Shanghai exchange may open domestic nickel futures to foreign investors

The Shanghai Futures Exchange (ShFE) is weighing a move to open its domestic nickel futures contract to foreign investors via China’s QFII programme this year, sources said, in a shift from launching a separate product on its International Energy Exchange. The push aims to bolster China’s presence in global metals trading, and challenge the London Metal Exchange’s dominance, which was shaken by its 2022 nickel trading halt. The ShFE plans to discuss the proposal during a two-day metals industry meeting this week in Shanghai. China has around 900 QFII licence holders, with growing interest in commodities. Any rollout would require approval from the China Securities Regulatory Commission, which is encouraging exchanges to internationalise futures access.