GLOBAL ZINC & LEAD WRAP: Northern Europe zinc premium narrows downward; South Asian lead premium tightens

Secondary lead premiums tightened upward in South Asia in the week ended Tuesday August 13 due to tightening material supply, while the zinc premium in Northern Europe narrowed downward on slack demand.

  • Shanghai zinc premium unchanged amid persistent import arbitrage loss, low spot demand.
  • European zinc demand depressed, linked to underperforming automotive sector.
  • US zinc, lead premiums unchanged on scant spot activity.

European zinc premium range narrows on slim trade
Premiums paid for special high grade (SHG) zinc ingots in Europe were down against the week prior, with slack demand for ingots seen in the market.
Fastmarkets assessed the zinc SHG min 99.995% ingot premium, dp fca Antwerp at $90-100 per tonne on Tuesday, narrowing downward by $5 per tonne from $90-105 per tonne in the prior week.
Zinc demand in the region is heavily linked to the fortunes of the automotive industry, which has struggled so far this year.
German auto-parts manufacturer Eisenmannn has filed for insolvency amid expectations of a 5% decline in global vehicle production this year.

Slack demand for spot zinc ingots comes despite zinc futures prices...


Ellie Wang

Archie Hunter

Julian Luk

Violet Li

Rijuta Dey Bera

August 14, 2019

09:05 GMT

New York, London, Shanghai