SHANGHAI, Nov 24 (SMM)—Operating rates at Chinese brass rod producers gained 0.61 percentage point on the month to 71.3% in October. This was down 0.78 percentage point from a year ago, SMM data showed.
Operating rates rose slightly in October despite shorter operating days due to the National Day holidays as downstream demand from home and overseas continued to recover.
SMM expects operating rates at Chinese brass rod producers to increase 1.04 percentage points on the month and 0.73 percentage point on the year to 72.95% in November.
As coronavirus continues to spread, many countries re-imposed lockdown measures, which will reduce export orders of sanitary wares, downstream users of brass rod, in the long term. However, longer operating days in November and strong orders are likely to further boost operating rates.