Guangdong Zinc: Downstream Procurement Demand Weakens, Market Transactions Deteriorate [SMM Midday Review]

Published: Mar 4, 2025 12:01

Save

[Guangdong Zinc: Downstream Procurement Demand Weakens, Market Transactions Deteriorate] SMM March 4: The mainstream transaction price of Guangdong 0# zinc was 23,605-23,810 yuan/mt, with mainstream brands quoting a discount of 10 yuan/mt against the 2504 contract and on par with Shanghai spot. The Shanghai-Guangdong price spread narrowed...

SMM, March 4: Guangdong 0# zinc was mainly traded at 23,605-23,810 yuan/mt, with mainstream brands quoted at a discount of 10 yuan/mt against the 2504 contract and on par with Shanghai spot. The Shanghai-Guangdong price spread narrowed. In the first session, suppliers quoted Qilin, Mengzi, Feilong, and Lan zinc at a discount of 10 yuan/mt to a premium of 10 yuan/mt. In the second session, Qilin, Mengzi, and Lan zinc were quoted at a discount of 20 yuan/mt to a premium of 10 yuan/mt against the online price. Overall, the futures market declined today. Although the overall price difference compared to yesterday was relatively small, downstream inventory buildup from previous low-price purchases, combined with no significant improvement in end-use consumption, led to inventory accumulation for some enterprises. Procurement demand weakened, and market transactions deteriorated. If zinc prices continue to rise while downstream demand does not improve, premiums and discounts are expected to weaken.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

Mar 13, 2026 18:52

North China Mine Sets March Zinc Concentrates Tender at 2,300 Yuan/mt with Profit-Sharing

[Zinc Concentrates Tender] According to SMM, the March tender price for self pick-up at the mine for zinc concentrates at a mine in North China was around 2,300 yuan/mt in metal content (including the 20/80 profit-sharing arrangement), with the enriched metal not priced. SMM will continue to monitor subsequent changes in processing fees.

Mar 13, 2026 18:52

Zinc Concentrates Market Faces Supply Concerns as Disruptions in Iran, Australia Persist

[Imported Zinc Concentrates Market] Disruptions in Iran and Australia persisted recently, and the market’s concern over zinc concentrates supply continued. This week, traders of imported zinc ore continued to lower spot quotes. It was learned that some recent offers for bulk cargoes of zinc-rich zinc concentrates fell to negative prices.

Mar 13, 2026 18:52

Mar 13, 2026 16:58

Secondary Zinc Oxide Payables Remained Relatively Firm, How Will They Perform in March [SMM Analysis]

Secondary Zinc Oxide Production Fell in February, While Secondary Zinc Oxide Payables Remained Relatively Firm. What Trend Will Secondary Zinc Oxide Show in March?

Mar 13, 2026 16:58