, weak Chinese aggregate system financing (-43% YoY in Oct 2022) is negatively affecting local construction activity
#steel
https://metals-wire.com/sector/Steel
🔗Russia's slab prices have surged 9.2% over three weeks to USD 495/t FOB Black Sea, according to Metal Expert. The dynamics were likely supported by a revival in Chinese demand – China's FOB export HRC prices surged 8.1% over the period to USD 598/t, while Taiwan's CFR import slab prices were up 7.5% to USD 530/t
∙ However, we do not expect the steel market to recover to 2021 levels in 2023. According to leading indicators of China’s construction activity – the major driver of steel demand – domestic excavator sales have remained subdued through 2022, signalling an absence of recovery in the sector. In addition, weak Chinese aggregate system financing (-43% YoY in Oct 2022) is negatively affecting local construction activity
#steel
https://metals-wire.com/sector/Steel
🪨 The thermal coal price on the Richard's Bay global benchmark has dipped 15% WoW to USD 213/t, likely due to the commitment of South Africa’s state-owned freight utility to stabilise rail and port system throughput after the recent accidents and reported underperformance. Of note, Australia's FOB Newcastle thermal coal prices declined only 1% WoW to USD 390/t amid a smaller vessel queue outside the port, implying still high demand for coal globally. Despite the price correction, Richard's Bay and Newcastle offers were still up 9% and 13%, respectively, in three last weeks
• In our view, the thermal coal prices are likely to remain elevated in 2023F due to the increased demand. However, we expect some price normalisation beyond next year, with Newcastle FOB thermal coal prices lowering to USD 150/t and USD 100/t in 2024-25F, respectively
#coal
• In our view, the thermal coal prices are likely to remain elevated in 2023F due to the increased demand. However, we expect some price normalisation beyond next year, with Newcastle FOB thermal coal prices lowering to USD 150/t and USD 100/t in 2024-25F, respectively
#coal
📌Who benefits the most from elevated thermal coal prices?
⛏We would like to draw attention to three global coal miners: Peabody (BTU US), Thungela (TGA LN) and Glencore (GLEN LN)
💰On our numbers, at spot, TGA and BTU are the most attractive names amid elevated thermal coal prices globally. Currently, TGA trades at only 0.1x 1-y fwd EV/EBITDA and generates a 92% FCF yield, while BTU trades at 0.6x EV/EBITDA with a 51% FCF yield. Glencore is more expensive, though still looks attractive, trading at 2.3x EV/EBITDA with a 30% FCF yield
💰Warrior Met Coal (HCC US) and Mongolian Mining Corp. (MMC; 975 HK) have pure exposure to coking coal, which is now cheaper than thermal. However, easing Covid restrictions in China and a revival of steelmaking activity might be supportive for MMC's financials, as China is the main export destination for MMC’s shipments
#coal
⛏We would like to draw attention to three global coal miners: Peabody (BTU US), Thungela (TGA LN) and Glencore (GLEN LN)
💰On our numbers, at spot, TGA and BTU are the most attractive names amid elevated thermal coal prices globally. Currently, TGA trades at only 0.1x 1-y fwd EV/EBITDA and generates a 92% FCF yield, while BTU trades at 0.6x EV/EBITDA with a 51% FCF yield. Glencore is more expensive, though still looks attractive, trading at 2.3x EV/EBITDA with a 30% FCF yield
💰Warrior Met Coal (HCC US) and Mongolian Mining Corp. (MMC; 975 HK) have pure exposure to coking coal, which is now cheaper than thermal. However, easing Covid restrictions in China and a revival of steelmaking activity might be supportive for MMC's financials, as China is the main export destination for MMC’s shipments
#coal
Morning Bites
⛏Norilsk Nickel has notified customers about plans to cut Ni production by 10% in 2023, Bloomberg reports. The decision is being considered against the background of the 109kt and 110kt nickel market surplus the company expects for 2022 and 2023, respectively, and the refusal of some EU importers to buy Russian-origin metal. On our numbers, the production cut would result in ~190kt of Ni output for the company in 2023 – in-line with the 2021 level and 15% below the miner’s previous guidance for 2023 (the difference equals ~3% of global high-grade Ni supply in 2021). Of note, most of the market surplus in 2022-23 is to be low-grade supplies, while Norilsk Nickel produces Class-1 nickel. Hence, the 10% production cut, if implemented, might result in a ~5kt deficit of high-grade Ni in 2023 (vs. the 16kt surplus previously expected by Norilsk Nickel). The latter would be moderately supportive for global nickel prices
#nickel
https://metals-wire.com:3000/news-reports
⛏Norilsk Nickel has notified customers about plans to cut Ni production by 10% in 2023, Bloomberg reports. The decision is being considered against the background of the 109kt and 110kt nickel market surplus the company expects for 2022 and 2023, respectively, and the refusal of some EU importers to buy Russian-origin metal. On our numbers, the production cut would result in ~190kt of Ni output for the company in 2023 – in-line with the 2021 level and 15% below the miner’s previous guidance for 2023 (the difference equals ~3% of global high-grade Ni supply in 2021). Of note, most of the market surplus in 2022-23 is to be low-grade supplies, while Norilsk Nickel produces Class-1 nickel. Hence, the 10% production cut, if implemented, might result in a ~5kt deficit of high-grade Ni in 2023 (vs. the 16kt surplus previously expected by Norilsk Nickel). The latter would be moderately supportive for global nickel prices
#nickel
https://metals-wire.com:3000/news-reports
Morning Bites (part 1)
💎De Beers has reported sales of USD 410mn at its 10th cycle in 2022. This was 13% below the historical average, but 22% higher YoY amid the low base effect (vs. +4% YoY at the 9th cycle in 2022). Overall, total rough diamond sales were up 20% YoY in FY22. According to De Beers CEO Bruce Cleaver, the cycle’s sightholders were prudent ahead of restocking after the winter holidays and the expected easing of Covid-19 restrictions in China. Hence, weaker December sales vs. previous years support our view that the diamond demand is likely to stay affected by unfavourable global macroeconomic conditions, at least in the short term
#diamonds
https://metals-wire.com/sector/Diamonds
💎De Beers has reported sales of USD 410mn at its 10th cycle in 2022. This was 13% below the historical average, but 22% higher YoY amid the low base effect (vs. +4% YoY at the 9th cycle in 2022). Overall, total rough diamond sales were up 20% YoY in FY22. According to De Beers CEO Bruce Cleaver, the cycle’s sightholders were prudent ahead of restocking after the winter holidays and the expected easing of Covid-19 restrictions in China. Hence, weaker December sales vs. previous years support our view that the diamond demand is likely to stay affected by unfavourable global macroeconomic conditions, at least in the short term
#diamonds
https://metals-wire.com/sector/Diamonds
Morning Bites (part 2)
☢️Finland's Terrafame is to start mining uranium at its Sotkamo mine by mid-2024, as a by-product. The company aims to produce 200t of uranium per annum by 2026, which is to be transported abroad for processing. On our numbers, the new capacity accounts for less than 0.5% of global uranium output in 2021, and so the effect on the metal's prices is likely to be negligable
📝Indonesia is to push ahead with its plan to ban bauxite exports in mid-2023, the country's President, Joko Widodo, has said. Exports of bleached bauxite are also to be prohibited. The country contends that the measure will encourage local processing of the key raw material used in the production of aluminium. The news is likely to have been already priced-in by the market, as the export ban was announced in 2021. Indonesia accounted for ~4.5% of global bauxite mine production in 2021, making it one of the world’s six largest producers of the raw material
#uranium #aluminium
https://metals-wire.com:3000/news-reports
☢️Finland's Terrafame is to start mining uranium at its Sotkamo mine by mid-2024, as a by-product. The company aims to produce 200t of uranium per annum by 2026, which is to be transported abroad for processing. On our numbers, the new capacity accounts for less than 0.5% of global uranium output in 2021, and so the effect on the metal's prices is likely to be negligable
📝Indonesia is to push ahead with its plan to ban bauxite exports in mid-2023, the country's President, Joko Widodo, has said. Exports of bleached bauxite are also to be prohibited. The country contends that the measure will encourage local processing of the key raw material used in the production of aluminium. The news is likely to have been already priced-in by the market, as the export ban was announced in 2021. Indonesia accounted for ~4.5% of global bauxite mine production in 2021, making it one of the world’s six largest producers of the raw material
#uranium #aluminium
https://metals-wire.com:3000/news-reports
Morning Bites
🔗Global crude steel output was down 2.9% YoY to 139mnt in November, reversing from the 1% YoY growth in October, according to the World Steel Association. Meanwhile, the 8% YoY increase in steel output from China, which accounted for 54% of global steel production in November (also 54% in October), was overall driven by the low base effect from COVID restrictions in 2021. The drop in ex-China steel output accelerated further to 13% YoY, from -9% YoY the previous month. Steel output in the EU fell further by 20% YoY (vs. -16% YoY in October), on the back of local energy crisis and, hence, restrained demand, while US steel production plunged 11% YoY (vs. -10% YoY in October). Of note, the decline in Russia’s steel output accelerated to 14% YoY in November, from -5% YoY in October, according to the WSA
📉We maintain our negative outlook on world steel output, amid unfavourable macroeconomic conditions globally
#steel
https://metals-wire.com:3000/sector/Steel
🔗Global crude steel output was down 2.9% YoY to 139mnt in November, reversing from the 1% YoY growth in October, according to the World Steel Association. Meanwhile, the 8% YoY increase in steel output from China, which accounted for 54% of global steel production in November (also 54% in October), was overall driven by the low base effect from COVID restrictions in 2021. The drop in ex-China steel output accelerated further to 13% YoY, from -9% YoY the previous month. Steel output in the EU fell further by 20% YoY (vs. -16% YoY in October), on the back of local energy crisis and, hence, restrained demand, while US steel production plunged 11% YoY (vs. -10% YoY in October). Of note, the decline in Russia’s steel output accelerated to 14% YoY in November, from -5% YoY in October, according to the WSA
📉We maintain our negative outlook on world steel output, amid unfavourable macroeconomic conditions globally
#steel
https://metals-wire.com:3000/sector/Steel
Morning Bites
📈NLMK has slightly increased its domestic rebar prices for January by 1.2% to RUB 35.4k/t (USD 504/t) ex-VAT CPT Moscow. The new level is 1.1% lower than the recent Severstal's offer. However, according to Metal Expert, NLMK's offer might be revised by the end of December. Of note, the price growth is associated with more expensive railway transportation tariffs in January, lower capacity utilisation and rouble depreciation
• The rebar-billet discount is currently at USD 86/t (vs. the historical premium of USD 20/t). On our numbers, following the price increase, the discount might shorten to USD 80/t
#steel
https://metals-wire.com/sector/Steel
📈NLMK has slightly increased its domestic rebar prices for January by 1.2% to RUB 35.4k/t (USD 504/t) ex-VAT CPT Moscow. The new level is 1.1% lower than the recent Severstal's offer. However, according to Metal Expert, NLMK's offer might be revised by the end of December. Of note, the price growth is associated with more expensive railway transportation tariffs in January, lower capacity utilisation and rouble depreciation
• The rebar-billet discount is currently at USD 86/t (vs. the historical premium of USD 20/t). On our numbers, following the price increase, the discount might shorten to USD 80/t
#steel
https://metals-wire.com/sector/Steel
Morning Bites (part 1)
🔗CISA mills daily crude steel output was down 1.2% to 1.96mnt in mid-December from the first ten days of the month. This represented a 3.9% YoY increase, vs. +2.7% YoY in the previous ten days. In turn, steel inventories were up 4.2% over the period (17.8% above the 2021 level, as of 20 December). Overall, the substantial YoY inventories build-up (since end-1Q22) might indicate rather stagnating demand for steel in China
🇨🇳China is to drop the quarantine requirement for inbound travellers from January 8, Reuters reports, citing the country's National Health Commission. Local management of Covid-19 is also to be downgraded to Category B from the current top-level. In our view, the news is likely to support demand for most industrial commodities. For example, China accounted for ~52% of global apparent steel use in 2021. However, the effect on sentiment might be limited, amid concerns about soaring new Covid cases in China
#steel #global
https://metals-wire.com:3000/news-reports
🔗CISA mills daily crude steel output was down 1.2% to 1.96mnt in mid-December from the first ten days of the month. This represented a 3.9% YoY increase, vs. +2.7% YoY in the previous ten days. In turn, steel inventories were up 4.2% over the period (17.8% above the 2021 level, as of 20 December). Overall, the substantial YoY inventories build-up (since end-1Q22) might indicate rather stagnating demand for steel in China
🇨🇳China is to drop the quarantine requirement for inbound travellers from January 8, Reuters reports, citing the country's National Health Commission. Local management of Covid-19 is also to be downgraded to Category B from the current top-level. In our view, the news is likely to support demand for most industrial commodities. For example, China accounted for ~52% of global apparent steel use in 2021. However, the effect on sentiment might be limited, amid concerns about soaring new Covid cases in China
#steel #global
https://metals-wire.com:3000/news-reports
Morning Bites (part 2)
💍US preliminary jewellery sales are down 7% YoY in December, after the 4% YoY fall estimated for November, according to Mastercard SpendingPulse. Of note, the official results for November-December 2022 are to be published in early January-February 2023, respectively. Meanwhile, during the last two months of the year, consumers and retailers displayed resilience amid increasing economic pressures. Hence, we reiterate our view that the weakness in US jewellery sales, were it to materialise, is a negative factor for rough diamond demand, especially amid the recent news about business issues in India's Surat – the world's largest diamond cut-and-polish hub. We remind our readers that the US accounted for ~50% of global diamond jewellery retail sales in 2021
#diamonds
https://metals-wire.com/sector/Diamonds
💍US preliminary jewellery sales are down 7% YoY in December, after the 4% YoY fall estimated for November, according to Mastercard SpendingPulse. Of note, the official results for November-December 2022 are to be published in early January-February 2023, respectively. Meanwhile, during the last two months of the year, consumers and retailers displayed resilience amid increasing economic pressures. Hence, we reiterate our view that the weakness in US jewellery sales, were it to materialise, is a negative factor for rough diamond demand, especially amid the recent news about business issues in India's Surat – the world's largest diamond cut-and-polish hub. We remind our readers that the US accounted for ~50% of global diamond jewellery retail sales in 2021
#diamonds
https://metals-wire.com/sector/Diamonds
Morning Bites (part 1)
🔗China’s aluminium products output rose 7% YoY to 5.55mt in November, vs. +9% YoY in October. The growth was likely fuelled by relaxed power consumption rules, given the domestic electricity curbs in 2021, which lowered local demand for the metal. Overall, the dynamics might be slightly favourable for aluminium prices: China accounted for ~58% of the global primary aluminium consumption in 2021
📈Chinese output of copper products was up 9% YoY in November to 2.11mt, decelerating from the 15% YoY growth in October. In particular, the figure was bolstered by an 8% YoY increase in the output of local power generation equipment (vs. +33% YoY in previous month). Overall, despite continuously weak construction results in China, the easing of local COVID restrictions should have a positive effect on the demand for industrial metals, including aluminium and copper
#aluminium #copper
https://metals-wire.com:3000/news-reports
🔗China’s aluminium products output rose 7% YoY to 5.55mt in November, vs. +9% YoY in October. The growth was likely fuelled by relaxed power consumption rules, given the domestic electricity curbs in 2021, which lowered local demand for the metal. Overall, the dynamics might be slightly favourable for aluminium prices: China accounted for ~58% of the global primary aluminium consumption in 2021
📈Chinese output of copper products was up 9% YoY in November to 2.11mt, decelerating from the 15% YoY growth in October. In particular, the figure was bolstered by an 8% YoY increase in the output of local power generation equipment (vs. +33% YoY in previous month). Overall, despite continuously weak construction results in China, the easing of local COVID restrictions should have a positive effect on the demand for industrial metals, including aluminium and copper
#aluminium #copper
https://metals-wire.com:3000/news-reports
Morning Bites (part 2)
📈NLMK further raised its domestic rebar prices for January, by 2.3% to RUB 36.3k/t (USD 518/t), ex-VAT CPT Moscow, after a 1.2% increase last week. Overall, the move was in-line with expectations. Hence, the new level is 1.1% above than the recent Severstal offer. According to Metal Expert, the price increases are associated with more expensive railway transportation tariffs in January, higher demand from steel trading companies and the recent rouble depreciation, driving up production costs
• The rebar-billet discount is currently at USD 86/t (vs. the historical premium of USD 20/t). On our numbers, following NLMK's two recent price increases, the discount might shorten to USD 68/t
#steel
https://metals-wire.com/sector/Steel
📈NLMK further raised its domestic rebar prices for January, by 2.3% to RUB 36.3k/t (USD 518/t), ex-VAT CPT Moscow, after a 1.2% increase last week. Overall, the move was in-line with expectations. Hence, the new level is 1.1% above than the recent Severstal offer. According to Metal Expert, the price increases are associated with more expensive railway transportation tariffs in January, higher demand from steel trading companies and the recent rouble depreciation, driving up production costs
• The rebar-billet discount is currently at USD 86/t (vs. the historical premium of USD 20/t). On our numbers, following NLMK's two recent price increases, the discount might shorten to USD 68/t
#steel
https://metals-wire.com/sector/Steel
Morning Bites
🏗SteelOrbis sees China’s preliminary excavator sales down 17% YoY in December (domestic + export), vs. the 16% YoY increase in November. Of note, SteelOrbis expects domestic excavator sales to drop 32% YoY, after the 3% YoY growth in November. Overall, potentially low domestic results imply no short-term recovery in the depressed Chinese real estate segment. Such development would keep weighing on China’s demand for industrial metals (particularly for steel), but recent easing of local Covid restrictions might limit the negative effect
📈Russian gold output was up 9.1% YoY in November, after the 19.1% YoY increase in October, according to Rosstat. Furthermore, 11mo22 production of the yellow metal grew 1.8% YoY. Hence, we reiterate our view that the ongoing production recovery (since 1H22) is an adverse factor for gold prices. Of note, Russia accounted for ~9% of the world's gold mine output in 2021
#steel #gold
https://metals-wire.com:3000/news-reports
🏗SteelOrbis sees China’s preliminary excavator sales down 17% YoY in December (domestic + export), vs. the 16% YoY increase in November. Of note, SteelOrbis expects domestic excavator sales to drop 32% YoY, after the 3% YoY growth in November. Overall, potentially low domestic results imply no short-term recovery in the depressed Chinese real estate segment. Such development would keep weighing on China’s demand for industrial metals (particularly for steel), but recent easing of local Covid restrictions might limit the negative effect
📈Russian gold output was up 9.1% YoY in November, after the 19.1% YoY increase in October, according to Rosstat. Furthermore, 11mo22 production of the yellow metal grew 1.8% YoY. Hence, we reiterate our view that the ongoing production recovery (since 1H22) is an adverse factor for gold prices. Of note, Russia accounted for ~9% of the world's gold mine output in 2021
#steel #gold
https://metals-wire.com:3000/news-reports
Morning Bites (part 1)
🔗Severstal has increased its domestic HRC prices for January by 1.8% to RUB 47.1k/t (USD 636/t) ex-VAT CPT Moscow, amid more expensive railway transportation tariffs. Hence the new level is 2.7% above NLMK’s latest offer, which was not revised yet
• The HRC domestic premium is currently at USD 70/t (vs. the historical average of USD 38/t), Hence, given the price increase, the premium might grow to USD 81/t
📌Chile's Antofagasta reports that access to its Los Pelambres mine has been blocked. According to the company, a small group is demanding compensation for supply transportation and workers. The miner added that there is no material effect on production, but work on the mine's development has been slowed. The mine accounts for 1.5% of global copper production. We would expect no substantial effect on the red metal’s prices if the action is resolved soon
#steel #copper
https://metals-wire.com:3000/news-reports
🔗Severstal has increased its domestic HRC prices for January by 1.8% to RUB 47.1k/t (USD 636/t) ex-VAT CPT Moscow, amid more expensive railway transportation tariffs. Hence the new level is 2.7% above NLMK’s latest offer, which was not revised yet
• The HRC domestic premium is currently at USD 70/t (vs. the historical average of USD 38/t), Hence, given the price increase, the premium might grow to USD 81/t
📌Chile's Antofagasta reports that access to its Los Pelambres mine has been blocked. According to the company, a small group is demanding compensation for supply transportation and workers. The miner added that there is no material effect on production, but work on the mine's development has been slowed. The mine accounts for 1.5% of global copper production. We would expect no substantial effect on the red metal’s prices if the action is resolved soon
#steel #copper
https://metals-wire.com:3000/news-reports
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Morning Bites (part 2)
🇨🇳China is to raise export tariffs on aluminium and set import duties for coal in 2023, Reuters has reported, citing the country’s finance ministry
• The aluminium and alloys tariffs are to increase from January 1, but the size of increase has not yet been specified. In our view, the measure would be somewhat supportive for aluminium prices, as China stood for ~57% of global primary aluminium supply in 2021
• Meanwhile, from 1 April 2023, the import tariff on coking and steam coal is to be 3% and 6% respectively, instead of the 0% duty to which both coal types are currently subject. Overall, this is likely to be a slightly negative factor for the seaborne demand (China is the world’s largest coal buyer), and might consequently pressure the commodity’s prices
#aluminium #coal
https://metals-wire.com:3000/news-reports
🇨🇳China is to raise export tariffs on aluminium and set import duties for coal in 2023, Reuters has reported, citing the country’s finance ministry
• The aluminium and alloys tariffs are to increase from January 1, but the size of increase has not yet been specified. In our view, the measure would be somewhat supportive for aluminium prices, as China stood for ~57% of global primary aluminium supply in 2021
• Meanwhile, from 1 April 2023, the import tariff on coking and steam coal is to be 3% and 6% respectively, instead of the 0% duty to which both coal types are currently subject. Overall, this is likely to be a slightly negative factor for the seaborne demand (China is the world’s largest coal buyer), and might consequently pressure the commodity’s prices
#aluminium #coal
https://metals-wire.com:3000/news-reports
Dear Metals Wire subscribers,
Thank you for being with us in 2022. We hope your Christmas will be filled with warmth and generosity, and that the New Year will be especially prosperous
Rest assured that we will continue our work in 2023, sharing metals markets insights and our most interesting trading ideas
All the very best,
The Metals Wire Team
Thank you for being with us in 2022. We hope your Christmas will be filled with warmth and generosity, and that the New Year will be especially prosperous
Rest assured that we will continue our work in 2023, sharing metals markets insights and our most interesting trading ideas
All the very best,
The Metals Wire Team
👍14🥰3❤2🙏1