Zinc Hovers Near One-Month High

Zinc futures held above $3,800 per tonne, hovering near a one-month high amid tightening global mine supply and concerns over disruptions at major smelters. Operational incidents at Korea Zinc, Glencore's Kazzinc and YoungPoong's Seopo smelter have raised concerns about potential production losses, although the extent of their impact on refined zinc output remains unclear. Meanwhile, weaker Chinese zinc concentrate imports since April have tightened feedstock supplies, pushing treatment charges to record lows and prompting some smelters to scale back refined zinc production. Supply concerns have also intensified in Western markets, with uncertainty surrounding the future of Nyrstar’s loss-making Budel smelter in the Netherlands adding to concerns on the supply outlook. However, the prospect of a recovery in Chinese mine production and improved concentrate availability could ease supply tightness and limit price gains.