Core Insights - The Shanghai Futures Exchange (SHFE) has successfully positioned itself among the global second-tier exchanges, reflecting its growing influence in the international market [1] - A new comprehensive evaluation model, CGM, developed by Fudan University, has established a systematic and quantifiable standard for assessing futures exchanges, highlighting SHFE's strengths in industry foundation, risk control, and international impact [2] - SHFE is actively promoting its institutional standards and has made significant strides in internationalization, including the introduction of the "General International Business Rules" set to be implemented in August 2025 [3] Group 1 - The CGM model includes 30 quantifiable indicators across three core dimensions: Capacity, Governance, and Macro, which assess both the exchange's performance and the economic context of its country [2] - In the first application of the CGM model, SHFE ranked among the global second-tier exchanges and second in the Asia-Pacific region for commodity exchanges, following the Hong Kong Exchanges and Clearing [2] - The SHFE's pricing mechanisms are increasingly being adopted globally, with the Osaka Exchange using SHFE's natural rubber futures settlement price as a benchmark for its contracts, marking a significant milestone for Chinese pricing standards [4] Group 2 - By September 2025, the number of Qualified Foreign Institutional Investors (QFI) clients at SHFE increased by 49.2% year-on-year, indicating a growing international interest [7] - The SHFE's internationalization efforts are not only benefiting Chinese industries but also serving trade partner countries, as evidenced by a German manufacturing company's successful engagement with SHFE [6] - The SHFE's products, such as SC crude oil futures, have become essential tools for managing price volatility in the Asian market, reflecting the exchange's increasing liquidity and relevance [6]

Core Insights - The launch of the "Shanghai Natural Rubber Futures" contract on the Osaka Securities Exchange marks a significant milestone in the cooperation between Chinese and Japanese capital markets, facilitating the global service of "Chinese pricing" [1][2] - The contract is designed to use the settlement price of the Shanghai Futures Exchange's natural rubber futures in RMB as the cash settlement benchmark, multiplied by 100 yen, providing a transparent pricing mechanism for global industry participants [1] - This collaboration is seen as a practical measure for the high-level opening of China's futures market, enhancing risk management options for global rubber industry players [1][2] Group 1 - The "Shanghai Natural Rubber Futures" contract is linked to the Shanghai Futures Exchange's natural rubber futures price, allowing international market participants to reference Chinese pricing [1] - The contract aims to eliminate currency conversion and tax deductions, offering a convenient risk management tool for various trading needs, including hedging and asset allocation [1] - The CEO of the Osaka Securities Exchange highlighted the combination of Japan's diverse hedging tools with China's robust growth, broadening hedging channels for both Japanese and global investors [2] Group 2 - The Shanghai Futures Exchange plans to continue strengthening cooperation with international institutions and expanding its pathways for opening up, aiming to connect more products with global markets [2] - The listing of the "Shanghai rubber" price in Japan represents a breakthrough in the internationalization of Chinese futures standards [2] - The initiative is expected to inject new vitality into the rubber industry in both countries and globally [2]

Core Insights - The Osaka Exchange officially listed the "Shanghai Natural Rubber Futures" contract on May 26, 2025, marking a significant milestone in the cooperation between Chinese and Japanese capital markets [1][2] - The contract is linked to the Shanghai Futures Exchange's natural rubber futures price, facilitating international market participants to reference Chinese natural rubber prices [2][3] Group 1: Contract Details - The contract is designed to use the Shanghai Futures Exchange's natural rubber futures delivery settlement price in RMB as the cash settlement basis, multiplied by 100 yen for settlement [2] - This arrangement eliminates currency conversion and tax deductions, providing transparent pricing and convenient trading for global industry chain enterprises and investors [2] Group 2: Market Impact - The listing of the contract is seen as a practical measure for China's futures market to open up at a high level, offering richer risk management options for global rubber industry chain enterprises [2][3] - The first listed contracts are set to expire in September 2025, January 2026, and May 2026, with a total trading volume of 322 lots and an open interest of 152 lots on the first trading day [3] Group 3: Industry Reactions - Industry leaders, including the president of the China Rubber Industry Association, praised the collaboration for stabilizing the global natural rubber industry chain [3] - Notable rubber manufacturers expressed that the direct linkage to "Shanghai Rubber" prices and the convenient cash settlement method provide new pathways for risk management and asset allocation in international trade [3] Group 4: Future Prospects - The Shanghai Futures Exchange plans to continue strengthening practical cooperation with international institutions and expanding pathways for opening up [3] - The initiative aligns with the 2024 State Council's support for domestic and foreign exchanges to deepen cooperation and allow foreign markets to link with domestic futures prices [3]