Beijing Municipal Communications Administration Issued the "5G + Industrial Internet" Innovation and Development Implementation Plan (2025-2027) SHFE Tin Prices Remain High in Sideways Trading [SMM Tin Morning Express]

SMM Tin Morning Briefing on August 28, 2025:

Futures: The most-traded SHFE tin 2510 contract maintained a high-level sideways trend during the night session, closing at 272,500 yuan/mt, up 0.37% from the previous trading day.

Macro: (1) The third batch of national trade-in subsidies has been issued. Starting from August 26, consumers in Beijing, Shanghai, Zhejiang, Guangdong, and many other provinces and cities can now claim these subsidies through the Taobao app homepage or by searching for "national subsidy." This year, the scope of the national subsidy has expanded. As it coincides with the back-to-school season, smart lamps, study desks and chairs, and learning machines are included in the trade-in subsidy program for the first time, with a maximum subsidy of 20%. Additionally, 3C digital products such as mobile phones, tablets, and smartwatches/bands priced under 6,000 yuan can enjoy a 15% subsidy, with a maximum reduction of 500 yuan. (2) According to The Hill, Todd Young, the Republican senator from Indiana who drafted and promoted the CHIPS and Science Act, stated that the law was never intended to allow the federal government to hold significant shares in Intel or any other large company. When asked about Trump's deal with Intel, Young responded, "For those of us who voted for the bill, I don't know anyone who thought the law allowed this." Young emphasized that lawmakers who supported the bill did not expect the government to take stakes in companies as a result. He will give the government an opportunity to explain its full reasoning. (3) The Beijing Municipal Bureau of Economy and Information Technology and the Beijing Communications Administration jointly issued the "Beijing 5G + Industrial Internet Innovation and Development Implementation Plan (2025-2027)." It proposes strengthening technological innovation and application. It supports top-tier enterprises to conduct technology and product application validation in key industry areas such as industrial manufacturing, vehicle networking, and medical health, based on 5G technologies including high reliability, low latency, lightweight, wide connectivity, high speed, and integrated sensing. This aims to promote the practical evolution and upgrade of enhanced 5G network characteristics for industrial use. It particularly supports the large-scale application of technologies like industrial wireless (5G), industrial Ethernet (TSN), edge computing, information modeling, deterministic networks, industrial computing power, open automation, and industrial data interoperability in key industries. It also promotes the pre-research and layout of 6G in industry scenarios, exploring paths for commercialization.

Fundamentals: (1) Supply-side disruptions: Overall tin ore supply in main production areas such as Yunnan is tightening. Some smelters may continue to undergo maintenance or slightly cut production in August (Bullish ★). (2) Demand side: PV industry: After the installation rush, orders for photovoltaic solder bars in east China have declined, leading to a decrease in operating rates for some producers. Electronics industry: The electronics end-users in south China have entered the off-season, coupled with high tin prices, resulting in a strong wait-and-see sentiment, with orders only maintaining essential needs. Other sectors: Demand for tinplate, chemicals, and other areas remains stable, without any unexpected growth.

Spot market: As the spot price fluctuated at highs above 270,000 yesterday, most downstream and end-user enterprises adopted a wait-and-see attitude toward the current price. With sluggish order activity, purchasing willingness was weak. Most traders only concluded a small number of spot cargo transactions yesterday.

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