SHFE tin price falls below 270,000 mark in night session, with the oscillation range moving down [SMM tin morning news]

SMM Tin Morning News on July 28, 2025:

Futures Market: The most-traded SHFE tin contract (SN2508) fluctuated downward during the night session, breaking through the 270,000 yuan/mt threshold and closing at 268,100 yuan/mt, down 1.17% from the previous trading day.

Macro: (1) According to foreign media reports, Samsung Electronics stated in a regulatory filing on Monday that it had signed a contract worth 22.8 trillion won (approximately $16.5 billion) to supply semiconductors to a large multinational company. However, it did not disclose the name of the counterparty. (2) Li Qiang attended and delivered a speech at the opening ceremony of the 2025 World Artificial Intelligence Conference and the High-Level Conference on Global Governance of Artificial Intelligence. The Chinese government proposed the establishment of the World Artificial Intelligence Cooperation Organization, initially considering Shanghai as its headquarters. (3) Tariffs: ① Trump announced a trade agreement between the US and Europe: imposing a 15% tariff on the EU, $600 billion in US investments, 0% tariffs by EU countries on the US, the EU purchasing US military equipment, and the EU purchasing US energy products worth $750 billion. ② Von der Leyen: A 15% tariff rate is the best result the European Commission can achieve. ③ Trump: Considering reaching agreements with three to four other countries. ④ US Commerce Secretary: The deadline for tariff increases on August 1 will not be extended. The US will determine its tariff policy on chips within two weeks. ⑤ The US and Europe have differing statements on whether the 15% tariff agreement covers pharmaceuticals, steel, and aluminum. ⑥ South Korea's finance minister may hold tariff negotiations with the US on July 31. ⑦ US officials: Trump has the authority to restore higher tariff levels if other countries fail to fulfill their investment commitments.

Fundamentals: (1) Supply-side disruptions: The overall supply of tin ore in major producing areas such as Yunnan is tightening. Some smelters may maintain production shutdowns for maintenance or slightly cut production in July (bullish ★). (2) Demand side: PV industry: After the installation rush, orders for PV tin strips in east China have declined, and the operating rates of some producers have decreased. Electronics industry: The electronics terminal market in south China has entered the off-season. Coupled with high tin prices, there is a strong wait-and-see sentiment among terminals, and orders are only maintained to meet immediate needs. Other sectors: Demand for tinplate, chemicals, etc. remains stable, with no unexpected growth observed.

Spot Market: The spot market for tin ingots is experiencing a sluggish "high prices, low transactions" situation. Despite the high spot price, smelters have a strong reluctance to budge on prices due to high raw material costs. However, downstream sectors such as PV, home appliances, and consumer electronics have entered the off-season, with shrinking orders leading to purchases limited to immediate needs. High-priced resources have almost no transactions. Traders reported that "daily trading volume has dropped to single digits," reflecting insufficient market confidence in a price rally.
[The information provided is for reference only. This article does not constitute direct investment research advice. Clients should make decisions prudently and not use it to replace independent judgment. Any decisions made by clients are unrelated to SMM.]