SMM, February 14:
This week, the operating rate of die-casting zinc alloy recorded 45.30%, up 24.07 percentage points WoW. Raw material side, die-casting zinc alloy enterprises received raw materials ordered at low prices in the earlier period, leading to an increase in raw material inventory. As for finished product inventories, despite the rise in zinc prices this week, with transportation returning to normal, some enterprises delivered previously undelivered orders, resulting in a decrease in finished product inventories. The increase in the operating rate of die-casting zinc alloy this week was mainly due to the resumption of operations by many enterprises, driving the overall operating rate upward. However, some enterprises reported that production workers were still not fully in place. Meanwhile, with the continuous rise in zinc prices, downstream sentiment of price aversion also emerged, leading to insufficient consumption momentum. In terms of actual orders, resuming enterprises indicated that overall downstream consumption had not significantly improved, with orders across various sectors performing relatively average. Downstream mainly engaged in small-scale stockpiling for immediate needs. It is expected that more enterprises will resume production next week, and the operating rate of die-casting zinc alloy enterprises may reach 54.94%.
