SMM Launches 40% Imported Ore Zinc Smelting Daily Profit Index by Province [SMM Analysis]

Published: Jun 30, 2026 18:10

Save

[Covering Seven Major Production Regions! SMM Launches Daily Provincial Profit Indicator for Zinc Smelting Using 40% Imported Ore] In May 2026, SMM added daily profit models for domestic ore in the eight major zinc smelting regions of Inner Mongolia, Henan, Gansu, Hunan, Guangxi, Yunnan, Shaanxi, and Sichuan for market reference. ...

SMM, June 30 :

In May 2026, SMM introduced daily profit models for domestic ore across eight major zinc smelting regions—Inner Mongolia, Henan, Gansu, Hunan, Guangxi, Yunnan, Shaanxi, and Sichuan—to serve as a market reference. Considering the significant differences in raw material structures among zinc smelters in China, customs data show that the proportion of imported ore has been rising year by year, reaching approximately 40% in recent years. For smelters utilizing a mix of imported ore, the cost side is affected by both domestic ore TCs and imported ore TCs. Additionally, the delivered cost of imported ore must factor in exchange rate fluctuations, international ocean freight rates, port charges, and other elements, introducing more variables that influence profit structure fluctuations. As of June 26, 2026, SMM’s domestic ore TC stood at -200 yuan/mt in metal content, and the imported ore TC at -$77.5/dmt. Against a market backdrop of persistently negative imported ore TCs and a deeply closed import window, smelters operating with this ore mix generally recorded wider losses compared to those using purely domestic ore. Therefore, independently tracking smelting profits under a 40% imported ore mix helps more accurately identify the profitability and production flexibility of enterprises with different raw material structures, providing detailed data support for industry chain analysis.

To further enhance the zinc industry chain data service system, Shanghai Metals Market (SMM) launched a daily smelter profit model (40% imported ore) in June 2026. The data, backdated to January 2025 and updated every business day, covers seven major zinc smelting regions: Inner Mongolia, Henan, Gansu, Hunan, Guangxi, Yunnan, and Sichuan. Building on existing profit indicators, this data upgrade incorporates a 40% imported ore mix and outputs two complete profit models—profit including sulphuric acid and profit including sulphuric acid and minor metals. The data supports independent provincial inquiries, facilitating cross-regional comparisons of smelter profit trends.

Data Applications for the New Smelter Profit Model (40% Imported Ore):

1. Track profit fluctuation trends for smelters using imported ore mixes, and assess demand elasticity and purchase willingness for imported ore. 2. Horizontally compare profit differences across production areas to identify regional spot arbitrage opportunities.
3. Combine the trends of imported ore TCs and domestic ore TCs to assist in predicting the adjustment direction of the blending ratio of imported and domestic ores.
4. Support industry research and market trend analysis.

Data Viewing:
You can log in to the SMM Data Terminal (URL: https://data-pro.smm.cn/terminal) and view the relevant data under the Zinc - Refined Zinc category in the Cost and Profit section. Data is updated on working days.
Thank you for your support and trust in SMM. We look forward to your feedback and suggestions. If you have any questions or need further assistance, please feel free to contact: Han Zhen 021-51666876.

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 for 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

1 hour ago

Canada Considers National Interest Status to Support Zinc, Copper and Silver Development

The Canadian federal government is considering granting national interest status to the Mackenzie Valley Highway and the Grays Bay Road and Port Project (GBRP), two major infrastructure developments aimed at improving access to mineral-rich regions in Nunavut and the Northwest Territories. The Mackenzie Valley Highway would extend approximately 800 km north from Wrigley to Inuvik, while the GBRP includes a deepwater port, airstrip and a 230-km all-season road connecting Nunavut and the Northwest Territories. Canadian officials said the projects could significantly improve transportation infrastructure, reduce logistics costs, and facilitate the development of zinc, copper, silver and other base metal deposits in the Far North. Companies that could benefit include Glencore, MMG and West Kitikmeot Resources. If approved, the projects would become among the first to receive consideration under Canada’s Building Canada Act, potentially accelerating permitting and regulatory approvals through the Major Projects Office.

1 hour ago

[SMM Flash] Nuvau Minerals Confirms High-Grade Gold Potential at Canada’s Historic Matagami Zinc-Copper Camp

Nuvau Minerals announced encouraging results from its 2026 winter drilling program at the Thundermine target in Quebec’s historic Matagami mining camp. Drill hole TM-26-001 intersected 6.10 meters grading 5.28 g/t gold, including a higher-grade interval of 3.10 meters grading 7.22 g/t gold. Drill hole TM-26-004 also returned 2.50 meters grading 3.15 g/t gold. The Matagami camp has historically been known for large-scale base metals production, having produced more than 10 billion pounds of zinc and nearly 1 billion pounds of copper since the 1960s. The latest Thundermine results suggest that, beyond its traditional VMS-style copper-zinc mineralization, the district may also host significant orogenic gold potential. Nuvau said a follow-up drilling campaign is scheduled to begin in July 2026, focusing on step-out drilling along strike and down dip from the TM-26-001 intercept to test the continuity and resource growth potential of the high-grade gold zone.

1 hour ago

[SMM Flash]Blue Lagoon Targets 1Moz Resource Growth at Canada’s Dome Mountain Mine as Production Ramps Up

Blue Lagoon Resources announced that its Dome Mountain gold-silver mine in British Columbia, Canada, has achieved commercial production and is ramping up throughput from over 100 tonnes per day toward a target rate of 150 tonnes per day. The company expects to produce approximately 15,000 oz of gold over the next 12 months, with annual output potentially increasing to 20,000 oz thereafter. Dome Mountain is a quartz-carbonate vein-hosted gold-silver deposit that also contains lead, zinc and copper credits within its concentrate. Blue Lagoon stated that its next major focus will be exploration, with drilling programs scheduled to resume later this year. The company aims to expand the Boulder vein resource through infill, strike-extension and deep drilling, targeting a long-term resource inventory of 1 million ounces of gold. Current resources at the Boulder vein stand at approximately 234,000 oz of gold, while mineralization remains open along strike and at depth, providing significant resource growth potential.

1 hour ago