Global zinc mine production falls over 3%, lead remains firm in H1CY'24: ILZSG

The International Lead and Zinc Study Group (ILZSG) unveiled preliminary figures on global lead and zinc supply and demand for the first half of 2024 (H1CY'24).

Refined zinc supply, usage

Similarly, ILZSG shared early data showing a zinc surplus in H1CY'24. Global stockpiles grew by 172,000 tonnes (t) while refined zinc supply exceeded demand by 282,000 t.

• Mine production dipped 3.4% because of reduced output in Canada, China, South Africa, and Peru, with the Antamina mine in Peru experiencing a significant decline in H1CY'24 . Additionally, production was lower in Ireland and Portugal due to the suspension of mining activities at the Tara and Aljustrel mines, respectively, in H2CY'23.
  
  
• Global refined zinc production fell 0.1% due to lower output in Mexico, the Netherlands, Norway, and Peru, but was offset by increases in Canada, China, France, Japan, and Germany.
  
  
• Globally, zinc usage rose 3.4%, with major consumers like China, Brazil, Republic of Korea, Taiwan, Thailand, Vietnam and India leading the increase. This growth was partially countered by reduced usage in the US and some European nations.
  
  
• China, a major zinc consumer, reduced their imports of raw zinc concentrate by 24.6%, bringing the total down to 819,000 t. Interestingly, their net imports of refined zinc metal actually increased by 122,000 t compared to the same period last year, reaching a total of 216,000 t.
  
  

Refined lead supply, usage

ILZSG reported global supply of world refined lead metal in H1CY'24. The global supply exceeded demand by 15,000 t, leading to total reported inventories rising by 93,000 t in the H1CY'24.

• Global lead mine production inched up by 0.6% due to increases in Australia, Kazakhstan, Peru, and Sweden, which were partially offset by decreases in Ireland, Portugal, and the US.
  
  
• Global refined lead production fell by 0.8%, primarily due to decreased output in China and Canada, where scheduled maintenance at Teck Resources Trail operations in the second quarter (Q2) impacted production.

  Conversely, production rose in Australia, India, Japan, and the Republic of Korea compared to H1CY'23. In Europe, production was stable overall, as increases in Bulgaria and Italy were offset by declines in Germany, Poland, and Sweden.
  
  

• Despite increases in refined lead metal consumption in China, India, Japan, and the Republic of Korea, the overall global usage decreased by 1.7%. This decline was driven by larger reductions in consumption across Europe and the US, which outweighed the gains in other regions.
  
  
• Additionally, China's imports of lead concentrate fell by 10% to 285,000 t, and their net exports of refined lead metal also decreased by 57,000 t settling at 14,000 t.