LME: The method for calculating the closing price of tin will be updated from September 7, 2026

The Zhitong Finance App learned that from September 7, 2026, LME announced that it will update the closing price calculation method for tin, that is, using the additional VWAP calculation method (Additional VWAP Calculations) to determine the closing price of tin's Cash, 3M, and the previous four third Wednesday contracts (monthly contracts).

Prior to this proposed reform, the closing price (Closing Price) of LME tin (Tin) was mainly determined using the current “Last Traded Price Method” (Last Traded Price Estimation). More specifically:

During the specified Closing Pricing Window (Closing Pricing Window) period, LME will use the last eligible transaction price (Last Eligible Trade Price) within that time window as an important basis for the official closing price.

If the trading volume is insufficient or there are no eligible transactions, the closing price will be determined according to the Fallback Procedure (Fallback Procedures) specified in the “Benchmark Price Methodology” (Benchmark Price Methodology).

New method: Based on the volume and transaction price of all eligible transactions within the pricing window, the volume weighted average price (VWAP) is calculated to form the closing price. Compared to relying on the last transaction price, VWAP reflects a wider range of market transactions within the entire pricing window, reducing the impact of a single transaction on the closing price, thereby improving the transparency, robustness and representation of the price formation mechanism.

The closing price calculation window for the 3M Tin contract (16:05:00.000 - 16:09:59.999), minimum transaction volume requirement (MVR) of 5 lots, and rounding rules (up to USD 1/mt) remain unchanged.

After September 7, 2026, an additional weighted average price calculation method is used to determine the closing price of metals and related contracts as follows: