Facts ‘n’ figures: Global lead, zinc production soars in first 11 months of 2017

The following is an edited release by the International Lead and Zinc Study Group (ILZSG) of preliminary data for world lead and zinc supply and demand during the first 11 months of 2017. Full details are available in the January 2018 edition of the group’s 77-page “Lead and Zinc Statistics” Bulletin, available at www.ilzsg.org.

Lead market

According to preliminary data recently compiled by the ILZSG, world refined lead metal demand exceeded supply by 169,000 tonnes during the first 11 months of 2017. Over the same period total reported stock levels decreased 33,000 tonnes.

Global lead mine production rose 3% over the first 11 months of 2017, compared to the same period in 2016. This was mainly due to increases in China, India and Kazakhstan that more than offset a significant fall in Australia and reductions in Sweden and the United States.

A 3.1% increase in world refined lead metal output was mainly influenced by higher output in China and India that more than balanced an 8.6% decrease in the United States.

Growth of 4.9% in global refined lead metal usage principally came from rises in China, South Korea and the United States. Apparent demand increased 3.5% in Europe, influenced by increases in Germany and the United Kingdom.

China’s imports of lead contained in lead concentrates fell 7.7% to 643,000 tonnes. Chinese net imports of refined lead metal totalled 77,000 tonnes compared to net exports of 11,000 tonnes during the first 11 months of 2016.

Zinc market

Zinc bars produced by Boliden. Credit: Boliden.

Provisional data reported to the ILZSG indicate that the global market for refined zinc metal was in a 485,000-tonne deficit over the first 11 months of 2017, with total reported inventories decreasing 320,000 tonnes over the same period.

Higher zinc mine production in Canada, Eritrea, India, Namibia and Peru influenced a 4.8% increase in global output, more than offsetting reductions in Australia, Ireland and Sweden.

Overall global output of refined zinc metal decreased a marginal 0.3%, despite a sharp rise in India.

This was mostly due to lower production in Canada, China, South Korea, Peru and Thailand.

World usage of refined zinc metal rose 1.9%, mainly driven by an increase in apparent demand in China of 2.1%. In Europe and the U.S., usage stayed at a similar level to that in the same period of 2016.

Imports into China of zinc contained in zinc concentrates increased 27% to 935,000 tonnes over the first 11 months of 2017. Chinese net imports of refined zinc metal rose 47.1% to total 562,000 tonnes, of which 123,000 tonnes was imported in November.