ILZSG reports decline in lead mine supply and oversupply in refined zinc metal

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Zinkerz (Foto: Initiative Zink)

Lisbon, Portugal – According to preliminary data of the International Lead and Zinc Study Group (ILZSG) indicate that world supply of refined lead metal exceeded demand by 22kt during the first ten months of 2015. They also indicate that over the period January to October 2015 the global market for refined zinc metal was in oversupply by 213kt of which 150kt was recorded during the first quarter of the year.

Other figures on lead metal show:

  • During the first ten months of 2015, total reported stock levels fell by 134kt of which 125kt was due to a reduction in inventories held in LME and SHFE warehouses.
  • A 7.1 percent decline in global lead mine supply compared to the first ten months of 2014 was primarily a consequence of reductions in Australia and China that more than balanced increases in India and Peru.
  • World refined lead metal output decreased by 7.2 percent. This was mainly due to a sharp 15.8 percent fall in Chinese output.
  • Similarly a reduction in global demand of 7.4 percent was principally influenced by a significant fall in Chinese apparent usage of 15.6 percent. In Europe, demand decreased by 0.5 percent and in the United States, by 5.4 percent.
  • At 791,000 tonnes, the quantity of lead contained in lead concentrates imported by China over the period January to October 2015 was the same as during the first ten months of 2014.

Further figures on zinc metal indicate:

  • Over the period January to October 2015, the global market for refined zinc metal was in oversupply by 213kt of which 150kt was recorded during the first quarter of the year. Over the same period LME stocks fell by 121kt, Shanghai Futures Exchange Inventories increased by 81kt and stocks reported by producers and consumers rose by 46kt resulting in a net rise in total reported stocks of 6kt.
  • Global zinc mine production rose by 1.4 percent mainly as a result of increases in Australia, India, Peru, the Russian Federation and Sweden.
  • An increase in world refined zinc metal production of 5.2 percent was primarily due to higher output in China, India and the Republic of Korea.
  • Demand for refined zinc metal in China grew by 1.8 percent and in Europe, by 2.2 percent. These rises together with increases in Taiwan (China) and Thailand more than offset decreases in India, Japan, the Republic of Korea, Turkey and the United States resulting in an overall global rise of 1.1 percent.
  • Chinese imports of zinc contained in zinc concentrates amounted to 1.14 million tonnes, an increase of 58 percent compared to the first ten months of 2014. The country’s net imports of refined zinc metal were down 36.2 percent at 285kt.

Full details are available in the December 2015 edition of the Group’s 77 page ‘Lead and Zinc Statistics’ Bulletin. For further information please refer to the ILZSG website

Source: International Lead and Zinc Study Group (ILZSG)