US zinc scrap prices trended sideways with slight upward pressure on Thursday as the LME zinc market bounced back over the $3,000/mt mark.
The official LME Zinc three-month contract settled Thursday at $3,025/mt up $35/mt from Aug 5.
The weekly Davis Indexes for zinc galvanizers bottom dross and zinc galvanizers top dross diverged with the former rising by 0.5¢/lb to 99¢/lb delivered US consumer while the latter remained unchanged at $1.02/lb delivered on Thursday.
New zinc diecast also inched up by 0.5¢/lb to 96.5¢/lb delivered as demand continued to strengthen amid anticipation of a brighter H2 2021 outlook from the automotive industry.
In the primary market, the Davis Index special high-grade premium remained unchanged at 8.4¢/lb delivered.
Higher domestic prices and smelter shutdowns due to summer maintenance have kept trades low though export inquiries for zinc scrap continue to strengthen with bids for some types of zinc diecast heard at around 91¢/lb cfr Japan.
According to the latest US Census Bureau data, however, zinc scrap exports have fared well from January-June, more than doubling to 3,199mt from 1,441mt in H1 2020. In June, zinc scrap exports from the US increased by 57pc to 18,622mt from 11,879mt in the same month last year.