Refined Zinc Output in March Likely to affected by Power Cuts

SHANGHAI, Mar 9 (SMM) - SMM predicts that in March 2023, domestic refined zinc production will increase 59,000 mt MoM and 13% YoY to 560,400 mt. The output from January to March will reach 1.57 million mt, an increase of 6.87% year-on-year. Entering March, power cuts in Yunnan have affected the smelters in Qujing and Kunming. However, due to the fewer working days in February, the decline will be limited. At present, the scale of production restriction in Yunnan is 10% -20%. Other output cuts are owing to the routine maintenance of the smelter of Honghe. Meanwhile, the overproduction plan of domestic smelters and the resumption of secondary zinc smelters will bring about some additional increments. In addition, the maintenance plans of Huludao Zinc and Gansu Baohui have been postponed to April. Judging from the current production schedules, the excess zinc concentrate has been produced into ingots.