According to SMM survey, the average operating rate of zinc oxide enterprises was 61.3% last week, up 0.4 percentage point from the previous week. In terms of raw materials, the zinc prices recently rose, and the zinc slag coefficient remained high. Enterprises were relatively active in stockpiling the week before last week.
Therefore, zinc oxide enterprises were alert to the risk of zinc price fluctuations, and raw material purchases were limited last week. In terms of orders, the recent performance of orders in various sectors of zinc oxide were relatively stable, and terminal purchases were relatively cautious; affected by the fall in zinc prices, selling prices continued to fall. This, combined with significant competition, significantly narrowed profits of enterprises.
Finished product inventory slightly increased. This week, the operating rates of zinc oxide enterprises are likely to remain at the current level.
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