SMM Flash

On July 9, a fire broke out at an air pollution control facility in the sulphuric acid production area of the No. 1 plant at Young Poong’s Seokpo Smelter in South Korea. According to the company’s preliminary statement, the affected facility is located at the tail end of the roaster off-gas treatment system and is not part of the smelter’s core zinc production equipment. No casualties or leaks of hazardous substances have been reported, while production is currently unaffected. The cause of the fire and the extent of the equipment damage remain subject to a joint investigation by the relevant authorities. Attention should be paid to whether repairs to the facility could subsequently constrain roasting operations. Given that the smelter is already undergoing routine maintenance, the overall impact of the incident on refined zinc output is expected to be relatively limited.

In H1 2026, the refined zinc industry struggled under multiple pressures. Ore supply remained tight, with both domestic and imported zinc concentrate TCs falling to record lows since data records began in 2013, directly squeezing smelter profits, and some enterprises have already fallen into losses. How will the refined zinc market develop in H2?