According to the SMM survey, zinc concentrate production in June decreased slightly due to several factors. Lower ore grades at multiple mines in northern China reduced output, while continuous heavy rainfall in southern provinces like Sichuan and Guangxi temporarily halted mining operations. Additionally, equipment malfunctions and maintenance at mines in Zhejiang, Inner Mongolia, and Shaanxi further contributed to the drop in production for the month. Conversely, an increase in production days at mines in Inner Mongolia and Qinghai led to a rise in output. Similarly, mines in Hunan, previously reduced in operations due to maintenance or cutbacks, resumed production, also boosting output.
According to the SMM survey based on the new sample, zinc concentrate production in July is anticipated to reach 323,100 mt in metal content, up 9,300 mt in metal content MoM. However, the operating rate is expected to decrease MoM to 70.3%. This is due to the inclusion of two newly commissioned lead-zinc mines, Huoshaoyun and Yinzhushan, which expanded the sample's capacity. While these new mines boost production, they also lower the overall operating rate. Additionally, maintenance at mines in Inner Mongolia and regulatory halts in Hunan are likely to further reduce production.
