The most-traded SHFE tin 2403 contract (SN2603) opened slightly higher in the night session and fluctuated upward, while the spot market showed a state of "price without demand." [SMM Tin Morning News]

SMM Tin Morning Brief on January 26, 2026:

Futures: The most-traded SHFE tin contract (SN2603) opened slightly higher and fluctuated upward during the night session, with gains narrowing slightly before closing, closing at 447,140 yuan/mt, up 6.56%.

Macro: (1) Sources: Under a trade agreement with the EU, India will immediately cut its auto import tariffs from up to 110% to 40%, with further reductions to 10% over time. The tariff cuts target vehicles with an import price exceeding €15,000 and are subject to import quantity limits. Two sources indicated that pure EVs will not benefit from import tariff concessions for the first five years, to protect investments by domestic companies like Mahindra and Tata Motors in this emerging sector. After five years, EVs will follow a similar tariff reduction schedule. (2) According to South Korean media reports, Samsung Electronics raised the supply price of NAND flash memory by over 100% in Q1 this year, a hike far exceeding previous market expectations, highlighting the severe supply-demand imbalance in the current semiconductor market. Industry insiders cited by the media stated that Samsung Electronics completed supply contract negotiations with major clients by the end of last year and officially implemented the new pricing system starting January. This follows reports of DRAM memory price increases of nearly 70%, marking another significant pricing signal in the memory market. The report added that Samsung Electronics has begun new rounds of negotiations with clients for Q2 NAND prices, and the market widely expects the upward price trend to continue into Q2.

Fundamentals: (1) Supply side: Production at most smelters is expected to remain stable in January. (2) Demand side: Downstream procurement is relatively cautious, and high prices are significantly suppressing actual consumption.

Spot market: Trading in the spot market was sluggish, largely characterized by "nominal prices without actual trading," with only rigid demand supporting limited transactions. Meanwhile, the traditional consumer electronics sector is in its off-season, and demand impetus from emerging sectors has not yet been fully realized.

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