Second-Half Production Plans: Copper Steady at 772,000 t, Zinc Up 3.2% to 252,000 t

Eight major non-ferrous metal manufacturers have shared their production plans for the second half of the fiscal year 2023 (October to March). They expect to produce roughly the same amount of electrolytic copper as last year, totaling 772,000 t, with some companies increasing output due to no maintenance.

Additionally, three companies plan to slightly increase zinc production by 3.2% y-o-y, reaching 252,000 t, while four companies anticipate an 8.9% y-o-y increase in lead production to 99,000 t.

For the entire fiscal year 2023, including both halves, the forecast is a 1.7% decrease in electrolytic copper to 1.549 million tonnes, a 1% decrease in zinc to 472,000 t, and a 2.5% increase in lead to 195,000 t.

In the second half of the year, Pan Pacific Copper (PPC), Japan's largest copper manufacturer, is facing regular maintenance at the Saganoseki Smelter and short-term repairs at the Japan-Philippines Joint Smelting and Refining facility in Okayama Prefecture. However, they intend to maintain their production levels at the same level as the previous year.

On the other hand, Mitsubishi Materials is planning a significant production increase. They aim to achieve this by boosting output at their Naoshima Smelter and expanding the operations of the Onahama Smelters in Fukushima Prefecture, which became wholly-owned subsidiaries in April 2023.

Sumitomo Metal Mining will decrease production due to maintenance at its Toyo plant. DOWA Holdings and Furukawa Machine & Metal have ended their smelting and refining contract with Onahama Smelting, leading to reduced production. Nippon Steel Mining plans to maintain the same production level as last year.

Mitsubishi Materials is set to increase its production for the year, while Pan Pacific Copper (PPC) and Nippon Steel Mining will keep their production steady compared to the previous year. Sumitomo Metal Mining, DOWA Holdings, and Furukawa Machine & Metal are expected to reduce their production.

In the second half of the year, Mitsui Kinzoku, the leading zinc company, is set to increase production in response to major maintenance work at Hachinohe Smelting in Aomori Prefecture. On the other hand, DOWA plans to reduce production as part of their efforts to optimize production in light of high electricity costs. Mitsui Kinzoku expects its production to remain at the same level as the previous year, while DOWA and Toho Zinc may see a slight decrease in production.

Regarding lead production in the second half, Toho Zinc, the largest company in this sector, plans a significant production increase due to a substantial furnace shutdown at Toho Kikishima Smelting in Hiroshima Prefecture in the previous year. Mitsui Kinzoku and DOWA also aim to increase their production. Overall, Toho Zinc, Mitsubishi Materials, and DOWA plan to increase their annual production, while Mitsui Kinzoku intends to maintain its production at the same level as the previous year.