Domestic Refined Zinc Output Fell Short of Expectations in December

SHANGHAI, Dec 7 (SMM) – China's refined zinc output stood at 519,500 mt in November, up 20,200 mt or 4.05% on the month but down 7.61% on the year. The output from January to November stood at 5.57 million mt, up 0.41% year on year. The alloy output at domestic refined zinc smelters in SMM’s survey sample registered 77,000 mt in November, up 0.35 mt on the month.

SMM survey showed that China's refined zinc output in November basically met expectations. The increment for output estimate is due to the resumption of production by refined zinc smelters in Hunan, Guangxi, Henan, Gansu, Liaoning among other regions after the end of power rationing. The unexpected increase comes from Guangxi Yusheng Germanium Industry and Southwest Energy&Mineral. The decrease came from routine maintenance of smelters in Jiangxi and Yunnan. Domestic refined zinc output is expected to increase 13,300 mt on the month to 532,800 mt in December, with the increase far less than expected. The total refined zinc output is likely to increase 0.03% on the year to stand at 6.11 million mt. According to SMM survey, the main reason for the output which is less than expected lies in the maintenance of the smelters in Huayuan, Hunan and the reduction in output of the smelters in Shaanxi. The increase is mainly brought by the resumption of production from the shutdown and overhaul of smelters in Inner Mongolia and Jiangxi.