World Zinc, Lead and Tin Markets Recorded Moderate Deficits

SPOKANE (Scrap Monster): The World Bureau of Metal Statistics (WBMS) has released the latest edition of the Metals Balances Report which analyzes the market during the initial eight-month period of the current year. The report suggests that world Zinc market deficit widened further during this period. Also, global Lead and Tin markets ended in deficits during Jan-Aug ‘17.

Zinc

According to WBMS, the global refined zinc market was in deficit during the initial eight-month period of 2017.

The preliminary data compiled by WBMS indicates that global zinc market ended in a deficit of nearly 455,000 tonnes during January to August this year. The market deficit has widened further when compared with 347,000 tonnes during the period ended July this year. Going by the current trends, the world zinc market is estimated to post a full-year deficit of around 683,000 tonnes, said analysts. The total reported zinc inventories have declined by 33,000 tonnes during the month of August 2017. The LME stocks declined further by 21,000 tonnes in August and ended the month 184,000 tonnes lower when matched with the levels at the end of the previous year, WBMS noted.

During the initial eight-month period of the year, global zinc refined production rose marginally by 0.5%. The consumption surged higher by 3.0% when compared with the corresponding period in 2016. The global zinc metal demand stood higher by 272,000 tonnes when matched with the demand during January to August in 2016. The Chinese apparent demand totaled 4.341 million tonnes, accounting for just over 46% of the global demand.

The August ’17 zinc slab production totaled 1.119 million tonnes, whereas the consumption totaled 1.167 million tonnes.

Lead

As per WBMS preliminary data, global refined lead market was in deficit by 332,000 tonnes during the first eight months of 2017. This follows a deficit of 142,000 tonnes during the entire year 2016. The total reported stock at the end of August 2017 was 48,000 tonnes lower when compared with the stocks at the end of the previous year.

The refined lead metal production during the initial eight-month period of 2017, inclusive of production from primary and secondary sources, totaled 7.707 million tonnes, modestly higher by 8.7% when compared with the production during the corresponding period last year. The global demand edged higher by 870,000 tonnes. The Chinese apparent demand totaled 3.397 million tonnes, accounting for 42% of the global demand. The demand stood higher by 604,000 when matched with the comparable period in 2016. The US apparent demand surged higher by 237,000 tonnes during Jan-Aug ’17.

The WBMS preliminary data indicates that global refined lead metal production totaled 937,500 tonnes, whereas global lead demand totaled 956,000 tonnes in August 2017.

Tin

The worldwide Tin market has recorded a marginal deficit during January to August this year. As per data, the global Tin market recorded slight deficit of 9.2 kt.

Global refined Tin production edged higher by 16.8 kt during the opening eight-month period of the year. The Asian production increased by 17.7 kt during Jan-Aug ’17, when matched with the production during the corresponding period last year.

The global demand for the metal has increased marginally by 0.50% when matched with January to August in 2016. The demand totaled 253.4 kt during this period. The Chinese apparent demand declined by 3.4% over the previous year. The Japanese consumption totaled 19.6 kt, significantly higher by 11% when compared with the demand recorded during January to August in 2016.

The total reported stock of the metal jumped higher by 1.9 kt in August this year. The stock at the end of the first eight months in 2017 was higher by 7.3 kt upon comparison with the December 2016 closing levels.

During the month of August alone, the global refined Tin production totaled 28.2 kt, as against the demand of 28.9 kt.