LONDON: Tin prices hit a record high on Friday amid supply issues at Myanmar’s largest producer, while high stainless steel prices propelled nickel to its highest level in five months.

The benchmark tin on the London Metal Exchange, the top performing among the metals complex this year, hit a high of $ 33,840 per tonne, beating an April 2011 high of $ 33,600.

As of 4:10 p.m. GMT, the metal primarily used for soldering in the electronics industry, was up 1.3% to $ 33,565.

“Tin’s ascent continues due to shipping logistics issues and supply pressures from Myanmar etc.,” said Alastair Munro of brokerage firm Marex.

Myanmar, the world’s third-largest producer of tin, is struggling to contain rising COVID-19 cases and a political crisis.

Rwanda, another tin producer, has asked its companies to cut their workforce by 50%, a move that has affected miners.

“It’s a never-ending list of events that continue to hit the tin market,” said Adam Slade, analyst at Roskill, a Wood Mackenzie company, citing a series of capacity closings this year.

Reopening some smelters will ease the tightening market, but prices are expected to remain above $ 30,000 per tonne with a firm floor of $ 25,000, Slade said.

In nickel, soaring prices for stainless steel have pushed up prices for the metal, which is used to resist corrosion.

Chinese stainless steel futures jumped more than 6% to an all-time high amid heavy consumption and a shortage of raw materials, while concerns over reduced production in the steel sector also supported prices.

LME nickel rose 0.7% to $ 19,085 per tonne, after hitting its highest level since February.

TIN BALANCE: The global tin market of 380,000 tonnes is expected to experience a deficit of 10,200 tonnes this year, which will worsen to a shortage of 12,700 tonnes in 2022, the International Tin Association said in June .

OTHER PRICES: Copper fell 0.5% to $ 9,439 per tonne, aluminum fell 1.2% to $ 2,488, zinc rose 1% to $ 2,999 and lead fell. 0.4% to $ 2,320.

While the demand for nickel for electric vehicle batteries is expected to increase in the coming years, stainless steel still accounts for the bulk of metal consumption.