- Chile’s Centinela copper strike enters its second week, raising supply risks
- China’s zinc exports reshape global supply flows
LME base metals traded mixed on 12 October, with zinc recording the steepest decline, falling 1.26% d-o-d to $3,758/t. Copper, meanwhile, posted the strongest gain, rising 0.54% to $14,619/t. Lead slipped 0.21% to $1,884/t, while aluminium edged higher by 0.13% to $3,053/t and nickel eased 0.02% to $15,619/t.
LME inventories recorded a broadly downward trend. Copper inventories registered the sharpest fall, dropping 0.94% d-o-d to 233,025 t, followed by nickel, down 0.46% to 282,864 t, and zinc, which declined 0.45% to 126,850 t. Lead stocks also fell 0.22% to 347,125 t, while aluminium inventories remained unchanged at 238,875 t.
Domestic Market Overview
India’s non-ferrous scrap market witnessed mixed trends, with aluminium prices varying across regions while Delhi aluminium and copper armature scrap remained stable. MCX aluminium declined 1.03% to INR 3,299/kg, while MCX copper fell 0.25% to INR 14,193/kg.
Aluminium tense scrap (loose), ex-Delhi, remained unchanged at INR 240,000/t. Ex-Chennai prices declined by INR 2,000/t, or 0.69%, to INR 289,000/t from INR 291,000/t. In contrast, aluminium P1020 prices rose by INR 1,000/t, or 0.29%, to INR 346,000/t from INR 345,000/t.
Copper armature scrap (Cu 99%), ex-Delhi, remained unchanged at INR 1,352,000/t. Despite stable domestic scrap prices.
Other Updates
Oil retreats as additional Russian diesel supplies ease concerns
Oil prices declined on 13 October, with Brent crude falling 1.1% to $105.47/bbl and WTI dropping 1.3% to $92.57/bbl. Expectations of additional Russian diesel supplies eased supply concerns. However, geopolitical tensions around Gulf shipping routes and OPEC’s reduced 2026 oil demand growth forecast continued to weigh on market sentiment.
Centinela copper strike extends into second week
Labour disruptions at Antofagasta Minerals’ Centinela copper mine in Chile entered their second week after contract negotiations failed on 7 October. Mediation was scheduled to resume on 13 October, while unions warned that November output could fall by up to 50% if the dispute continues. However, Antofagasta maintained its full-year production outlook. Continued disruption could tighten copper supply and support LME prices.
China’s zinc exports reshape global supply flows
China is shifting towards becoming a net exporter of refined zinc in 2026 as domestic demand weakens and export opportunities improve. China exported 40,668 tonnes of zinc in August, the second-highest monthly volume in two decades, and recorded net exports of 4,388 tonnes during January–August. The exports have increased deliveries to LME warehouses in Asia, helping ease supply tightness. However, declining Western production and high smelting costs continue to constrain availability, keeping regional zinc market conditions uneven.
New Zealand rejects aluminium import protection
New Zealand rejected calls for temporary safeguards on aluminium extrusions, leaving domestic manufacturers exposed to import competition. Imports rose 33% year-on-year in the first quarter of 2026, according to industry figures. The decision could pressure local producers’ margins while benefiting downstream buyers through continued access to competitively priced products.
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