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📦 Unwrought zinc

Unwrought zinc

HS Code:

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Overview

Unwrought zinc, classified under HS Code 7901, refers to zinc that has not been shaped or processed into specific forms. This category includes zinc in ingots, slabs, or other primary forms, primarily used as a raw material in industries such as galvanizing, alloy production, and manufacturing of zinc-based products. It is a critical commodity in the global metals market, with demand driven by construction, automotive, and infrastructure sectors due to its corrosion-resistant properties.

Total Trade Volume

USD 10.2 billion

Data from 2022

Source

United Nations Comtrade Database

Tariff Analysis

Average Rate

5.2% ad valorem

Highest Rate

12% (applied by certain developing countries)

Lowest Rate

0% (under free trade agreements like EU-Canada CETA)

Common Restrictions

  • Import quotas in specific markets to protect domestic industries
  • Anti-dumping duties imposed by countries like the United States on certain exporters
  • Environmental regulations requiring certification of sustainable mining practices

Market Trends

Rising demand for galvanized steel

Increased consumption of unwrought zinc in construction and automotive sectors, driving trade volumes upward by 8% annually since 2020

2022

Shift towards sustainable mining

Growing preference for zinc sourced from environmentally certified mines, influencing trade patterns towards countries with stricter regulations

2021-2023

Fluctuating commodity prices

Price volatility in zinc markets due to geopolitical tensions and supply chain disruptions, affecting export revenues for major producers

2022

Recent Developments

EU Imposes New Tariffs on Zinc Imports

The European Union introduced provisional anti-dumping duties on unwrought zinc from specific countries to protect domestic producers, ranging from 5% to 10%.

March 2023

Expected to redirect trade flows towards non-affected exporters like Canada and Australia, potentially increasing their market share in the EU.

Major Zinc Mine Closure in India

A significant zinc mine in India faced temporary closure due to environmental compliance issues, reducing export capacity.

June 2023

Short-term supply shortages anticipated, likely increasing prices and benefiting other exporters like Peru and South Korea.

US-China Trade Agreement Update

Recent negotiations between the US and China included discussions on reducing tariffs on base metals, including unwrought zinc.

September 2023

Potential easing of trade barriers could boost Chinese zinc imports to the US, altering current trade dynamics.