In the first half of this year, the export of zinc raw materials in South Korea has dropped sharply, and imports have increased slightly
In the first half of 2017, the export of zinc raw materials in South Korea dropped sharply year by year, and imports increased slightly year by year. According to the Korea Trade Association import and export statistics show that in the first half of 2017, the export of zinc raw materials in South Korea 274 thousand tons, down 6.1%.
In 2016 the company of South Korea lead zinc smelting enterprises yield increased, while increasing exports. Since some parts of India and other parts of the country's zinc production is not smooth, so the country's exports to India hit a record high, only the first half of last year, exports reached 95 thousand tons. But in the first half of this year, as domestic market sales increased and India production leveled off, exports fell.
South Korea's domestic zinc production fell slightly year on year, and exports are expected to decline this year. From the first half of the export situation, India, Saudi Arabia and other countries and regions export volume fell year on year. India's export volume of about 57 thousand tons, down 40.4% year on year, the largest decline. Despite the drop in exports to India and a sharp increase in exports to China, the global supply of zinc will continue to increase and there will be no signs of increased exports.
In addition, the first half of 2017, South Korea's imports of zinc 31963 tons, an increase of 2.5%. From the beginning of the second half of 2016, due to fears of a shortage of supply, procurement department of South Korea put the amount of cash demand increased, imports increased significantly. It is worth mentioning that, taking into account the burden of LME zinc prices and premium, zinc processing enterprises in order to replace 4N zinc (purity of more than 99.99%), the production of 3N zinc (purity less than 99.99%) of Iran consumption increased significantly.
From the country of origin of imports, South Korea imported 24 thousand tons from India, a decrease of 6.6%, but the largest proportion. Followed by 6 thousand and 500 tons in Iran, an increase of 559.9% over the same period, if the import procedures and the surrounding environment did not change much, is expected to maintain this situation. On the other hand, most of the import and export of zinc raw materials in Korea are signed in a long-term agreement. Therefore, it is expected that the existing situation will be maintained in the second half.