inventories down prices down, page-11

"China's imports of copper, the world's biggest, may have dropped by the most in three years last month after stockpiles increased and prices soared.

Refined copper and alloy imports probably fell by at least 48 percent to 100,000 metric tons in May, from April's near- record 192,069 tons, according to traders and analysts, including Xue Feng at Maike Futures Co. This would be the biggest monthly decline since imports fell 59 percent in May 2004.

Copper prices have fallen 11 percent from this year's peak of $8,335 a ton on May 4, and the slump in Chinese imports may further weigh on prices ahead of traditionally weak summer demand for the metal, used in wires and pipes. China's imports have boosted prices more than fourfold in the past five years.

``It's quite possible imports in May will fall below the 100,000-ton level as it has become unprofitable to import,'' Li Zhifeng, trading manager at the copper division of China Minmetals Nonferrous Metals, a unit of China's largest metals trader, said by phone from Beijing. "