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Downstream Consumption Falls Short of Expectations, Premiums Decline [SMM Tianjin Zinc Spot Weekly Review]

  • Feb 14, 2025, at 1:56 pm
[Downstream Consumption Falls Short of Expectations, Premiums Decline]: This week, spot premiums in Tianjin dropped continuously, down 60 yuan/mt WoW from the weekly average price. As of this Friday, domestic common brands were quoted at a discount of 30 to a premium of 40 yuan/mt against the 2503 contract...
SMM, February 14: This week, spot premiums in the Tianjin region declined steadily, down 60 yuan/mt WoW based on the weekly average price. As of this Friday, domestic common brands were quoted at a discount of 30 yuan/mt to a premium of 40 yuan/mt against the 2503 contract, while high-end brands were quoted at a premium of 40-50 yuan/mt against the 2503 contract. The Tianjin market was quoted at a discount of around 20 yuan/mt against the Shanghai market. Zinc prices fluctuated this week, initially declining and then rebounding. Downstream enterprises gradually resumed production, primarily consuming inventory and fulfilling long-term contracts, with limited restocking for immediate needs. Coupled with weak ferrous metals prices, downstream galvanizing plants saw average sales, with operating rates falling short of expectations. Overall market demand remained moderate, with most transactions occurring between traders. To facilitate sales, traders continuously lowered premiums. Spot premiums are expected to remain stable next week.
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