TCs of Imported Zinc Ore Continue to Rise, Trading Remains Sluggish During the Week [SMM Zinc Concentrates Weekly Review]

SMM September 12:

On a weekly basis, the average SMM Zn50 domestic zinc concentrate TC remained flat WoW at 3,850 yuan/mt in metal content, while the SMM imported zinc concentrate index rose $2.5/dmt WoW to $98.75/dmt.

In the spot market, as the SHFE/LME price ratio further deteriorated, domestic zinc ore gained stronger price advantages, prompting smelters to actively compete for domestic ore. Zinc concentrate TCs in some regions continued to decline slightly this week. Meanwhile, offers and transactions for imported zinc ore remained sluggish during the week. Recently, domestic smelters and traders concluded a deal for Dugald River zinc ore on a self pick-up basis at the port, with the TC settled at $100/dmt. Imported zinc concentrate TCs continued to rise. In addition, a tender for Dugald River zinc ore was recently heard, with a volume of 10,000 mt and shipment scheduled for December/January. SMM will continue to monitor the subsequent tender results.

On September 9, the China Zinc Raw Materials Joint Negotiation Group (CZSPT) held its latest quarterly meeting in Chongzuo, Guangxi. Members engaged in in-depth exchanges and discussions on the current situation and future trends of the domestic and overseas zinc concentrate markets, and jointly deliberated on the expected reference range for TCs in the next phase across domestic and overseas markets. During the meeting, CZSPT released the guidance price range for imported zinc concentrate TCs in US dollars by the end of Q4 2025: $120/dmt (average) to $140/dmt (average).

This week, SMM zinc concentrate inventory at China's main ports totaled 445,500 mt, up 16,600 mt WoW, with a notable increase at Lianyungang Port.