Core Viewpoint - The listing of platinum and palladium futures and options on the Guangzhou Futures Exchange is expected to bring significant changes to the industry chain and create new opportunities for enterprises [1][4]. Group 1: Market Dynamics - Platinum and palladium are crucial raw materials for green industries, particularly in automotive exhaust treatment, with approximately 60% of platinum and nearly 80% of palladium used in catalytic converters in China [4]. - The global supply of platinum and palladium is highly concentrated in South Africa and Russia, while China is the largest consumer, leading to a high dependency on imports [6]. - Price volatility for platinum and palladium has been significant due to geopolitical, climatic, and transportation factors, with expected international market prices fluctuating between $900 and $1,100 per ounce in 2024 [6]. Group 2: Risk Management and Operational Efficiency - The introduction of futures and options is seen as a necessary "pressure stabilizer" for the industry, helping to mitigate the impact of price fluctuations on business operations [6]. - Companies can utilize futures and options for hedging, effectively locking in future sales prices or raw material procurement costs, thereby stabilizing operations and profits [6][8]. - The futures prices can serve as a reference benchmark for spot transactions, reducing price discrepancies between trading parties and enhancing transaction efficiency [6]. Group 3: Pricing Power and Market Transformation - The listing of domestic futures contracts is expected to shift pricing power from international markets to local entities, allowing Chinese companies to take a more active role in international trade [7]. - The establishment of a RMB-denominated pricing benchmark is anticipated to enhance market transparency and improve the bargaining power of domestic enterprises in global markets [7]. - The futures and options market is projected to attract diverse participants, including industrial capital and individual investors, thereby expanding the reach of the futures market [8].

Core Viewpoint - The listing of platinum and palladium futures and options on the Guangzhou Futures Exchange is expected to bring significant changes to the industry chain and create new opportunities for enterprises [1]. Group 1: Market Dynamics - Platinum and palladium are crucial raw materials for green industries, particularly in automotive exhaust treatment, with approximately 60% of platinum and nearly 80% of palladium used in catalytic converters in China [3]. - The global supply of platinum and palladium is highly concentrated in South Africa and Russia, while China is the largest consumer, leading to a high dependency on imports [4]. - Price volatility of platinum and palladium has been significant due to geopolitical, climatic, and transportation factors, with expected international market prices fluctuating between $900 and $1,100 per ounce in 2024 [4]. Group 2: Risk Management and Opportunities - The introduction of futures and options is seen as a necessary "pressure stabilizer" for the industry, allowing enterprises to lock in procurement costs and sales prices, thereby smoothing the impact of price fluctuations on business cycles [4]. - Companies can utilize futures and options for hedging operations, effectively locking in future product sales prices or raw material procurement costs, which stabilizes operations and profits [4]. - The futures market will provide a pricing reference for spot transactions, reducing price discrepancies between trading parties and enhancing transaction efficiency [4]. Group 3: Impact on Pricing Power - The establishment of domestic derivatives contracts will create an authoritative price benchmark denominated in RMB, enhancing market transparency and giving enterprises greater bargaining power in international trade [5]. - With RMB-denominated futures prices, domestic companies can use these prices as a reference for pricing in international trade, thereby increasing China's pricing power in the global platinum group metals market [6]. - The listing of platinum and palladium futures and options is expected to attract diverse participants, including industrial capital and individual investors, expanding the coverage of the futures market [6].