SHFE tin opened slightly higher in the night session before fluctuating downward. Trading in the

SMM Tin Morning Brief on January 21, 2026:

Futures: The most-traded SHFE tin contract (SN2602) opened slightly higher in the night session and then fluctuated downward, closing at 393,880 yuan/mt, down 0.41%.

Macro: (1) According to The Wall Street Journal citing informed sources, Baseten, a startup focused on AI inference, has completed a $300 million funding round, valuing the company at $5 billion, nearly double its previous valuation. The round was led by venture capital firm IVP and Alphabet's independent growth fund CapitalG. Chip giant Nvidia also participated, investing $150 million as part of the deal. This transaction highlights Nvidia's active positioning in the AI inference startup space. As industry focus shifts from model training to large-scale operation and inference (where AI models generate outputs based on inputs), Nvidia is increasing its investments in relevant startups while continuing to invest in its own AI chip customers. (2) TSMC continues to ramp up investment in advanced packaging technology, as Apple plans to upgrade the packaging technology for the A20-series chips in the iPhone 18 from the current InFO (Integrated Fan-Out) process to WMCM (Wafer-Level Multi-Chip Module) packaging, while transitioning to a 2nm process. It is reported that TSMC is building a new WMCM production line at its AP7 plant in Chiayi.

Fundamentals: (1) Supply side: Most smelters are expected to maintain stable production in January. (2) Demand side: Downstream procurement remains cautious, with high prices significantly suppressing actual consumption.

Spot market: Trading activity in the spot market was generally mediocre. The price center moved up yesterday, and downstream players widely adopted a cautious stance. Some rigid demand orders were released when prices pulled back in the previous two days; the current price rebound is again dampening buying interest.

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