Group 1 - The core viewpoint indicates that zinc prices have started to decline due to the gradual recovery of zinc mine supply, with main contracts falling to 22,000-23,000 yuan/ton, and are expected to stabilize in a weak oscillation pattern within the range of 22,300-23,500 yuan/ton in the short term [1] Group 2 - Zinc mine supply is gradually recovering, with major projects like Antamina, Kipushi, and Tara resuming production. Compared to 2024, zinc mine supply is improving on a month-on-month basis [2] - Domestic zinc smelting profits have improved significantly, with processing fees rising from 1,800 yuan/ton to 3,500 yuan/ton, leading to a shift from losses of 100-200 yuan per ton to profits of 700-800 yuan per ton [2] - Two major domestic zinc smelting projects, Yunnan Copper relocation and Wanyang Zinc Smelting, began production in May, with plans to achieve stable output by June, indicating a potential high output level in the third quarter [3] Group 3 - The export policy remains unclear, with approximately 7% of zinc consumption used for exports of primary products and another 4% through industrial finished products. In April, domestic zinc consumption saw a year-on-year increase of 12%, but in May, many downstream companies reported a wait-and-see attitude from overseas clients [4] - High inventory levels among downstream enterprises after two rounds of concentrated restocking may suppress future consumption, despite the clear upward trend in supply growth and improved profitability in the smelting sector [4]