SHANGHAI, Apr. 15 (SMM) – Average operating rate at Chinese die-cast zinc alloy producers was 66.4% in March, up 20.8% from February, according to the latest SMM survey.
The enterprises surveyed by SMM are located in Shanghai, as well as Zhejiang, Jiangsu, Fujian, Guangdong, Shandong, and Henan provinces.
The increase in rate was due mainly to production resumption from the Chinese New Year holiday in March.
A large number of die-casting zinc alloy producers report increased orders from the hardware, water heating and bathroom accessories sectors, while orders from zipper manufacturers were also stable. In contrast, orders from the electric appliance sector were sluggish due partially to the recent RMB depreciation. Some die-cast zinc alloy producers reported that zipper manufacturers which had invested in real estate projects were now experiencing cash flow problems since the property sector has been sluggish so far this year.
SMM expected average operating rate and orders at domestic die-casting zinc alloy producers to continue to grow during April.