Shanghai Futures Exchange: to expand qualified foreign investors' participation in commodity futures and options trading
The Shanghai Futures Exchange (SHFE) has announced significant changes to its investment policies, aimed at further expanding the participation of qualified foreign investors in commodity futures and options trading. The latest circular, released on June 18, 2025, outlines the new measures [1].
These changes are part of the exchange's ongoing effort to enhance market accessibility and attract international investment. The updated rules provide a broader range of investment opportunities for foreign investors, including access to previously restricted contracts such as fuel oil options, bitumen options, and bleached softwood kraft pulp options [2].
The circular also details the release of new contract specifications and rules for various commodities. For instance, the SHFE has introduced the SHFE Offset Paper Futures Contract, Offset Paper Futures Option Contract, and Offset Paper Futures Rules, effective from August 18, 2025 [3]. Additionally, the exchange has revised its program trading rules and delivery storage facility rules to improve market efficiency and transparency [4, 5].
The SHFE has been proactive in managing market risks and self-regulation information. Recent announcements include the release of revised rules for gold futures, natural rubber futures, and bleached softwood kraft pulp futures, as well as the introduction of new trading adjustments for the Dragon Boat Festival [6, 7].
The expansion of investment opportunities for qualified foreign investors is a strategic move by the SHFE to foster international cooperation and enhance the liquidity of its markets. As the exchange continues to refine its rules and policies, it aims to create a more inclusive and dynamic trading environment that benefits both domestic and international participants.
References:
[1] Notice on Further Expanding the Investment Scope of Qualified Foreign Investors in Commodity Futures and Options 2025-06-18
[2] Circular on Releasing the Contract Specifications of the Fuel Oil Options, Bitumen Options and Bleached Softwood Kraft Pulp Options of the Shanghai Futures Exchange 2025-08-18
[3] Circular on Releasing the SHFE Offset Paper Futures Contract, Offset Paper Futures Option Contract and Offset Paper Futures Rules 2025-08-18
[4] Circular on Releasing the Program Trading Rules of the Shanghai Futures Exchange 2025-08-08
[5] Circular on Releasing the Revised Delivery Storage Facility Rules of the Shanghai Futures Exchange 2025-07-11
[6] Circular on Releasing the Revised Rules on Gold Futures, Natural Rubber Futures and Bleached Softwood Kraft Pulp Futures of the Shanghai Futures Exchange 2025-06-13
[7] Circular of Shanghai International Energy Exchange on Trading Adjustments for the Dragon Boat Festival 2025 2025-05-27
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