Domestic Lead and Zinc Mines Gradually Resume Production: What Is the Pace of Lead Concentrates Resumption? [SMM Analysis]

According to SMM data, December-February, lead concentrate production continued its downward trend. After the gradual recovery of lead concentrate projects in February, production has not yet reached full capacity. Lead concentrate supply in north China is expected to see marginal growth in March-April. It is understood that short-cycle (15-20 days) routine maintenance projects at mines generally resumed normal operations around the Lantern Festival, with some mines and beneficiation plants starting operations 5-7 days later than mining activities. Only a few small- and medium-sized mining projects experienced unexpectedly delayed production recovery. In terms of production, February lead concentrate production is expected to decrease by 12,400 mt in metal content MoM to 99,200 mt in metal content. As mine production stabilizes, March lead concentrate supply may recover to 110,000-120,000 mt in metal content. Additionally, several mines mentioned that lead concentrate products produced in February might not immediately enter the quotation and sales phase due to unstable production. These products may enter the market in March after production stabilizes. Therefore, although lead concentrate supply slightly improved in late February compared to post-holiday levels, it has not entered market transactions. Coupled with limited growth in overseas lead concentrate supply and the closure of import windows, domestic lead concentrate supply remains in tight balance. In the short term, lead concentrate pb50TC quotations are not expected to rebound. 》Click to view the SMM Metal Industry Chain Database