Price Performance Indicators

• In a week (15/11 - 19/11) the price of ICDX’s Tin edged up 0.06 percent.   
• The highest volatility reached 1.35 percent. 

Market Review

ICDX tin price movement until the third week of November was observed to be stable with the lowest price touching $39,075 per MT and the highest price reaching $40.105 per MT. The tight supply amid the recovering demand after the pandemic has been the main catalyst that has driven the increase in tin prices since the beginning of the year.

In Indonesia, tin exports conducted through ICDX in October recorded an increase of 8.88% to 2,821.14 MT on a monthly basis. Exports from November to the third week of November were recorded at 1,882.57 MT or worth $74,988,108.65. In addition, PT Timah reported production during the first three quarters of this year decreased by around 48% compared to 2020, which sparked concerns about the remaining mining period by Indonesia's largest tin producer. In the latest quarterly report released by PT Timah it was stated that tin ore reserves fell by around 14% in 2020, with resources down by around 22% year-on-year.

Meanwhile, China's November tin production output is expected to decline after several smelters recently experienced production disruptions due to environmental protection concerns. In terms of the supply of raw materials, it is also predicted that there will be obstacles because the rebound of Covid-19 cases in Myanmar has forced restrictions on logistics activities and closure of ports to prevent the spread in the country. Myanmar is a major supplier of tin concentrates and ore to China, which contributes more than 80 percent of China's total imports of tins raw materials.

Market View

MSC Will Soon Revoke Force Majeure Status

Malaysia Smelting Corporation (MSC), which has determined force majeure status and has stopped operating since June 2021 due to the soaring Covid-19 cases, plans to end the force majeure status as early as the end of November, said MSC CEO Dato' Dr. Patrick Yong. In addition, Yong added that MSC has been operating at 80% capacity since last September and has also completed commissioning for its new smelter in Pulau Indah, Port Klang. MSC itself is one of the world's largest tin smelters producing around 22,400 tons of refined tin in 2020, the third-highest globally. The return of MSC to the global tin market will help reduce the current supply tightening problem amid the recovery in demand in the industrial and manufacturing sectors after the Covid-19 pandemic.

WEEKLY ECONOMIC DATA & EVENTS CALENDAR

Source: ICDX Research