1. Report Industry Investment Rating No relevant content provided. 2. Core View of the Report - Terminal demand has slightly improved, but there was no significant increase in market purchases after the zinc price weakened last week. The fundamental situation remains one of strong supply and weak demand. However, the macro - level risk - aversion sentiment has eased, and with the continuous reduction of LME zinc inventories and the existence of overseas structural risks, Shanghai zinc has stabilized. It is expected to maintain a range - bound consolidation in the short term, with the operating range referring to 21,500 - 22,500 yuan/ton. Continued attention should be paid to changes in macro - sentiment and the opening of the ingot export window [3]. 3. Summary by Relevant Catalogs 3.1 Market Review - SMM1 zinc ingot average price dropped 2.02% to 21,780 yuan/ton, Shanghai zinc main contract closing price fell 2.04% to 21,815 yuan/ton, and LME zinc closing price (electronic trading) declined 1.41% to 2,942.5 dollars/ton [13]. 3.2 Raw Material End - As of October 17, the inventory of imported zinc ore in Lianyungang was 140,000 tons, unchanged from the previous period. The total inventory of 7 ports was 380,600 tons, an increase of 41,300 tons. The CZSPT set the guidance price range for the purchase of imported zinc concentrate in Q4 2025 at 120 - 140 dollars/dry ton [25]. - As of October 16, the production profit of zinc concentrate enterprises was 3,980 yuan/metal ton. In August, the import volume of zinc concentrate was 467,300 tons, a 6.81% month - on - month decrease and a 30.60% year - on - year increase. From January to August, the cumulative import volume was 3.5027 million tons, a 43.06% cumulative year - on - year increase [31]. - Domestic TC decreased slightly, while imported TC continued to rise. On October 17, 2025, domestic TC was 3,400 yuan/metal ton, and the imported TC index was 118.75 dollars/dry ton [35]. 3.3 Supply End - The production profit of refined zinc enterprises has declined but remains considerable. As of October 16, the production profit was - 630 yuan/ton. In September, the domestic refined zinc output was about 600,000 tons [41]. - The import profit window is closed. As of October 17, the import profit of refined zinc was - 4,529.70 yuan/ton. From January to August 2025, the cumulative import volume of refined zinc was 235,500 tons, a decrease of 31,500 tons year - on - year [44]. 3.4 Demand End 3.4.1 Galvanizing - The galvanizing enterprise's operating rate increased by 11.22 percentage points to 58.05%. The raw material inventory and finished product inventory of galvanizing enterprises decreased [52][55]. 3.4.2 Die - Casting Zinc Alloy - The prices of Zamak3 and Zamak5 zinc alloys decreased by 1.96% and 1.92% respectively. The operating rate increased by 8.12 percentage points to 54.63%. The raw material inventory increased, and the finished product inventory decreased [64][67][71]. 3.4.3 Zinc Oxide - The average price of zinc oxide (≥99.7%) decreased by 0.47% to 21,000 yuan/ton. The operating rate increased by 1.05 percentage points to 57.13%. Both the raw material inventory and the finished product inventory decreased slightly [77][80][83]. 3.5 Inventory - As of October 16, the SMM zinc ingot three - place inventory was 153,100 tons, showing an increase. The SMM zinc ingot bonded area inventory was 8,000 tons, unchanged from the previous period [91]. - As of October 17, the SHFE inventory was 109,600 tons, showing an increase, and the LME inventory was 38,000 tons, showing a continuous decline [94]. 3.6 Monthly Supply - Demand Balance Sheet - From August 2025, the monthly supply - demand balance showed a surplus, with 51,000 tons in August, 28,000 tons in July, and 23,900 tons in June [100].