A recent publication by TELF AG, titled “TELF AG comments on the trends of global tin market,” delves into the dynamics shaping the global tin market, with a specific focus on the significant price drop observed in recent weeks. This publication explores various potential factors contributing to this performance and offers hypotheses regarding the expected recovery, both in the coming year and in the medium to long term.

The publication commences with general observations on the usage of tin, an essential raw material with numerous applications, particularly in the electronics sector. Tin plays a fundamental role in the production of semiconductors, critical components for electronic devices and household appliances used daily by millions of people.

TELF AG also highlights an intriguing aspect of chip production, revealing that the demand for these essential electronic components is projected to rise significantly in the coming years, reaching impressive levels by 2030. It is anticipated that global chip and semiconductor demand will necessitate the production of nearly 200 chips for every individual on Earth.

The decline in tin prices can be partially attributed to reduced demand for electronic devices resulting from the global easing of COVID-19 restrictions. During the darkest periods of the pandemic, there was a substantial surge in demand for electronic devices, leading to a parallel increase in the demand for raw materials, including tin, required for manufacturing their vital components. According to the publication, this drop is temporary and closely linked to the unique circumstances of the moment, particularly the reduced time people are spending at home with their electronic devices.

Furthermore, TELF AG discusses other potential factors contributing to the decline in tin prices. This includes the persistent slowdown in global economic growth and specific structural issues in China and Japan, both of which are prominent global semiconductor exporters.

For more in-depth information, the full publication is available to read on the TELF AG website.