Galvanizers in North China Restart Production after China Environmental Push, SMM Reports

Published: May 23, 2017 17:51
With the ending of environmental protection checks, galvanizers in North China that had cut or ceased production in mid-April returned to production, SMM understands.

SHANGHAI, May 23 (SMM) - With the ending of strict environmental protection checks, galvanizers in North China that had cut or ceased production in mid-April returned to production, SMM understands.

Tianjin Environmental Protection Bureau announced May 19 some large galvanizers are allowed to restart production.

Those that pass environmental impact assessment and have no noticeable environmental protection problems are allowed to restart immediately, while those that pass environmental impact assessment but have environmental protection and safety problems will be allowed to resume production after ratifications.

Zinc to Fluctuate at High Levels This Week, SMM Foresees

Acid-related plants will be allowed to return to production as long as they are recognized by environmental protection bureau and industry and economic committee.

Those that haven’t effluent discharge facility will be allowed to get back to production if they deliver effluent to sewage plant by tank truck with approval of industry parks of villages and towns.

Enterprises involved in dispute will be handled based on decision of Bureau of Supervision of Tianjin.

Here’s Why Zinc Prices Exhibit Excellent Performance, SMM Reports

Galvanizers in Tianjin’s Daqiu Village began to restart production from May 16, SMM learned. 5 local medium and large galvanizers have restarted production. Operating rates at their production lines recovered to 2/3. The other 20 small ones remained closed since they failed to pass environmental assessment. Most galvanizers in Handan and Bazhou have already restarted.

Over 50% of galvanizers in Beijing, Tianjin and Hebei passed environmental assessment with upgrading of environmental protection facility. Although large galvanizers maintained high production, most small galvanizers failed to pass environmental assessment and remained closed. Zinc utilization will thus be affected.

The average operating rate at Chinese galvanizers was 66.9% in April, down 25 percentage points on a yearly basis. The rate will rise to 68% in May after strict environmental protection checks in China, SMM predicts. 

For news cooperation, please contact us by email: sallyzhang@smm.cn or service.en@smm.cn. 

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn
For more information on how to access our research reports, please contact:service.en@smm.cn
Related News
Zinc Ingot Inventory Across Seven Regions Falls to 218,200 mt as of Sep 10
1 hour ago
Zinc Ingot Inventory Across Seven Regions Falls to 218,200 mt as of Sep 10
Read More
Zinc Ingot Inventory Across Seven Regions Falls to 218,200 mt as of Sep 10
Zinc Ingot Inventory Across Seven Regions Falls to 218,200 mt as of Sep 10
[SMM Flash] According to SMM communication, as of this Thursday (September 10), total zinc ingot inventory across seven SMM regions stood at 218,200 mt, down 14,600 mt from September 3 and down 3,900 mt from September 7.
1 hour ago
Vizsla Copper to Acquire Alaska’s Delta Zinc-Lead-Copper VMS Project; Agnico to Take 19.99% Stake
2 hours ago
Vizsla Copper to Acquire Alaska’s Delta Zinc-Lead-Copper VMS Project; Agnico to Take 19.99% Stake
Read More
Vizsla Copper to Acquire Alaska’s Delta Zinc-Lead-Copper VMS Project; Agnico to Take 19.99% Stake
Vizsla Copper to Acquire Alaska’s Delta Zinc-Lead-Copper VMS Project; Agnico to Take 19.99% Stake
Vizsla Copper announced that it had agreed to acquire 100% of the Delta polymetallic VMS project and the Helm Bay gold project in Alaska from Agnico Eagle. The transaction is expected to close in the fourth quarter of 2026. Delta carries a historical resource estimate of 15.4 million tonnes grading 3.8% zinc, 1.7% lead, 0.6% copper, 62 g/t silver and 1.7 g/t gold; the estimate has not been verified as a current mineral resource. Vizsla will issue Agnico 22.52 million shares, representing approximately 19.99% of its issued shares at signing. Subject to disinterested shareholder approval, a further 2.90 million shares would lift Agnico’s ownership to about 22%. The consideration also includes 3.04 million two-year warrants exercisable at C$1.95 per share, plus 2% and 3% NSRs on Delta and Helm Bay, respectively. Agnico may invest up to C$5 million in Vizsla’s post-closing financing, provided the financing exceeds C$30 million.
2 hours ago
Arcus and Core Launch ~3,000m Drill Program to Follow Up Copper-Gold-Zinc-Silver Mineralization at Touleary
2 hours ago
Arcus and Core Launch ~3,000m Drill Program to Follow Up Copper-Gold-Zinc-Silver Mineralization at Touleary
Read More
Arcus and Core Launch ~3,000m Drill Program to Follow Up Copper-Gold-Zinc-Silver Mineralization at Touleary
Arcus and Core Launch ~3,000m Drill Program to Follow Up Copper-Gold-Zinc-Silver Mineralization at Touleary
Arcus Development Group and Core Silver have launched an approximately 3,000-metre diamond drilling program at the Touleary VMS Project in Yukon, with initial drilling focused on the Discovery Zone and surrounding areas. The program is the first drilling campaign at Touleary since 2011, and crews and equipment were mobilized after permits were secured. Historical drilling included a 2.25-metre interval grading 4.30% zinc, alongside copper, gold and silver, and a 3.17-metre interval grading 1.38% zinc. The 2026 campaign is designed to test extensions of the Discovery Zone beyond the limited historical drill area while retaining flexibility to test undrilled targets such as Target 4 and Target 8, which carry copper-zinc and broader polymetallic anomalies.
2 hours ago
Galvanizers in North China Restart Production after China Environmental Push, SMM Reports - Shanghai Metals Market (SMM)