Global Zinc Supply Moving toward Surplus by 2022
The gap between zinc demand and supply is expected to narrow, and the market will move into a surplus in 2022.
Between 2019 and 2022, global zinc supply is expected to grow at a CAGR of 3.8% to 15.7 Mt in 2022, according to a report from GlobalData. Simultaneously, the gap between demand and supply is expected to narrow, and the market will move into a surplus in 2022.
“In 2018, although global zinc supply increased by 1.5% to 13.4 Mt, it was still short by 1.1 Mt of the global demand of 14.5 Mt in that year,” said Vinneth Bajaj, mining analyst at GlobalData. “Increases in demand of 1.6%, 2.2%, 1.7%, and 3.2% from China, Germany, the U.S., and Belgium, respectively, were the major factors behind the increase in the global demand.”
Up to 100 new projects where zinc is either a primary or a secondary commodity being produced will be commencing operations between 2019 and 2022. These projects offset the growth in global output originating from MMG’s Dugald River project, the commissioning of Century Resource’s New Century mine and the Hellyer tailings project in Australia, as well as a few smaller mines commencing operations across the globe.
Additional details are available at www.globaldata.com.