China unveils 18-point plan to boost global non-ferrous metals pricing power
The move is aimed at strengthening the links between the futures, spot and derivatives markets for non-ferrous metals and Shanghai’s role
China is stepping up efforts to strengthen its influence in the pricing of global non-ferrous metals, rolling out measures to deepen market activity and tightening links between futures, spot and derivatives trading.
Authorities in Shanghai, the mainland’s financial hub, on Tuesday rolled out an action plan aimed at strengthening the links between the futures, spot and derivatives markets for non-ferrous metals. It is part of a broader ambition to enhance Shanghai’s role in global commodity pricing.
The 18-point action plan included measures to deepen the collaboration between exchanges and clearing institutions, enhance risk management instruments, expand international participation and cultivate a more integrated market ecosystem, state-owned media outlet The Paper reported.
“Shanghai is a major hub for commodities, particularly non-ferrous metals,” said Tiger Shi, CEO of Bands Financial, a veteran of China’s non-ferrous metals sector. “It is one of the most important locations for non-ferrous metals’ consumption and trade globally, given its role in serving manufacturing bases across eastern China.”
He added that China’s non-ferrous metals industry accounted for a significant share of global output, yet its pricing influence had not kept pace.
“These measures are expected to advance market opening and also strengthen China’s influence in the international non-ferrous metals commodities market.”