GLOBAL ZINC & LEAD WRAP: China zinc premium declines; lead premium in India also drops

Chinese zinc premiums declined this week due to a closed import window while premiums elsewhere were broadly steady.

Meanwhile, lead premiums in India softened, which reflects buyers bidding below the previous range. 
  • Both markets busy with annual contract negotiations
  • Closed import window forces Chinese zinc premiums lower
  • Lead premium in China tumbles after buyers lower bids
China zinc premium declines; annual contract negotiations continue in Europe
In China, zinc premiums fell slightly this week, which is reflected in a closed arbitrage window - losses incurred on imports into China widened to around $70 per tonne on November 20.
In-warehouse and cif Shanghai premiums stood at $150-160 per tonne and $140-150 per tonne respectively, both down $5 per tonne from last week.

European premiums for spot zinc ingots in Rotterdam and Antwerp remain in tight ranges of $135-140 per tonne, capped at the low end by the backwardated forward curve on...


Echo Ma

Millicent Dent

Archie Hunter

Vivian Teo

November 22, 2017

11:21 GMT

London, New York, Singapore, Shanghai