SMM June China lead concentrate mine survey and July forecast

According to SMM research, June saw maintenance alongside recovery at lead and zinc mines, with regions like Inner Mongolia and Tibet stabilizing output after resuming production. New and expanded ore processing projects in Yunnan and Inner Mongolia are set to ramp up production in 2024. Fluctuations in ore grades have decreased zinc output while slightly boosting lead production. Notably, regions such as Guangxi and Guangdong saw production declines due to heavy rainfall, and routine maintenance at a medium-sized mine in Inner Mongolia also led to reduced output in June. In July, new and expanded mining projects in Xinjiang and Jiangxi commenced, though their output has not yet stabilized, which could lead to significant increases. With the inclusion of newly commissioned projects, the operating rate of lead and zinc mines in July is expected to down 0.5 percentage points to 59.9%.