The Escalation of the U.S.-China Rivalry: What Impact Will It Have on China's Zinc Ore Market? [SMM Analysis]

SMM reported on April 18: On April 10, China increased the tariff rate on imported goods originating from the US from 84% to 125%. On April 15, the White House released a fact sheet stating that Chinese products exported to the US would face tariffs of up to 245%. The "tariff storm" of 2025 has once again unfolded, with escalating tariffs affecting global nerves. As domestic smelters gradually expand production, the domestic reliance on imported zinc ore is also increasing. The market is highly concerned about whether this tariff event will impact the Chinese zinc ore market. According to data from the General Administration of Customs of China, the main countries from which China imports zinc ore are Australia, Peru, and Kazakhstan. In 2024, the CR3 was nearly 50%, with Australia and the Americas being the primary regions for China's zinc ore imports. The US accounts for a small proportion of China's zinc ore imports. Specifically, since 2015, although the volume of zinc ore imported from the US has gradually increased, the overall proportion remains less than 5%. The direct import of US zinc ore by China is relatively limited. Additionally, the major lead-zinc mines in the US include Red Dog, Buick, Greens Creek, Lucky Friday, Middle Tennessee, and East Tennessee. According to statistics from the US Geological Survey, the US zinc ore production in 2024 was 750,000 mt, with exports reaching around 650,000 mt. SMM has learned that the zinc ore imported by China from the US is primarily from the Red Dog mine, entering China through trade with Teck. There have been no reports of other transshipment methods bringing US zinc ore into the Chinese market. Therefore, although the cost of importing US zinc ore has significantly increased due to tariffs, China's reliance on US zinc ore imports is not high, and the impact on the domestic zinc ore market supply is expected to be limited. View the SMM metal industry chain database.