Tin Prices Falling by More than 26% in H1 2022, The Market Shall Focus on the Changes in the Growth Rate of Photovoltaic

SHANGHAI, Jun 28 (SMM) -

Futures market

In 2022, tin prices rose and then fell. Affected by the Russia-Ukraine conflicts, SHFE tin hit a record high of 395,000 yuan/mt on March 8, and then gradually fell. As of 13:34 on June 28, SHFE tin has fell by 26.73%.

Spot market

The average spot price of SMM1# tin hit a record high of 368,500 yuan/mt on March 9, 2022 since SMM statistics, and fell sharply in May. At the same time, many smelters stopped production and carried out maintenance. As of June 28, SHFE tin fell by 26.84%.

In terms of inventory, SHFE tin inventory fluctuated sharply, while the LME tin inventory remained stable. As of June 28, SHFE tin inventory reached an annual high of 4,022 nt on June 17. On June 27, the LME tin inventory reached an annual high of 3,435 mt.

According to SMM analysis, although a number of smelters jointly reduced production in 2022, there was still a growth of about 4.77% on the year, and the supply side will still face considerable pressure. On the demand side, the growth rate of photovoltaic development will still be the main focus. Considering that overseas market will invest a large amount of fund in new energy infrastructure, the market shall follow up on the growth rate of domestic photovoltaic installations. Even given the high domestic consumption growth rate, tin supply will still remain in surplus.