- Supply constraints, softer dollar push up LME prices
- MCX tags dip on muted demand from battery makers
The lead market, both globally and in India, saw price fluctuations during Week 37 (15-19 September 2025). LME lead prices edged higher despite mixed signals, including US economic data and the Fed’s monetary policy, while Indian tags on the MCX also saw volatility.
Price trends & inventories
LME lead cash settlement prices rose 0.4% to $2,003.50/tonne (t) on 19 September from $1,995.00/t on 15 September. The three-month contract mirrored this movement, starting at $1,985.00/t and ending at $1,994.50/t. Early-week softness, driven by Fed signals and profit-taking, was offset by late-week gains from supply constraints and a weaker dollar.
LME lead inventories extended their downtrend, dropping 1.1% to 229,750 t on 19 September from 232,200 t on 15 September. Stocks have now fallen to their lowest since July 2023, tightening available supply and providing strong support for prices.
MCX lead trends (15-19 September)
MCX lead futures tracked global volatility but closed slightly weaker. Prices opened at INR 182,500/t on 15 September, touched a mid-week high of INR 183,300/t on 17 September, before easing to INR 182,500/t on 19 September. Market activity was influenced by rupee fluctuations and muted demand from battery manufacturers.
SHFE lead trend
SHFE lead prices maintained a fluctuating trend but showed strength during the week. The most-traded SHFE lead 2510 contract opened at RMB 17,050/t and closed at RMB 17,150/t on 19 September, a 0.65% increase. Despite some volatility, prices remained supported by improved e-bike battery consumption and stockpiling due to the approaching Mid-Autumn Festival and National Day holidays.
Indian industry updates — Gravita expands
Gravita India, a leading recycler, continued to expand its sustainable footprint. With a lead recycling capacity of 2.36 lakh million tonnes per annum (MTPA) across ten plants and a global presence of 3.3 lakh MTPA, the company plans to double capacity by FY’28. It is also moving into lithium-ion recycling, targeting a global top-five ranking with 30% of revenues from non-lead segments.
Global battery news — Terra One secures EUR 150 million financing for grid-scale battery expansion
In Europe, Terra One secured EUR 150 million mezzanine financing from Aviva Investors to expand grid-scale battery storage. Combined with equity and project financing, the firm will invest EUR 750 million in new assets, adding 3 GWh of storage capacity — enough to supply 20% of German households for one hour, strengthening Europe’s energy transition.
Outlook
The near-term lead outlook remains mixed. While the US Fed rate cut and Chinese holiday stockpiling provided support during Week 37, lingering economic concerns and a balanced-to-oversupplied market suggest continued volatility. Demand trends, particularly in the Chinese battery sector, and inventory movements, will shape future price trends.
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