SHANGHAI, May 18 (SMM) – Tin concentrate processing charges are set to see limited downward room in the short term despite tight supply as cost pressure at smelters continued to mount.
Smelters are likely to be at a loss if the processing fees for 40% Sn concentrate dip to 15,000 yuan/mt, SMM believes. Processing fees for such material currently stood at 16,000 yuan/mt in Yunnan province, according to SMM assessments.
The processing charges for concentrate of 60% stood at 12,000 yuan/mt in Yunnan and 12,500-13,000 yuan/mt in other regions.
In Gejiu of Yunnan province, supply tightness of imported high-grade tin ore saw no improvement during the week. Local smelters said they have mostly used concentrate with 20-30% Sn recently.
Due to higher raw material costs, tin ingot offers by major Yunnan smelters kept firm this week with Yunnan Tin offering at 145,500 yuan/mt, and Yunnan Chengfeng at 145,000 yuan/mt.
For editorial queries, please contact Daisy Tseng at firstname.lastname@example.org
For more information on how to access our research reports, please email email@example.com