Core Insights - The Shanghai Futures Exchange has developed a prominent futures and options system for non-ferrous metals over the past 30 years, contributing to the rapid growth of China's non-ferrous metal industry and its integration with global markets [1][2]. Industry Development - The futures industry in China has evolved significantly from its inception in the early 1990s, transitioning from a nascent stage to a well-regulated and innovative market [3][4]. - The establishment of a market system tailored to China's unique characteristics has been crucial, incorporating features such as penetrating supervision and big data monitoring [4][6]. Market Evolution - The launch of the first standardized copper futures contract in 1993 marked a new pricing model and credit system for the industry, paving the way for corporate transformation [5][9]. - The introduction of various new products and platforms, such as the copper options and the standard warehouse receipt trading platform, has attracted more participants from the real economy [6][10]. Risk Management - The 2008 financial crisis highlighted the importance of risk management tools in the futures market, with the non-ferrous metal sector demonstrating relative stability compared to other industries [7][8]. - The regulatory framework and trading systems in place have proven effective in managing risks, as evidenced by the resilience of the domestic nickel futures market during the 2022 LME nickel incident [8][10]. Internationalization - The internationalization of the futures market has been a key focus, with the introduction of international copper futures and the participation of qualified foreign institutional investors (QFII) enhancing market depth and pricing influence [9][10]. - China's position as the largest producer and consumer of non-ferrous metals underpins the confidence in developing the futures market, with increasing participation from industry clients [11][12]. Strategic Integration - Companies are increasingly integrating futures into their strategic operations, utilizing them for comprehensive risk management and operational planning [12][13]. - The evolving service model of futures companies, including a diverse range of offerings, enhances their ability to support the real economy [13][14].

Group 1 - The domestic commodity futures market is set to introduce multiple new varieties this year to meet the diverse and refined risk management needs of enterprises, aiding them in hedging against risks [1] - The internationalization of China's futures market has been enhanced, with 16 new tradable futures and options products available for qualified foreign institutional investors (QFII and RQFII) starting June 20 [1] - As of now, the number of tradable products for qualified foreign investors in China's futures market has increased to 91 [1] Group 2 - New futures products are being accelerated, including cash-settled monthly average futures contracts for linear low-density polyethylene (LLDPE), polyvinyl chloride (PVC), and polypropylene (PP) announced by Dalian Commodity Exchange [2] - The Zhengzhou Commodity Exchange is preparing to launch futures and options contracts for propylene, which is the largest olefin product in China [2] - The Guangzhou Futures Exchange aims to develop a green futures trading platform, focusing on new energy and materials, with plans to introduce platinum and palladium by 2025 [2] Group 3 - The trading activity in China's futures market has remained robust, with a cumulative trading volume of 3.337 billion contracts and a trading value of 28.693 trillion yuan in the first five months of the year, reflecting year-on-year increases of 15.61% and 21.33% respectively [3]

Core Viewpoint - The listing of "Shanghai Natural Rubber Futures" on the Osaka Exchange marks a significant step in enhancing the international influence of Shanghai's pricing in the global rubber market [1][2]. Group 1: Market Development - Natural rubber is recognized as one of the four major industrial raw materials globally, alongside oil, steel, and coal [2]. - Since its launch in 1993, the Shanghai natural rubber futures market has seen substantial growth, becoming the world's leading market for natural rubber derivatives [2]. - In 2024, the cumulative trading volume of Shanghai natural rubber futures reached 108 million contracts, with a total trading value of 17.36 trillion yuan, reflecting year-on-year increases of 24.1% and 53.4%, respectively [2]. Group 2: International Collaboration - The collaboration with the Osaka Exchange is part of China's efforts to open its futures market to the world, providing more risk management options for global rubber industry players [2][4]. - The first contracts listed on the Osaka Exchange are for the months of September 2025, January 2026, and May 2026, with an initial trading volume of 322 contracts and an open interest of 152 contracts on the first day [3]. Group 3: Price Authorization - Price authorization has emerged as a key method for the Chinese futures market to expand internationally, allowing foreign exchanges to link to domestic futures prices [4][5]. - The Shanghai Futures Exchange previously authorized the settlement price for pulp futures to the Norwegian Pulp and Paper Exchange, marking the first direct application of Chinese futures prices in international financial markets [4]. - Experts believe that price authorization enhances the international dissemination and influence of Chinese futures prices, making "Chinese prices" a significant reference in global commodity trade [5].