Chinese Zinc Traders Eye Exports as Shanghai Futures Hit $400-a-Ton Discount
Updated
Updated · Bloomberg · Jun 24
Chinese Zinc Traders Eye Exports as Shanghai Futures Hit $400-a-Ton Discount
2 articles · Updated · Bloomberg · Jun 24
Summary
$400 a ton — the gap between Shanghai zinc futures and international prices — has reached its widest since 2022, prompting Chinese traders to watch for an export opening.
Chinese producers want overseas sales to help clear a domestic zinc glut, with current pricing already sufficient for spot cargoes to Southeast Asian fabricators.
Another roughly $100 a ton of widening is still needed before shipments into London Metal Exchange warehouses become profitable, according to Jinrui Futures analyst Zeng Tong.