Column: Falling stocks and more supply trouble sends tin skywards

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The London Metal Exchange tin price has surged to near two-year highs this week as exchange inventory slides and yet another threat to an already stressed supply chain emerges.

It is also home to the Bisie tin mine, which was once artisanal but is now mechanized and operated by Alphamin Resources. Bisie produced 12,600 tons of tin in concentrate last year, accounting for around 4.5% of global supply. It’s the last thing Asian smelters need right now, given the continued uncertainty around the status of the Man Maw mine in Myanmar.

LME headline tin stocks have slumped by 46% to 4,145 tons since the start of the year and are now the lowest since last July. Excluding metal earmarked for physical load-out, available stocks are just 3,650 tons. It’s noticeable that the tin price has been closely tracking the Philadelphia Stock Exchange Semiconductor Index, which has surged by 52% from its January low.

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