In March, Domestic Zinc Concentrate TCs Continued to Rise, with the Nationwide Average Price Increasing to Over 3,000 Yuan/mt (Metal Content) [SMM Zinc Concentrates Weekly Review]

SMM, February 28: Domestic zinc concentrate TCs are expected to continue rising in March. The monthly average domestic zinc concentrate TC tracked by SMM increased by 700 yuan/mt (metal content) MoM to 3,100 yuan/mt (metal content), while the monthly average TC for imported Zn50 concentrates rose by $10/dmt MoM to $35/dmt. On a weekly basis, the weekly average domestic TC for Zn50 concentrates increased by 300 yuan/mt (metal content) WoW to 3,050 yuan/mt (metal content), while the weekly average TC for imported Zn50 concentrates remained flat at $20/dmt. In the spot market, this week coincided with the peak period for March zinc concentrate TC negotiations. In some domestic regions, TC pricing has already been finalized. However, traders in the imported ore market remain cautious, showing low willingness to sell at lower prices. Smelters continue to prioritize domestic ore for raw material procurement, with limited offers and transactions for imported ore during the week. As previously suspended zinc mines gradually resume production, domestic zinc concentrate production has been increasing MoM. Currently, smelters have not significantly ramped up production, and zinc concentrate supply remains ample. To maintain profitability, smelters continue to raise domestic zinc concentrate TCs. Additionally, a zinc mine in south China recently set its March tender price at 3,300 yuan/mt (metal content), a significant increase from February. Delivery-to-factory prices for zinc concentrate TCs in many domestic regions are expected to exceed 3,000 yuan/mt (metal content) in March. Further attention is needed on the progress of domestic smelter production resumption. According to foreign media reports on February 25, a large-scale power outage occurred in Chile, disrupting electricity supply from the northern Arica region to the southern Los Lagos region, which may have some impact on mine production. However, Chile has relatively few lead-zinc mines, with limited overall production share. Moreover, Chile's national power system has initiated a recovery plan to restore electricity as soon as possible. The power outage is expected to have minimal impact on global zinc concentrate production. This week, SMM reported total zinc concentrate inventory at China's main ports at 342,600 mt, down 44,400 mt WoW, indicating a decline in port zinc concentrate inventory. 》Subscribe to view historical SMM metal spot prices

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In March, Domestic Zinc Concentrate TCs Continued to Rise, with the Nationwide Average Price Increasing to Over 3,000 Yuan/mt (Metal Content) [SMM Zinc Concentrates Weekly Review]

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