Shanghai Nonferrous Metals News
SMM: China produced 490.7 kt of refined zinc in July, down 0.64% on-month but up 20.15% on-year, based on SMM’s survey results putting zinc capacity at 6.085 mln t. SMM revised its figure for national zinc output in June to 493.8 kt.
Zinc output continued to increase significantly year-on-year, but July’s performance showed a small decrease when compared with June. According to SMM, the decline in output was due to routine maintenance at northern smelters, hot weather and the failure of Hanzhong Zinc to target production.
In July, despite some large smelters, such as Zhuzhou Smelting and Sihuan Zinc and Germanium, increasing production, northern smelters such as Yuguang Zinc, Chifeng Zhongse, Xing’an Copper and Zinc, and Shaanxi Zinc successively began routine maintenance, dragging down total output. Overall, zinc output fell in July from the previous month.
Yuguang Zinc and Shaanxi Zinc completed their scheduled maintenance in August, but continuing maintenance at Xing’an Copper and Zinc and Chifeng Zhongse together with production cuts by Western Mining will limit any increase in output for zinc smelters. According to smelter production plans, it is estimated that zinc output will rise slightly by 1,500 t to 492.2 kt in August, up 17.56% on-year and up 0.31% on-month. Cumulative production of zinc from Jan-Aug is expected to increase by 5.82% on-year.