NEW PROFIT RECORD FOR CHINA YUNNAN TIN
With much of the world investing in infrastructure to recover from the economic impacts of the coronavirus pandemic, the price of many base metals has reached recent records. Yunnan Tin Company (YTC) has benefited from this situation and posted record profits during the first half of 2021 thanks to high base metal prices and improved production.
As a major producer of tin, as well as copper, zinc and other by-products, YTC has been well positioned to take advantage of the booming market. In addition, with COVID-19 infections extremely low in China, the company was able to recover from a constrained 2020 to post better production numbers on its main products. The company produced about 43,200 tons of tin (ingots and products) during the first half, up 25.5%. Copper and zinc production increased by 26.1% and 11.1%, respectively.
In addition to improved production, sales also increased during the first half of 2021 compared to a year ago. Tin ingot sales increased 59% year over year, while copper cathodes and zinc ingots increased 17.1% and 8%, respectively.
It should be noted that tin is a silvery, malleable metal that does not rust easily and is resistant to corrosion. It is therefore used in many alloys and to coat other metals. It is obtained from the mineral called cassiterite, where it occurs as an oxide (tin oxide or tin dioxide). The ore is ground and enriched in tin dioxide by flotation, then roasted and heated with coke in a furnace to obtain the metal.
It should also be noted that China’s Yunnan Tin Company Group Limited is one of the largest manufacturers of tin metal and the largest production center for tin profiles, tin chemicals and arsenic chemicals in China. It is also China’s largest precious metals research and development center. With its leading role in the Chinese tin industry and adequate international competitiveness, YTC is listed as one of the 520 largest Chinese industrial enterprises.
In addition to this, YTC also produces some mid-range tin-containing products. Sales of tin solder and chemical products improved by 21% and 12%, respectively, as companies using tin later sought to increase their business.
All these improvements have helped YTC to achieve a net attributable profit of RMB 960 million, an increase of 375% compared to the previous year, and a new record for the company.
