Will Imported Zinc Concentrate Volumes in June Maintain High Levels Seen in May?[SMM Analysis]

SMM June 20 News:

According to the latest customs data, China imported 491,500 mt (metric tons) of zinc concentrate in May 2025, down 0.63% MoM (3,100 mt) from April, but up 84.26% YoY. From January to May, cumulative zinc concentrate imports reached 2.204 million mt, up 52.46% YoY

By country, the top three sources of imported zinc concentrate in May 2025 were: Australia with 108,600 mt, accounting for 22.10%; Peru with 79,300 mt, accounting for 16.13%; and South Africa with 51,600 mt, accounting for 10.49%. On a MoM basis, imports from Peru, Kazakhstan, Mexico, and Mongolia decreased significantly in May, while imports from Namibia, Iran, Oman, and Chile increased to varying degrees.

SMM believes that imported zinc concentrate volumes in May were basically flat compared to April, for the following reasons:

1. The zinc concentrate import window briefly opened in late April. Considering transportation time, this provided an opportunity for spot orders of imported zinc concentrate to flow in during May.

2. Long-term contract zinc ingot shipments signed by smelters earlier continued to arrive, supplementing supplies. Coupled with strong production expansion intentions among domestic smelters, they continued to purchase imported zinc concentrate to replenish raw materials, driving inflows of imported zinc concentrate.

In June, although the processing fees for domestically produced zinc ore continued to rise, smelters favoured domestically produced zinc ore due to its price advantage and showed lower willingness to purchase imported ore. However, long-term contract shipments ordered by smelters earlier continued to arrive at ports. Occasionally, spot orders were placed in May when the window opened, and some spot orders flowed in. Additionally, smelter production in June is expected to increase significantly, so the volume of imported zinc ore may remain high.

(The above information is based on market collection and comprehensive evaluation by the SMM research team. The information provided in this article is for reference only. This article does not constitute direct advice for investment research and decision-making. Customers should make cautious decisions and should not replace their independent judgment with this information. Any decisions made by customers are not related to SMM.)