SHFE tin fluctuated downward during the night session, and overall trading in the spot market was sluggish [SMM Tin Morning News]

SMM Tin Morning News on June 25, 2025:

Futures Market: The most-traded SHFE tin contract (SN2507) fluctuated downward and then maintained a low-level sideways trend, finally closing near 261,700 yuan/mt, a slight drop of 0.57% from the previous trading day.

Macro: (1) Zhengzhou: By the end of this year, 100 high-growth AI enterprises will be cultivated, with the core AI industry exceeding 35 billion yuan (bullish ★). (2) Guangdong: Accelerate the promotion of trade-in policies for cars, home appliances, mobile phones, and digital products, and expedite the progress of trade-in fund settlement (bullish ★). (3) The General Office of the Ministry of Commerce issued a notice on organizing the 2025 NEV Consumption Season in Thousands of Counties and Towns, with the event scheduled from July to December 2025. All regions should earnestly implement the car trade-in policy, commonly set up dedicated car trade-in zones within the NEV consumption season venues, and organize the launch of more marketable NEV models to better meet the diverse car purchase needs of people in counties and townships (bullish ★).

Fundamentals: (1) Supply-side disruptions: The overall tin ore supply in major producing regions such as Yunnan is tightening. As June progresses, some smelters are considering halting production for maintenance or implementing minor production cuts (bullish ★). (2) Demand side: PV industry: Following the end of the installation rush, orders for PV tin strips in east China have declined, and the operating rates of some producers have dropped. Electronics industry: The electronics end-user market in south China has entered the off-season, coupled with high tin prices, resulting in strong wait-and-see sentiment among end-users, with orders only meeting immediate needs. Other sectors: Demand for tinplate, chemicals, etc., remains stable, with no unexpected growth observed.

Spot Market: Trading in the spot market remains sluggish, with most downstream enterprises showing low purchasing sentiment. Additionally, as the traditional solder industry enters the consumption off-season, overall order volumes are weak. Most traders reported single-digit transactions yesterday, with a few traders reporting transactions of around one truckload.