Global Tin Output Rose in 2021 on Rebounding Demand

SHANGHAI, Feb 22 - Global tin ore output stood at 300,000 mt in 2021, up 14% from 264,000 mt in 2020. This is according to preliminary data released by the US Geological Survey (USGS), which also said that it expects the annual average LME refined tin spot price to be 1,500 cents per pound in 2021, a significant uplift of 93% from 2020.

USGS added that transportation bottlenecks, the re-imposition of COVID-induced lockdown, and supply constraints due to rising demand for electronics and consumer goods are the main reasons for the nearly doubled refined tin prices in 2021.

The chart below illustrates the global tin ore output. (source: USGS; unit: mt)

The report said that global output could hardly meet the rebounding consumer demand in 2021.

USGS commented that "Outbreak-related measures, including work stoppages and border restrictions, affected refined tin production in Myanmar, Indonesia, Malaysia and Rwanda. Smelters in China and Malaysia were temporarily closed for maintenance and annual repairs."

In addition, container shortages and bottlenecks concerning transport terminals exaggerated supply constraints. Globally, tin consumption increased in all sectors including alloys, chemical solders and tinplate in 2021.

China is the largest producer of tin through mining with an output of 91,000 mt, followed by Indonesia whose output stood at 71,000 mt and Peru at 30,000 mt. China and Indonesia account for over 50% of global tin output.

The chart below illustrates the global output of tin through mining by country. (source: USGS; unit: mt)

USGS also pointed out that global tin resources are mainly located in West Africa, South East Asia, Australia, Bolivia, Brazil, Indonesia and Russia with significant reserves that, if developed, could sustain the production with the current level for a long time to come.