ILZSG Points to Surplus World Zinc Market in H1 2022

SEATTLE (Scrap Monster): The latest monthly statistics published by the International Lead and Zinc Study Group (ILZSG) indicates that global refined zinc market ended in marginal surplus by 26kt during the first six months of 2022.

During H1 2022, global zinc mine production recorded modest decline by 1.9% upon comparison with the corresponding period a year before. The zinc mine output witnessed considerable decline in Australia, Brazil, Canada, Greece, Ireland, Peru and Burkina Faso, which were partially balanced by increased output in Bolivia, India, Mexico, Portugal, South Africa and the United States.

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The refined zinc metal production during Jan-June ’22 totalled 6.771 million tonnes, marginally lower by 2.6% when compared with the 6.952 million tonnes a year before. The sharp rise in electricity prices has negatively impacted production at several European smelters, which resulted in lower production by the region. The production witnessed decline in China, Brazil, Canada, Kazakhstan and Mexico.

The modest fall of 3.0% in global usage of refined zinc metal was mainly on account of reduced usage in countries such as Brazil, China, France, Germany, Japan, Thailand and Ukraine. The decline in these countries was partially offset by rises the Republic of Korea, Taiwan and the U.S., ILZSG report said.

The monthly global zinc mine output totalled 1.096 million tonnes in June this year. The refined zinc metal production totalled 1.132 million tonnes, whereas the usage totalled 1.133 million tonnes during the month.