Current Status Of Zinc Alloy Industry

Zinc alloy industry use

At present, the zinc alloy materials produced by our company cover various industries such as auto parts, sanitary products, locks, zippers, accessories, and valves. This is also true when combined with the national situation.

According to MINDWELL's statistics on the production capacity ratio of zinc alloy plants in Jiangsu, Zhejiang, Guangdong and Fujian, Zhejiang has performed better and covers more industries.

 As for smelters, the proportion of zinc alloys produced in Hunan is the highest, accounting for 65% at one time. The second-ranked Henan region accounts for only 11%. The war between smelters and zinc alloy manufacturers There is a competitive relationship between smelters and zinc alloy manufacturers in terms of users, prices, speed and resources.

The operating rate of die-casting zinc alloy enterprises in July was 47.70%, a decrease of 2.17 percentage points from the previous month; the revised value of the operating rate of die-casting zinc alloy enterprises in June was 49.87%, a year-on-year decrease of 0.74 percentage points. According to SMM statistics, the survey included 30 die-casting zinc alloy companies. The samples were mainly distributed in Shanghai, Zhejiang, Jiangsu, Fujian, Guangdong, Sichuan and other places. The sample production capacity was 989,400 tons, of which the idle production capacity was 42,000 tons.

 The operating rate of large-scale die-casting zinc alloy enterprises with an annual capacity of 50,000 tons and above was 45.00%, a decrease of 1.94 percentage points from the previous month; the operating rate of medium-sized enterprises with an annual capacity of 20,000 to 50,000 tons was 43.37%, a decrease of 3.25 percentage points from the previous month; The operating rate of small zinc alloy enterprises with a capacity of fewer than 20,000 tons was 72.9%, a decrease of 1.89 percentage points from the previous month.

2020-2021 zinc alloy price trend and monthly operating rate

The overall monthly operating rate of zinc alloy enterprises in 2021 will not match the same period in 2020. If you look at the reasons by sectors, the die-cast zinc alloy enterprise terminal sector is basically divided into hardware, zippers, sanitary ware, locks, automobiles and motor vehicle parts. Among them, terminal orders for hardware, sanitary ware, and locks shrank slightly in July. The main reason was that terminal demand entered the traditional off-season. However, due to the large rigid demand for hardware, sanitary ware and locks, the degree of order shrinkage was relatively limited; zippers, accessories and electronic sectors The contraction of orders was more significant. On the one hand, because the sector's foreign trade orders accounted for a large proportion, foreign trade orders were significantly reduced under the continued influence of trade friction; on the other hand, because the traditional off-season effect of this part of the order was signed, the output also decreased accordingly.

 In addition, due to factors such as the continued contraction of the automotive industry and the continuous decline in production and sales compared with the same period last year, the order situation of the automobile and motor vehicle parts sector has also significantly deteriorated.

Entering August, the terminal orders of die-casting zinc alloy enterprises are expected to improve. With the impact of high-temperature climate on the production of die-casting zinc alloy enterprises gradually weakening, and the off-season effect is slightly alleviated, the output of die-casting zinc alloy enterprises is expected to be recorded in August. Must be further increased.

 According to the company's production plan, it is expected that the operating rate of die-casting zinc alloy enterprises in August will increase by 0.61 percentage points from the previous month to 48.31%, which is down 2.12 percentage points from the same period last year. The peak season is not prosperous and consumption motivation is insufficient.