Malaysia Smelting Corp. Bhd, or MSC, said that due to the weak global tin market, it has decided to cut tin production at its Malaysian operations by half starting from November this year. MSC, a major tin producer in Southeast Asia, said output at its Malaysian operations will be lower at 15,000 metric tons next year, from 30,000 tons estimated this year. "Due to the continuing weak global tin market, low tin prices and consequent closure of most marginal and high-cost mines in many tin producing countries, the group's smelting operations will be rationalized," the company said. However, PT Koba Tin, its 75 percent-owned unit in Indonesia, won't be affected by the output cut plan, it said. MSC completed its acquisition of PT Koba Tin in April this year. The Indonesia unit's production capacity is around 12,000 tons/year. In 2003, combined tin output by MSC's Malaysian operations and Koba Tin will be "around 30,000 tons," the company said.
NSTL
