The Most-Traded SHFE Tin Contract Maintained Low-Level Sideways Movement During Night Session; Spot Market Trading Sentiment Recovered Notably Compared to Earlier Period [SMM Tin Morning Brief]

SMM Tin Morning Brief, April 29, 2026:

Futures: The most-traded SHFE tin contract maintained a low-level sideways trend during the night session, closing at 383,460 yuan/mt, down 0.52%.

Macro: (1) The latest research by the US Geological Survey (USGS) indicated that the Appalachian region in the eastern US contains enough lithium to reduce the country's dependence on imports for centuries to come. The study showed that the area covering Maine, New Hampshire, and the Carolinas holds approximately 2.3 million mt of previously unnoticed, economically viable lithium ore. This lithium ore could meet the demand of 130 million EVs or 1.6 million grid-scale batteries. Based on the volume of lithium ore imported by the US last year, these reserves could replace 328 years of imports. (2) A fully loaded supertanker with Japanese ties appeared to be transiting the Strait of Hormuz, potentially marking the first attempt by a Japanese tanker to leave the Persian Gulf since the outbreak of the Iran war. Tracking data showed that the "Idemitsu Maru" began sailing toward the strait from northwest Abu Dhabi, where it had been idling for over a week, late on Monday. It appeared to turn north toward Iran's Qeshm Island and Larak Island, then passed Larak Island toward the eastern side of the strait. The vessel was carrying 2 million barrels of crude oil loaded at Saudi Arabia's Ju'aymah terminal in early March. The Panama-flagged very large crude carrier, built in 2007, entered the Persian Gulf a few days before the US-Iran war broke out in late February. The vessel was listed as operated by the tanker division of Japanese energy giant Idemitsu Kosan and was currently signaling "standby" — a common designation indicating that a buyer or destination may not yet have been determined.

Fundamentals: (1) Supply side: Most smelters maintained stable production as the main theme in April. (2) Demand side: Downstream purchasing remained cautious, with procurement conducted based on order conditions.

Spot market: Futures declined yesterday morning, and the spot market trading atmosphere recovered notably compared with the previous period. Ahead of the Labour Day holiday, some downstream enterprises had objective pre-holiday stockpiling needs. As prices fell, market inquiries increased, and downstream enterprises moderately followed up with purchases on dips, with overall transaction performance being moderate.
 

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