SMM News on August 8:
This week, the operating rate of zinc oxide enterprises was recorded at 55.68%, down 0.45% WoW. On the raw material side, affected by the current off-season in end-use demand and the difficulty in purchasing some raw materials at higher prices, enterprises mostly made just-in-time procurement of raw materials. Inventory levels remained largely unchanged from last week, with no significant changes observed. In terms of finished product inventories, due to price influences, some zinc oxide enterprises experienced a slight inventory buildup of finished products, with finished product inventories showing an increase. Regarding terminal orders, there was no significant change in demand for rubber-grade zinc oxide, and some tyre factories were still in maintenance. Ceramic-grade zinc oxide demand was in the doldrums, and enterprises that had previously performed well in orders also reported a weakening in current order demand. Orders in other sectors, except for electronic-grade zinc oxide, which was still supported by the power grid, remained relatively average. The characteristics of the current consumption off-season were still relatively evident, and it is expected that the operating rate of zinc oxide will hover around 55.53% next week.
