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 increasing popularity of "Shanghai prices" in international trade is attributed to the Shanghai Futures Exchange's (SHFE) efforts to enhance its influence and expand its product offerings [1][4]. Group 1: Shanghai Futures Exchange Overview - SHFE, established in 1999 and located in Shanghai, is one of China's five major futures exchanges, regulated by the China Securities Regulatory Commission [3]. - The exchange currently lists 25 futures products, including copper, aluminum, zinc, lead, tin, and nickel, as well as 18 options products covering various sectors such as metals, energy, and chemicals [3]. - SHFE has opened five futures products and crude oil options directly to foreign investors, allowing qualified foreign institutional investors (QFII, RQFII) to participate in trading for 32 futures and options products [3][4]. Group 2: Internationalization and Market Impact - The internationalization of SHFE aligns with Shanghai's goal of becoming an international financial center, as highlighted in the revised regulations promoting the financial market's internationalization [4]. - "Shanghai copper" has emerged as a significant pricing benchmark in the global non-ferrous metal market, establishing SHFE as one of the three major pricing centers for non-ferrous metals [4][6]. - The listing of "Shanghai natural rubber futures" on the Osaka Exchange in Japan marks a significant step in exporting Chinese futures pricing standards [6]. Group 3: Growth and Future Plans - SHFE has seen a steady increase in foreign participation, with growing numbers of foreign clients and expanding price application scenarios [7]. - The exchange aims to enhance its market service functions, diversify its product offerings, and deepen its high-level openness to further contribute to Shanghai's international financial center development and support high-quality economic growth [7].