Copper plate prices in China saw a slight decline following weeks of gains, driven by a sharp rise in inventory at Shanghai Futures Exchange warehouses. Meanwhile, European prices softened amid trade policy concerns. Increased LME stockpiles and subdued industrial demand in Germany further signaled a cautious market outlook.

Following weeks of rising prices, copper plate prices in China experienced a slight decrease, coinciding with a substantial surge in inventory at Shanghai Futures Exchange-monitored warehouses. Stocks climbed to over 260,000 tons, a significant increase from roughly 83,000 tons at the start of the year.

Delayed cargo pickups by customers, combined with the prohibitive costs of equipment shutdowns, prompted manufacturers to continue production until the Chinese New Year holiday, ultimately leading to a buildup of copper plate inventory at factories.

The resurgence of production at secondary copper plate and rod enterprises has triggered a substantial uptick in raw material demand. This renewed activity, coupled with other market dynamics, is projected to elevate the overall operating rate of the copper plate and strip industry to approximately 60% in February 2025. This represents a notable 2.3 percentage point month-over-month increase, signaling a strengthening of industrial output.

European copper plate prices experienced a slight decline, reflecting growing market unease surrounding potential shifts in global trade policies. Specifically, anxieties about increased tariffs, as recently threatened by the U.S. administration, contributed to a softening in anticipated metal demand. However, the extent of the price reduction was moderated by a weakening U.S. dollar.

The German copper plate market experienced a slight downward pressure on prices in the week concluding on February 21. This marginal price decline is indicative of a broader trend: a weakening of demand across Germany's core industrial sectors. Specifically, the manufacturing, automotive, and construction industries, which are significant consumers of copper, have all demonstrated reduced activity.

Simultaneously, London Metal Exchange (LME) warehouses registered a significant increase in copper inventory. The weekly uptick, approximately 13%, brought total stockpiles to 267,750 metric tons as of February 20. This notable surge in inventory suggests a surplus of copper plate supply, further contributing to the market's cautious sentiment.

Copper plate prices in China are set to rise as strong demand, fueled by EV and home appliance growth, meets a tight copper concentrate market. In Europe, uncertainty over U.S. trade policies may curb investor sentiment, but long-term fundamentals remain bullish, with record-high prices likely by the end of the year.