Having taken into account updated information received from its member countries regarding supply, demand and trade, in addition to releases from the U.S. Defense National Stockpile, (the ILZSG) anticipates there will be a deficit in the Western World refined zinc market of just under 200,000 tonnes in 2005," the London-based group said in a post-meeting announcement Tuesday.

Global demand for refined lead metal is expected to rise 2.5 percent in 2005 to 7.25 million tonnes, again due to demand by China, where usage is expected to rise 8.1 percent. Demand in Europe and the United States has been affected by a shift in battery manufacturing to lower-cost countries in recent years, and 2005 consumption is expected to remain level with last year in both regions, the ILZSG said.

Also discussed were a host of new regulations that could pose problems for the lead and zinc industries, including the current zinc and lead risk assessment processes, the lead-related outcomes of the recent meeting of the United Nations Environment Program Governing Council, and the introduction of an emissions-trading scheme for greenhouse gases in the European Union.
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The ILZSG announced that the group's headquarters and secretariat will move to Lisbon, Portugal, where it will share space with the International Nickel Study Group and the International Copper Study Group.