SMM News, March 4:
According to SMM data, the operating rate for die-casting zinc alloy last week came in at 8.73%, marking a notable decline from pre-holiday levels. Meanwhile, the Chinese New Year break for die-casting zinc alloy enterprises was extended longer than expected, increasing slightly by 0.4 days from the pre-holiday expectation of 23.1 days to 23.5 days. The pace of work resumption among die-casting zinc alloy plants and downstream hardware enterprises diverged, mainly concentrated in two periods: the 10th day of the first lunar month or after the Lantern Festival. At present, most enterprises were still in the final stage of the Chinese New Year holiday.After the Chinese New Year holiday, domestic inventories continued to build up, but affected by macro and other factors, zinc prices still hovered at highs. Meanwhile, end-use demand remained weak, and a small number of alloy plants in the market, influenced by high prices and subdued demand, therefore delayed the resumption of operations. It was expected that after the Lantern Festival ended this week, overall operating rates in the die-casting zinc alloy industry would see a notable recovery.
