SHANGHAI, Feb. 7 (SMM) – Spot tin prices dropped further on Monday in Shanghai, with the low end sliding to RMB 179,000/mt, as supply increased after Jiangxi suppliers entered the market while demand stayed weak. Nanshan, Jinlong, Feidie and Yunxiang branded tin traded between RMB 179,000-181,000/mt while Yunxi and Yunheng branded tin traded between RMB 181,500-183,500/mt.
In a most recent SMM survey on this week’s tin price, 64% respondents expect losses as supply is becoming sufficient while demand stays weak. While tin showed more stability than other base metals in LME, Chinese tin prices still dropped during recent trading days. Further more, as smelters increase their supply following the Lantern Festival, tin prices will see quicker losses.
Remaining 36% respondents expect tin price to be stable this week since more downstream businesses will resume operation following Lantern Festival and most domestic smelters have been limiting output and supply in support of tin prices.