China Action Hurts Galvanizers in Tianjin and Hebei

SHANGHAI, May. 2 (SMM) – Galvanizers in North China were greatly impacted by environmental protection inspections from April 20.

Central Environmental Protection Team ordered all acid-related producers in Jinghai District, Tianjin cease production from May 1. Most local galvanizers were forced to shut down.

China closed all galvanizers in Bazhou City, Hebei Province for environmental protection assessment from April 20, SMM reported. The environmental protection assessment will last for one month, majorly covering galvanized tube/pipe and galvanized sheet plants. About 10,000 tonnes per month of local zinc consumption will be affected.

Environmental protection drive in the two regions will affect about 50,000 tonnes of zinc utilization per month, SMM said.

SMM understands production at some galvanizers in Jinghai District had been restricted in mid-April. Daqiu Village was significantly affected. All acid-related producers in Jinghai District, Tianjin were required to cease production in May. Impact from this round of environmental protection will last until after the Belt & Road Forum. Those that met environmental protection requirements will be re-checked, restricting their output. About 200 local galvanizing lines will be affected, whose monthly zinc consumption total 40,000-50,000 tonnes per month.

When they will restart is still indeterminate. Handan and Cangzhou have yet to be affected.

Some galvanizers have passed environmental protection inspections, but will also be affected since all acid-related plants are forced to shut down, SMM said. Besides, pickled coils supply in Beijing, Tianjin and Hebei was limited. This, combined with restrictions on sulfuric acid transportation, will further disrupt galvanizing.

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