SMM

Based on processed data obtained through in-depth market surveys by SMM, and after thorough analysis, we observed that as of last Friday, the operating rates of refined tin smelting enterprises in Yunnan and Jiangxi provinces dropped back slightly, with a combined figure of 63.04%. For smelting enterprises in the Yunnan region, their operating rates dropped back slightly last week, with some enterprises able to maintain continuous and stable production operations. As the inventories of beneficiation plants and smelters continue to deplete, coupled with the ongoing mining ban in the Wa State region of Myanmar, some smelting enterprises have already started planning to reduce their production schedules. Against this backdrop, we anticipate that smelting enterprises in Yunnan may face a continued decline in operating rates in the near future. Meanwhile, with further tightening of ore supply, TCs for tin concentrates are showing a downward trend, which will compress the processing profits of smelters. Last week, the operating rates of smelting enterprises in Jiangxi also pulled back slightly. The seasonal increase in certain industry scraps has been almost entirely consumed, and related enterprises' production plans for this month are expected to return to previous levels. Coupled with the tightening of scrap supply toward the year-end, some smelting enterprises are facing difficulties in raw material procurement. Considering the above factors comprehensively, we expect that the operating rates of smelting enterprises in Jiangxi may experience a certain degree of pullback in the future. In summary, based on a comprehensive analysis and forecast of the current situation, we believe that the operating rates of smelting enterprises in Yunnan and Jiangxi provinces are likely to maintain a downward trend in the future.