SHANGHAI, Apr. 22 (SMM) - As output at mines has been growing after the long Chinese New Year holiday, smelters were not affected by low ore availability. In a recent SMM survey, about 90% of smelters reported sufficient raw material inventories.
As zinc prices continue to fall, mines began to hold back goods given shrinking profits, despite TC for zinc concentrate stabilized between RMB 4,900-5,300/mt. That caused goods availability for smelters to decrease, and smelters will continue to struggle for negotiating power over TC as zinc prices remain sluggish.