China’s zinc oxide imports plunged 65% month‑on‑month in July, while cumulative exports topped 12,000 tonnes

According to SMM news on August 21:

Latest customs data showed China imported 234.12 tonnes of zinc oxide in July, down 65.01% month‑on‑month. Cumulative imports stood at 3,495.83 tonnes for Jan‑Jul. July zinc oxide exports came in at 1,524.18 tonnes, falling 20.27% month‑on‑month. Cumulative exports reached 12,267.66 tonnes over the first seven months.

Looking at July import‑export breakdown:

Imports totalled 234.124 tonnes, predominantly sourced from Asia which accounted for over 70 % of total imports.

Imports from South Korea stood at 101.76 tonnes (43.46 %), rising by 55.36 tonnes month‑on‑month;

Imports from Japan reached 38.227 tonnes (16.33 %), up 16.91 tonnes month‑on‑month;

Imports from Canada were 34.78 tonnes (14.86 %), dropping 148.16 tonnes month‑on‑month;

Imports from Germany amounted to 24.452 tonnes (10.44 %), gaining 9.81 tonnes month‑on‑month.

Meanwhile, imports from Thailand, Chinese Taiwan and Malaysia fell markedly by 239.5 tonnes, 41.00 tonnes and 57.77 tonnes respectively month‑on‑month.

Exports totalled 1524.184 tonnes, still heavily concentrated in Asia with a share above 75 %.

Exports to Vietnam were 340.95 tonnes (22.37 %), decreasing 108.97 tonnes month‑on‑month;

Exports to Thailand hit 254.12 tonnes (16.67 %), increasing 55.64 tonnes month‑on‑month;

Exports to the Philippines came to 169.10 tonnes (11.09 %), climbing 32.6 tonnes month‑on‑month.

Notable month‑on‑month export increases were also registered for Chinese Taiwan (+88 tonnes), Malaysia (+51.73 tonnes) and Turkey (+54 tonnes).

By contrast, exports to Brazil and Nigeria pulled back by 160.53 tonnes and 48 tonnes respectively.

Outlook: opportunities remain for zinc oxide exports. For one thing, the Shanghai‑London price ratio stays at a relatively low range, granting Chinese zinc oxide certain price competitiveness in global markets. For another, domestic tyre manufacturers have kept expanding overseas capacity in recent years. Expanding tyre production in Southeast Asia and other regions generates matching demand for zinc oxide, which will lend sustained support to China’s zinc oxide exports. Besides, amid ample domestic zinc oxide supply and intense corporate competition, producers maintain strong willingness to explore overseas markets, pointing to active export performance ahead.

On the import side, the domestic zinc oxide sector continues to grapple with overcapacity and loose supply conditions. Recovery in traditional end‑use sectors such as tyres and ceramics remains sluggish, with downstream purchasing limited to rigid demand. In addition, overseas zinc prices are generally higher than domestic levels, eroding the cost advantage of imported material and weighing on zinc oxide imports.