During the night session, SHFE tin prices experienced a slight increase before maintaining a fluctuating trend. Trading activity in the spot market was relatively active. [SMM Tin Morning News]

SMM Tin Morning Brief on November 6, 2025:

Futures: The most-traded SHFE tin contract (SN2512) edged up slightly during the night session and then maintained a fluctuating trend, closing at 282,820 yuan/mt, up 0.28% from the previous trading day.

Macro: (1) According to statistics from the China Construction Machinery Association, the average operating rate for major construction machinery products in October 2025 was 55%, down 10.1 percentage points YoY and down 0.16 percentage points MoM. The breakdown was as follows: excavators (55.1%), loaders (58.2%), truck cranes (69.7%), crawler cranes (56.9%), tower cranes (39.9%), road rollers (42.4%), pavers (57%), rotary drilling rigs (40.1%), off-highway mining dump trucks (45.9%), concrete pump trucks (36.1%), concrete mixer trucks (30.9%), and forklifts (58.5%). (2) BYD stated during an institutional survey that its energy storage business began in 2008, focusing on the R&D and application of energy storage systems and new-type batteries. The company has established a complete industry chain integrating R&D, manufacturing, sales, service, and recycling of energy storage products. Its products comprehensively cover application areas such as power supply-side ESS, grid-side ESS, industrial and commercial ESS, and household ESS, with both technological strength and shipments ranking among the top in the industry. As of October 2025, the company's total installed capacity of NEV power batteries and ESS batteries exceeded 230 GWh. (3) Data from the Passenger Car Association showed that, based on preliminary statistics, retail sales of passenger vehicles in China from October 1 to 31 reached 2.387 million units, up 6% YoY and up 7% MoM. Cumulative retail sales since the beginning of the year reached 19.395 million units, up 9% YoY. Retail sales of NEVs in the national passenger vehicle market reached 1.4 million units, up 17% YoY and up 8% MoM. Cumulative NEV retail sales since the beginning of the year reached 10.27 million units, up 23% YoY. Wholesale sales of NEVs by passenger vehicle producers from October 1 to 31 reached 1.614 million units, up 16% YoY and up 8% MoM. Cumulative NEV wholesale sales since the beginning of the year reached 12.061 million units, up 30% YoY.

Fundamentals: (1) Supply-side disruptions: Tin ore supply tightened overall in major producing regions such as Yunnan. Most smelters were expected to maintain relatively stable production in November. (2) Demand side: Orders decreased significantly due to weak demand in the consumer electronics and home appliance markets. Downstream purchases remained cautious, and high prices noticeably suppressed actual consumption. Limited boost from emerging sectors: Although increased AI computing power and growth in PV installations drove some tin consumption, their current contribution scale remained small and insufficient to offset the decline in consumption from traditional sectors.

Spot market: Trading in the spot tin ingot market was relatively active, with some downstream and end-users placing orders at yesterday's lower price levels, conducting small-scale restocking purchases and just-in-time procurement. Most traders concluded transactions of around 20 mt, while a few traders traded more than two truckloads.

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