Japan Smelters Hike the Price of Anticorrosive Zinc Alloy

Japanese major smelters are raising their selling prices of anticorrosive zinc alloy ingot which is used mainly for secondary cooling tanks of vessels. The smelters raised the price by 120-150 yen per kilogram in May-June after the price hike by 50 yen per kg in March due to the increase of zinc ingot price. Some smelters seek the third price hike by around 50 yen per kg, while it became uncertain whether the smelters carry out the hike when overseas zinc market entered the adjustment phase.Anticorrosive zinc is the alloy of electrolytic zinc and high electric conduction material, which can avoid corrosion in electrolyte by electric potential difference between iron and zinc alloy. The alloy is used mainly in marine fields such for secondary cooling tank, outside plank and heat exchanger of ships.Anticorrosive zinc price was fixed so far when zinc ingot price stayed at 170-200 yen per kg. However, overseas zinc market increased sharply under short supply of zinc ore and Japanese smelters, including Mitsui Mining & Smelting and Zinc Excel Corporation, raised their selling prices by average 50 yen per kg in March. The smelters announced the second hike by 120-150 yen per kg in May due to the continuous increase of overseas zinc price.