The US Defense Logistics Agency appears to be re-thinking the disposal of the remaining metal held in its stockpile. Last month a major review of stockpile policy was completed by the National Research Council, which concluded that there should be major changes in the way in which the nation’s defense material needs were managed. Tin stocks were last reported at 8,490 tonnes as at 13 September, having once exceeded 300,000 tonnes in the 1960s.
An expected long-term sale of most of the remaining balance has been postponed, although in the meantime small scale weekly spot sales have been stepped up. In October the DLA sold 100 tonnes through spot BOA sales to Elmet, Colonial Metals, Newport Metals and Oxbow Carbon & Minerals. Quantities of tin offered each week have increased from 20 tonnes until recently to 80 tonnes this week.
Trade sources suggest that a solicitation for long-term sales will still be issued in the near future, although the quantity to be offered is uncertain. It is possible that the DLA will decide to retain part of the remaining tin, rather than completely depleting the stockpile. Stockpile releases have typically accounted for about 20% of tin supply to the US market in recent years.
