Commodity market report
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26 Pages

Global zinc short-term outlook April 2017

Global zinc short-term outlook April 2017

Report summary

Treatment charges for this year's largest Asian and European annual contracts have been agreed. The 2017 terms represent a historically low value share of the paid zinc base price.

Teck has reduced its production guidance for the Red Dog mine in Alaska. The company now projects that output will be some 70kt lower than previously forecast. Meanwhile, China Minmetals plans to shut Zhuzhou, the world's fourth largest smelter and the smaller Shuikoushan smelter. It is to only partially replace the 500kt/a of lost capacity.

The whole of the base metals complex came under pressure this month and, as a consequence, the price of zinc drifted to its lowest level since the beginning of the year. The zinc price ended the month at just over $2600/t, 5% lower than the end of March. With cash to three months spreads once again narrowing, there is near-term upside risk to the price.

What's included?

This report includes 2 file(s)

  • Global zinc short-term outlook April 2017 PDF - 579.48 KB 26 Pages, 14 Tables, 4 Figures
  • Data Tables Zinc STO April.xls XLS - 290.50 KB


As global demand weakens and commodity prices fall, we're seeing a challenging environment in the metals and mining industry. Mining companies are increasingly coming under pressure to reduce operating costs, causing many to shift their strategic planning, delay new investments and look to long-term future growth.

This Zinc Short Term Outlook report provides a detailed breakdown of global supply and demand balances in this market, as well as price forecasts.

Mining companies, investment banks and investors can use this report to understand the future direction of the ferrous and base metals market. It will also help you assess the impact of key industry issues and events on market balances and pricing.

From acquisitions to investments, Wood Mackenzie helps you plan, forecast and benchmark in the metals markets. Our proprietary database and analyst expertise combines robust production, consumption and pricing data with detailed analysis to identify market opportunities.

We give you a holistic view of the ferrous and base metals markets so you have the confidence to make strategic decisions.

  • Executive summary
  • Supply-demand balances
    • Market Developments
      • Price forecasts and global quarterly supply and demand balance
  • Demand
    • Global
    • China
    • Europe
  • Supply
    • Concentrate market
      • Treatment charges $/t of concentrate
    • April mine production news
      • Zinc mine capability, market adjustment and production (kt Zn)
    • Smelter production news
      • Zinc smelter capability, market adjustment and production (kt Zn)
      • Global zinc consumption - (kt Zn)

In this report there are 18 tables or charts, including:

  • Executive summary
    • Zinc key forecasts
  • Supply-demand balances
    • Supply-demand balances: Image 1
    • Price set to become more volatile as exchange stocks fall
    • Supply-demand balances: Table 1
  • Demand
    • European economic recovery gains momentum
    • Galvanized sheet and metallic coated sheet production
    • Key indicators of zinc consumption
  • Supply
    • Supply: Table 1
    • Chinese sources of concentrate imports
    • Concentrate Balances
    • Supply: Table 3
    • Supply: Table 4
    • Supply: Table 5
    • Global zinc mine production (kt Zn)
    • Global zinc smelter production (kt Zn)
    • Zinc stocks, prices and premiums
    • Chinese trade data (kt)
    • Global slab zinc supply/demand balance (kt)
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