In 2018, Korea’s zinc exports turned out to have highly improved on positive effects of domestic demand contraction, the boosted consumption overseas on the contrary and increased output alike. Under the Korea International Trade Association, Korea’s 2018 export of zinc improved 10.4 percent totaling 589,665 metric tons. Korea’s zinc export soared largely in 2016 assisted by the bullish production, but weakened in 2017 owing to the risen demand at the domestic market. Last year, the unstable condition of supply and demand forced the industry to send to overseas.
Meanwhile, the domestic zinc producers made efforts to increase production to respond to the tighter supply in 2017 when the LME value remained bullish, but entering into 2018, the concern about the supply and demand imbalance abroad allowed further access for the Korean export.
In particular, the major zinc suppliers in India and Australia used chances to increase production but others got burdened with the falling trends of the LME zinc price. The Korean zinc producers used difference in the supply conditions from region to region, aggressively launching the markets where occurred the supply shortage.
In 2018, the export of pure zinc, 4N(more than 99.99% purity) grade, amounted to 346,580 metric tons, gaining a 12.3 percent year on year, contributing to the overall boost of zinc exports.
The quantities lower than 99.99% purity, 3N grade, totaled 96,983 metric tons, up 9.1 percent. In 2016, Korea’s zinc export recorded a high of 572,824 metric tons, but this record was broken through by the 2018 figure. By destination, improvement was seen in China, Thailand and India while all others declined slightly.
Total shipment to India soared 149.8 percent last year to 137,266 metric tons, marking as the first largest export destination for the Korean zinc products. Export to India had ranked the second place in 2017 with the over 120,000 tons shipment.
Export to other markets like Taiwan, Vietnam, Saudi Arabia and Hong Kong showed decreases by 16.2 percent, 7.4 percent, 19.8 percent and 11.9 percent respectively a year ago.
Meanwhile, Korea’s zinc imports decreased 4.1 percent last year to 60,913 metric tons, on principally the suspended import from Iran as the US placed the sanctions. Import of zinc from India picked up 7.9 percent on the contrary to 52,442 metric tons, replacing the shortage of import from Iran.
Source: Steel&Metal News |
