China continues to be a net exporter of tin metal (mainly in the form of duty-free tin products) and a big buyer of concentrates from Myanmar, according to latest customs figures. China imported 645 tonnes refined tin in May, down by 51% y-o-y, but a 59% rise compared to April. The China domestic tin price was still lower than the LME tin price through May, which constrained imports and stimulated exports. In contrast to a continuing large amount of tin concentrate imports, this is the ninth month in which China has just had hundreds of tonnes of metal imports.
Refined tin exports in May were quite similar to April but non-ingot exports which are not subject to 10% duty were high. May refined tin exports were only 0.1 tonnes, while non-ingots exports increased to 866 tonnes, a 53% rise y-o-y. From partial third country import data, it is estimated that over 5,000 tonnes of metal and products was exported from January to May.
May concentrate imports amounted to 13,461 tonnes (gross weight), 17% higher than April and up 353% y-o-y. Myanmar accounted for a 96% share of the total. China imported 63,220 tonnes of tin concentrate from January to May, a 63% increase. Owing to the low grade and price of Myanmar’s concentrates most were sold into neighbouring Yunnan province. That meant smelters elsewhere in China could buy Yunnan concentrates for a good price as well. As a result, cheaper raw material prices across China promised smelters a better margin, which has resulted in increased refined tin production recently. However it is rainy season in Myanmar after May, so its production and exports may reduce in the coming months.
