SMM survey of operating rates at zinc oxide enterprises

According to SMM survey, the average operating rate of zinc oxide enterprises was 61.4% this week, up 0.1 percentage point from a week ago. In terms of raw materials, zinc oxide plants were cautious in the purchases of zinc ingots as zinc prices hovered at high levels.

The plants using zinc slag as raw materials purchased as required. The overall raw material inventories decreased slightly. Orders at zinc oxide companies strengthened, lowering finished product inventories. Downstream enterprises were bullish over zinc prices, and purchased zinc oxide actively in case of further price gains.

Zinc oxide plants maintained original production schedules, and the operating rates changed little. The operating rates are expected to remain at the current level in the near term.