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BofA on #copper: The decline in #copper treatment and refining charges has been much discussed during #Copper Week in Santiago. That tightening in terms has been driven by a confluence of factors, including 1) low mine supply growth, which has been exacerbated by supply disruptions and 2) investment in smelting capacity especially in China. Picking up on the last point, smelter capacity utilization rates have been declining steadily.
Commenting on that, Aurubis’ CEO Roland Harings said that China’s smelters “are taking concentrates in at levels where you cannot make profits."