Copper imports may decline

China's imports of unwrought copper and semi-finished copper products may drop for the second straight month in August following increased inventories from record imports in the first half.

Increased inventories in China had kept domestic prices below the cost of imports for much of last month, cutting margin-driven spot buying by merchants and speculators in China, the world's top consumer of the metal and driver for the rise on the London Metal Exchange copper prices this year.

Supplies of scrap in China had also risen after the Guangdong customs speeds up processing of tens of thousands of tons of copper scrap that had piled up in ports in May-July, reducing demand for refined copper as a replacement for scrap.