US government policy regarding disposals of tin and other materials from its official stockpile should become clearer by the end of this year, according to American Metal Market. Defense Logistics Agency (DLA) metal stockpiles are under review by a Defense Department working group, which will submit its recommendations to Congress by the end of November on whether a reconfiguration is necessary. The group is surveying the DLA’s stockpiles in order to determine, among other things, whether more metals need to be purchased and whether the DLA should stop selling certain metals deemed strategically important for national defence.
The Defense Department working group was formed after an initial study released by the National Academy of Sciences last October which called for the introduction of a new national defence materials management system. DLA stockpile disposals have typically accounted for about a quarter of tin supply to the US market for many years. Recently released official data shows that it held a remaining balance of 7,719 tonnes coming into this year, almost half of which was committed for sale under long-term deals made last December. The uncommitted balance as at end-May was 4,045 tonnes. However the DLA halted its spot sales programme in January and has not indicated whether or when it may hold another long-term tender.
