Malaysian tin fell $260 a tonne on Thursday, weighed down by a sharp fall in the price of the metal in London overnight.
Spot tin of the Kuala Lumpur Tin Market (KLTM) ended at $8,740 a tonne, down from Wednesday's $9,000.
"We are following the LME though we did not fall as much. There's still good buying interest here from the Japanese," said one trader.
On Wednesday, tin on the London Metal Exchange (LME) fell $325 to $8,275 a tonne.
Volume on the KLTM increased to 82 tonnes from Wednesday's 60 tonnes, and was taken up by Japanese and local buyers.
Traders said the smaller drop on the KLTM compared with the LME meant that the premium for shipping a tonne of Malaysian tin to Europe, including freight and other costs, now stood at $690 versus $625 a day.