The Shanghai Futures Exchange (SHFE) has recently listed a fifth Chinese producer’s brand, adding to the four brands from major domestic producers (Yunnan Tin, China Tin, Yunnan Chengfeng and Gejiu Kaimen) which were registered at the time of the launch of the new tin contract at the end of March. The PGMA brand is from CNMC (Guangxi) PGMA Co., Ltd, which located in Hezhou City in Guangxi province. The brand is also listed on the LME. CNMC’s smelter produces some 1,000 tpy of refined tin.
The five SHFE tin brands now exactly match the five Chinese brands listed by the LME. Further listings, including some from foreign companies, are believed to be in process. The listing comes just before the Shanghai July tin contract matures, with deliveries due to commence in the five working days after 15 July. After a quiet period through June, trading volumes and open interest in tin on SHFE have increased considerably in the last two weeks as the Chinese stock market crisis has spilled over into a sharp drop in metals prices. Government intervention in the equity markets today has also helped stabilise metals futures prices.