Lead, Zinc Supply and Demand Statistics for Jan-July ‘16 released

SPOKANE (Scrap Monster): The latest statistics published by the International Lead and Zinc Study Group (ILZSG) indicates that global refined zinc market was in deficit of 174,000 tons during the initial seven-month period of the current year. The total reported zinc inventories declined by 17,000 tons during this period.

The zinc mine output declined considerably in major producing countries including Australia, India, Ireland and Peru. Overall, the zinc mine output declined by 6.1% during the initial seven-month period in 2016 when compared with the corresponding period last year.

The refined zinc metal production during the seven-month period totaled 7.771 million tons, 3.90% lower when compared with the 8.084 million tons output during corresponding seven-month period in 2015. The refined zinc metal production recorded major decline in key producing countries including India and the United States. The drop in output was partly on account of closure of Horsehead Holdings’ Mooresboro operation.

The global demand for refined zinc metal increased slightly to 7.945 million tons during January to July this year, as compared with 7.890 million tons during the same period last year. The Chinese apparent usage increased sharply by 6% during this period. The European region too reported demand rise of nearly 2% during this period. However, the rise in usage was offset by decreases in Taiwan and the United States.

Interestingly, Chinese net imports of zinc contained in concentrates plunged 34.5% during Jan-Jul ’16 in comparison with the corresponding period in 2015. The Chinese net imports of refined zinc metal totaled 479,000 tons. The net imports of refined zinc metal skyrocketed by 96% to 296,000 tons.

The ILZSG preliminary data indicates that global zinc mine output totaled 1.076 million tons during the month of July alone. The global refined zinc metal production totaled 1.113 million tonnes, whereas global zinc demand totaled 1.118 million tons during the month.

Lead

The ILZSG preliminary data indicates that global refined lead market was in surplus of 43,000 tons during the initial seven months of 2016. The total reported lead inventories increased by 54,000 tons during the same period.

The lead mine production reported decline in countries such as Australia, India and the United States. The overall global lead mine production dropped by nearly 5.6% during Jan-Jul ’16 when compared with the corresponding seven-month period in 2015. The world lead mine output during the seven-month period this year totaled 2.628 million tons as against 2.785 million tons during the same period in 2015.

The refined lead metal production during the seven-month period totaled 6.213 million tons, marginally higher by 0.7% when compared with the 6.169 million tons output during corresponding seven-month period in 2015. The refined lead metal production declined sharply in China. On the other hand, Canada, Kazakhstan and the Republic of Korea recorded increased lead metal output.

The global demand for refined lead metal witnessed decline of 0.63% to 6.170 million tons during January to July this year. The European apparent usage increased sharply by 9.4%. Chinese apparent usage dropped by 6.4%. The refined metal demand increased in Germany, Poland and the UK, whereas it remained flat in the US.

The ILZSG preliminary data indicates that global lead mine output totaled 410,400 tons during the month of July alone. The global refined zinc metal production totaled 898,700 tons, whereas global zinc usage totaled 876,500 tons during the month.

About ILZSG

ILZSG, formed in 1959 by the UN, is one of the longest established international commodity organizations. It provides opportunities for regular intergovernmental consultations on international trade in lead and zinc, continuous information on the supply and demand position of lead and zinc and its probable development and to make special studies of the world situation and consider possible solutions to any problems or difficulties which are unlikely to be resolved in the ordinary development of world trade.