China Clears Path for Platinum and Palladium Futures Launch

China is advancing its commodities market by approving the registration for platinum and palladium futures and options. This initiative comes as the nation inches closer to launching derivatives trading for these significant metals, utilized primarily by automakers and various industrial sectors.

The China Securities Regulatory Commission announced its supervision over the Guangzhou Futures Exchange to ensure a flawless rollout of the platinum and palladium futures and options. While no specific date has been slated for the launch, the exchange, established in 2021, aims to offer a homegrown price-hedging solution for these metals, focusing particularly on green energy products.

The decision comes against the backdrop of spiking prices for platinum and palladium this year, driven predominantly by constraints in supply. Analysts have already adjusted their price projections for 2026, pointing to limited mine output and uncertainties surrounding tariffs.