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Lead in 2014 threatens to be a scarce raw materials

As the data provided ILZSG group at the end of 2013, the lead remains in deficit. Release of lead by the end of autumn 2013 was about 8.885 million tons, while consumption — 8.94 million tons. Enough difficult situation at year-end was formed to lead the market from North American companies, a little better than was the case in Asia in terms of the balance of supply and demand. Compared with 2013 the year award in 2014 and will drop to approximately 250−270 USD to 230 USD. This situation has lead to the market when the demand for raw materials above its production there for the first time since 2009

According to analysts the company «International Lead and Zinc Study Group» in 2014. The demand for lead and its consumption will grow by 4.6 percent, which will amount to approximately 11.51 million tons, while in 2013 the consumption was about 11 million tons, an increase It was 5% as a percentage.

Demand for lead in China in 2014 will increase by approximately 7.4 percent in the United States, on the other hand, in comparison with 2013 year, when the figure jumped to 7.6%, the demand will decrease, respectively, significantly slow down the growth, it will be only 1.5%.

In Europe, the planned increase in demand for lead to 2.3% in 2014, while the figure in 2013 was equal to 1.3%. Analysts also predict an increase in demand and consumption of lead in India, Mexico, Thailand and South Korea, however, promises to «International Lead and Zinc Study Group», in Japan, the demand will decrease.

Production of refined lead in 2014 is expected to increase by 4.2%, respectively, and will be 11,480,000 tons. For comparison, in 2013 the production was increased by 4.7%, which amounted to 11.02 million tons.

China continues to close poorly performing companies, but production of the metal in spite of the fact that in 2014 will increase. Analysts predict the growth of production in Kazakhstan, Peru, Belgium, India, Australia, as well as in Italy, where the newly reopened plant «Glencore Xstrata», Sardinia. In the United States, on the other hand, the release of lead, which increased in 2013, will decline in 2014, to which doubtless influenced by the December closing «Doe Run» plant in Missouri.

Thus, in 2013 there is a slight oversupply of lead on the world market, but in 2014, analysts promise a small deficit of product.

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