FX.co ★ Tin Inches Down from 5-Month High

Tin futures settled at $34,300 per tonne, slightly retreating from a nearly four-month high of $35,000, as weak manufacturing data from China heightened concerns over limited supply. Despite this dip, futures have increased by 18% since the beginning of the year, primarily due to slow tin ore production. In Myanmar, a major producer, mining operations have yet to regain full pace. Although mining quotas are gradually being reintroduced following a long suspension, output data has not shown significant improvement. The pivotal Man Maw mine remains shuttered pending a resource audit, a closure further compounded by regional infrastructure damage from an aggressive earthquake and related bottlenecks during the rainy season. These challenges are exacerbated by operational setbacks in the Democratic Republic of Congo and Indonesia's reduced export permit issuance. Meanwhile, macroeconomic indicators from China, the largest tin consumer, continue to underscore weak demand for manufactured goods. Industrial production has decelerated more than anticipated, and Purchasing Managers' Indexes (PMIs) indicate a contraction in factory activity.