SHANGHAI, Dec 7 (SMM) - China's refined zinc output stood at 524,700 mt in November, up 10,600 mt or 2.06% MoM and 5,200 mt or 0.99% YoY. From January to December 2022, the combined refined zinc output stood at 5.45 million mt, a decrease of 2.16% year-on-year.
The increase in domestic refined zinc production in November as the output of some smelters exceeded the expectations. The output of smelters in Yunnan, Inner Mongolia, Hunan and Xinjiang exceeded the expectations after resumed the production. A large-sized smelter in Guangdpng resumed its production after maintenance, hence its output increased. A smelter in Shaanxi raised its production and the output increased slightly. However, the output of smelters in Sichuan declined significantly in December due to the impact of environmental protection. Meanwhile, affected by the pandemic in Qinghai, smelters stopped the production.
China refined zinc output is expected to be 545,600 mt in December, up 20,900 mt on the month and 6.29% or 32,300 mt on the year. From January to December 2022, the combined refined zinc output is estimated to be 59.98 million mt, a decrease of 1.45% year on year. As the smelters in Sichuan have resumed normal production, the output may increase. Meanwhile, some smelters in Shaanxi and Xinjiang further increase the production. Some smelters in Jiangxi had plans to increase the production at the end of the year. As the impact of the pandemic gradually eases, some smelters in Qinghai will resume normal production. However, some smelters in Yunnan are affected by the pandemic, and their output declined slightly reduced. These smelters may resume the production in the middle of December.
According to SMM research, most smelters will maintain normal production during the Chinese New Year in January, and only some secondary zinc smelter plan to take the holiday and stop the production.
