The Escalation of the U.S.-China Rivalry: What Impact Will It Have on China's Zinc Ore Market? [SMM Analysis]

Published: Apr 18, 2025 18:44

Save

SMM Analysis: How Will the Escalation of US-China Rivalry Impact China's Zinc Ore Market? On April 10, China increased the tariff rate on imported goods originating from the US from 84% to 125%. On April 15, the White House released a fact sheet stating that Chinese products exported to the US would face tariffs of up to 245%. The "tariff storm" of 2025 has once again unfolded, with escalating tariffs affecting global nerves...

SMM reported on April 18: On April 10, China increased the tariff rate on imported goods originating from the US from 84% to 125%. On April 15, the White House released a fact sheet stating that Chinese products exported to the US would face tariffs of up to 245%. The "tariff storm" of 2025 has once again unfolded, with escalating tariffs affecting global nerves. As domestic smelters gradually expand production, the domestic reliance on imported zinc ore is also increasing. The market is highly concerned about whether this tariff event will impact the Chinese zinc ore market.

According to data from the General Administration of Customs of China, the main countries from which China imports zinc ore are Australia, Peru, and Kazakhstan. In 2024, the CR3 was nearly 50%, with Australia and the Americas being the primary regions for China's zinc ore imports. The US accounts for a small proportion of China's zinc ore imports. Specifically, since 2015, although the volume of zinc ore imported from the US has gradually increased, the overall proportion remains less than 5%. The direct import of US zinc ore by China is relatively limited.

Additionally, the major lead-zinc mines in the US include Red Dog, Buick, Greens Creek, Lucky Friday, Middle Tennessee, and East Tennessee. According to statistics from the US Geological Survey, the US zinc ore production in 2024 was 750,000 mt, with exports reaching around 650,000 mt. SMM has learned that the zinc ore imported by China from the US is primarily from the Red Dog mine, entering China through trade with Teck. There have been no reports of other transshipment methods bringing US zinc ore into the Chinese market.

Therefore, although the cost of importing US zinc ore has significantly increased due to tariffs, China's reliance on US zinc ore imports is not high, and the impact on the domestic zinc ore market supply is expected to be limited. View the SMM metal industry chain database.

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 to learn 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

Jun 5, 2026 16:18

Zinc Prices Fluctuated at Highs, Guangdong Spot Premiums Fell This Week [SMM Guangdong Spot Weekly Review]

[Zinc Price Fluctuates at Highs, Guangdong Premiums Fall This Week] This week, Guangdong premiums fell WoW by 15 yuan/mt. As of this Friday, mainstream 0# zinc in Guangdong was quoted at a discount of 90-60 yuan/mt against the market. The Shanghai-Guangdong price spread remained...

Jun 5, 2026 16:18

Jun 5, 2026 16:16

Off-Season Characteristics Increasingly Prominent, Die-Casting Zinc Alloy Starts Lower [SMM Die-Casting Zinc Alloy Weekly Review]

[Off-Season Characteristics Becoming Increasingly Prominent, Die-Casting Zinc Alloy Operating Rate Declines] In terms of downstream demand, zipper order demand in China has been mediocre recently, while demand for luggage and apparel zippers is weak. End-use demand for jewelry and hardware has also slowed down. Regarding export orders, some orders for hardware products exported to the Middle East have been continuously decreasing, but orders shipped to Southeast Asia have been generally normal...

Jun 5, 2026 16:16

Jun 5, 2026 16:15

Finished Product Inventories Rise, Zinc Oxide Operating Rate Continues to Decline [SMM Zinc Oxide Weekly Review]

[Finished Product Inventories Rise, Zinc Oxide Operating Rate Continues to Decline] This week, the operating rate of zinc oxide enterprises recorded 57.11%, down 0.34 percentage points WoW. On the inventory side, due to weakening end-use demand in some segments, some enterprises' finished products experienced inventory buildup...

Jun 5, 2026 16:15