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Zinc production continues growth in Apr as high TCs spur smelters

iconMay 9, 2019 15:39
Source:SMM
Output came in at 461,100 mt in Apr, up 1.99% from Mar and 3.71% from Apr 2018

SHANGHAI, May 9 (SMM) – Production of refined zinc in China continued to grow in April as record-high treatment charges for zinc concentrate fuelled production enthusiasm among smelters.

An SMM survey showed that China produced 461,100 mt of refined zinc in the month of April, up 1.99% from March and 3.71% from April 2018. Surveyed capacity remained unchanged at 6.085 million mt/year.

The growth in output was largely driven by smelters in Hunan. The first production line at Zhuzhou’s new smelter saw output significantly rise to 10,000 mt, while operations at Sanli fully recovered. Xuanhua recently began to prepare for operation recovery.

Some smelters in Gansu and Liaoning began routine maintenance last month, which limited gains in overall production.

While some smelters in Qinghai and Yunnan will undertake maintenance in May, zinc production is likely to extend its gains this month as Hanzhong Zinc steps up production and Baiyin Nonferrous recovers from maintenance, and as some smelters slightly raise production to chase high profits.  

Zinc output is expected to grow 5.3%, or 24,500 mt month on month to stand at 485,600 mt in May, up 14.75% from the corresponding month of 2018. This will narrow the year-over-year decline in output in January-May to 0.41%.

Production data
Zinc

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