Zinc, lead stockpiles swell as supply outpaces demand in Jan-Apr'24: ILZSG

The International Lead and Zinc Study Group (ILZSG) unveiled early figures on global lead and zinc supply and demand for the first four months of 2024.

Refined lead supply and usage

ILZSG reported a slight surplus of refined lead metal in the first four months of 2024. Global supply exceeded demand by 7,000 tonnes (t), with stockpiles rising by 134,000 t.

• Mine production ticked up 0.4% due to increases in Kazakhstan, Peru, and Sweden, offset by declines elsewhere. Refined lead output, however, dipped 0.1%, primarily due to a decrease in China. This was balanced by rises in Bulgaria, Italy, Japan, and South Korea.
  
  
• Lead use dipped globally by 2% in the first four months of 2024. This decline was driven by several countries, including Europe, Thailand, Turkey, and the United States. However, there were some bright spots. Japan, South Korea, and Mexico all saw an increase in lead consumption compared to the same period last year.
  
  
• Additionally, China's imports of lead concentrate fell by 18% to 179,000 t, and their net exports of refined lead metal also decreased by 38,000 t settling at 12,000 t.
  
  

Refined zinc supply and usage

Similarly, ILZSG shared early data showing a zinc surplus in the first four months of 2024. Global stockpiles grew by 152,000 t while refined zinc supply exceeded demand by 182,000 t.

• Mine production dipped 3.2% due to mine closures and lower output in some countries. However, production increases in Brazil, Kazakhstan, and the United States helped offset this decline. Refined metal production saw a small rise of 0.1% driven by production increases in China, Canada, and some European countries, although this was balanced by decreases elsewhere.
  
  
• Globally, zinc usage rose 2.5%, with major consumers like China and India leading the increase. This growth was partially countered by reduced usage in the United States and some European nations.
  
  
• China, a major zinc consumer, reduced their imports of raw zinc concentrate by 24%, bringing the total down to 564,000 t. Interestingly, their net imports of refined zinc metal actually increased by 107,000 t compared to the same period last year, reaching a total of 139,000 t.