The London Metal Exchange (LME) recently announced that its planned hot-rolled coil (HRC) Shanghai cash-settled futures contract is scheduled to be officially launched for trading in October 2026.

The launch of this new futures product is aimed at providing participants in the global steel industry chain with a transparent and efficient risk management and pricing tool based on Shanghai market prices in China. The contract will be settled in cash, offering market participants a new financial derivative option to hedge against price volatility risk. This move marks an important step for LME in expanding its ferrous metal derivatives series and deepening its ties with the Asian market. The market widely expects that the listing of this contract will help enhance the influence and pricing transparency of Chinese steel prices in the international market.