Fewer orders depress Jul operating rate at zinc oxide plants

SHANGHAI, Aug 2 (SMM) – The operating rate at zinc oxide plants across China in July fell 3.3 percentage points from June to stand at 51.4%, an SMM survey found. 

Fewer orders at plants in the low season and environmental restrictions accounted for the decline. 

This lowered the average operating rate, for the first seven months of the year, 5.85 percentage points from the same period last year, to stand at 52.1%.

The operating rate is likely to remain low in August, SMM estimated based on orders received and production schedules across plants. Downstream demand will remain weak this month as producers resume slowly from environmental suspensions and maintenance from high temperatures in the summer.