Price Indicator

Focus

• In a week (24/6 - 1/7) ICDX tin price decreased 0.72 percent.  
• The highest volatility reached 9.99 percent. 

Market Review The

The price of ICDX tin at the end of June moved down from last week to the level of $27,850 per tonne. Tin's deteriorating performance was caused by fears of a global recession triggered by aggressive interest rate hikes by the Fed and followed by central banks in other countries. negative for the tin market. The increase in interest rates is seen by investors as being able to put a brake on the pace of world economic growth, and it is feared that it will cut global demand for tin.

In addition, the uncertainty of the economic recovery due to the resurgence of Covid cases has prompted the re-imposition of restrictions in several regions of China. This situation has become a negative sentiment for tin prices because China is the world's first largest producer and consumer of tin.

On the other hand, the Indonesian government is considering changing the tin royalty rate (21/6). The proposal is to change the royalty rate which was previously flat at 3% to a fluctuating rate. This policy change will have an impact on the pace of Indonesia's tin exports to the global market.

Market View

Indonesia Plans Ban Tin Exports Next Year

The Indonesian government plans to ban tin exports next year, said the Minister of Investment / Head of the Investment Coordinating Board (BKPM) on Wednesday (6/7). This is intended to provide additional value to the results of domestic processed tin products and also as an effort to build downstream in Indonesia. This statement has become the focus of global tin market players because Indonesia is the world's first largest tin exporter.

WEEKLY ECONOMIC DATA & EVENTS CALENDAR

Source: ICDX Research