Die-Casting Zinc Alloy Achieves Double-Digit Growth in Imports and Exports in H1, How Will H2 Develop?

SMM Aug 29:
Reviewing the overall die-casting zinc alloy market in H1, how did China's imports and exports perform amid tariff disputes and the export rush? What are the prospects for H2?

According to SMM data, China's cumulative imports of die-casting zinc alloy from January to July reached 26,728 mt, up 1.39% YoY. By source country, imports from South Korea totaled 8,858.614 mt (33.60%), Japan 4,715.411 mt (17.89%), and Australia 4,023.976 mt (15.26%). Compared with the same period last year, imports from South Korea dropped back slightly to 8,191.533 mt (30.65%), while those from Australia increased to 4,610.028 mt (17.25%), and imports from Japan pulled back to 4,491.562 mt (16.81%).

Below are the details of major import sources for die-casting zinc alloy from January to July:

Export data shows China's cumulative die-casting zinc alloy exports from January to July reached 3,221 mt, up 5.33% YoY. By destination, exports to Vietnam totaled 659.211 mt (21.56% share), Taiwan, China 610.412 mt (19.96%), and Russia 504.849 mt (16.51%) during the same period. Compared with last year, exports to Vietnam declined to 621.946 mt (19.31% share) while shipments to Taiwan, China surged to 1,942.043 mt (60.29%), and Russia dropped to zero (-100%). The sharp contraction in the Russian market and significant growth in Taiwan, China were primarily driven by geopolitical factors and shifts in local demand.

Below are the detailed breakdowns of major die-casting zinc alloy export destinations from January to July:

How Will China's Die-Casting Zinc Alloy Imports and Exports Develop in H2?

First, the current die-casting zinc alloy market in China exhibits a supply-strong, demand-weak pattern. Smelter zinc alloys continue to flood the market, making it increasingly difficult for private enterprises to survive. In recent years, some die-casting zinc alloy manufacturers, due to insufficient orders and operational difficulties, have gradually shifted from production-oriented to trade-oriented businesses. Meanwhile, smelter alloy capacity continues to expand. With the lack of new consumption highlights in the domestic market, die-casting zinc alloy imports are expected to gradually decline in H2, while corporate export momentum remains strong. Additionally, the current SHFE/LME price ratio has pulled back again, increasing export opportunities.

Second, from a macro environment perspective, the August China-US negotiations resulted in a 90-day suspension of the US's 24% tariff hike on goods originating from China (including Hong Kong and Macau) starting from August 12, 2025, while maintaining the existing 10% tariff hike. China reciprocally suspended its 24% tariff hike on US-originating goods, also retaining the 10% tariff hike, and suspended or canceled non-tariff countermeasures against the US. This indicates a certain degree of easing in bilateral trade relations between China and the US, though both sides retained their respective 10% tariff hikes. Although China's direct exports of die-casting zinc alloy to the US account for a relatively small share, domestic die-casting zinc alloy terminal hardware products still have some export opportunities during the 90-day suspension period. SMM will continue to monitor the domestic and overseas markets for die-casting zinc alloy.