The Ministry of Land, Infrastructure and Transport announced on May 11 that the 8th Mobility Innovation Committee approved 16 agenda items, including demonstrations for an “EV battery subscription service” and “vehicle operation in Gwangju’s autonomous driving demonstration city.” South Korean consumers will be able to purchase only the vehicle body of an electric vehicle and lease the expensive battery separately. In addition, 200 autonomous vehicles to be deployed in Gwangju’s autonomous driving demonstration city will be eligible to apply for temporary operation permits without undergoing the self-certification process.

SMM May 13 News: Metals market: As of the midday close, base metals in the domestic market generally rose. SHFE copper gained 1.63%. SHFE aluminum rose 0.3%. SHFE lead fell 0.15%. SHFE zinc gained 1.46%. SHFE tin rose 0.08%. SHFE nickel edged down. In addition, the most-traded casting aluminum futures rose 0.15%, the most-traded alumina futures fell 0.71%. The most-traded lithium carbonate futures fell 3.55%. The most-traded silicon metal futures fell 2.74%. The most-traded polysilicon futures fell 0.62%. Ferrous metals mostly fell. Iron ore was flat at 817.5 yuan/mt. Rebar fell 0.7%. Hot-rolled coil fell 0.57%. Stainless steel rose 0.16%. Coking coal and coke: the most-traded coking coal contract fell 2.51%, and the most-traded coke contract fell 1.28%. Overseas base metals, as of 11:41, LME metals rose across the board. LME copper gained 0.6%. LME aluminum rose 0.24%. LME zinc gained 0.4%. LME lead rose 0.3%. LME tin gained 1.29%. LME nickel rose 0.87%. Precious metals, as of 11:41, COMEX gold rose 0.48%, and COMEX silver gained 1.99%. Domestic precious metals: the most-traded SHFE gold contract fell 0.55%, and the most-traded SHFE silver contract rose 1.1%. In addition, as of the midday close, the most-traded platinum futures edged down, and the most-traded palladium futures fell 1.03%. As of the midday close, the most-traded Europe containerized freight index contract rose 3.17%, closing at 2,539.5 points. As of 11:41 on May 13, midday futures quotes for selected contracts: Spot and Fundamentals Copper: Looking ahead to tomorrow, copper prices continue to fluctuate at highs, downstream purchasing sentiment remains subdued, intraday buying and selling sentiment both pulled back, and spot discounts continued to widen. According to SMM, downstream orders continued to decline from the previous day... Macro Front [China-US Economic and Trade Consultations Begin in South Korea] At noon local time on May 13, the economic and trade teams of China and the US began China-US economic and trade consultations at Incheon International Airport in Seoul, South Korea. (Xinhua) Domestic: [PBOC Reverse Repo Operations Achieved Net Withdrawal of 25.5 Billion Yuan on the Day] The PBOC conducted 500 million yuan of 7-day reverse repo operations today. As 26 billion yuan of 7-day reverse repos matured today, a net withdrawal of 25.5 billion yuan was achieved on the day. US dollar: As of 11:41, the US dollar index rose 0.01%, at 98.31. The US CPI rose faster than expected in April, further intensifying concerns about the impact of inflation on the US economy. The Bureau of Labor Statistics reported on Tuesday that, after seasonal adjustment, the overall CPI rose 0.6% MoM and 3.8% YoY. The monthly increase was in line with expectations, but the YoY increase was 0.1 percentage point higher than market expectations. Core CPI, excluding food and energy, rose 0.4% and 2.8% respectively, indicating that although inflation remained well above the US Fed's 2% target, pressure mainly came from non-core areas, especially energy. Energy prices rose 3.8%, once again becoming one of the main drivers of rising inflation; food prices also rose 0.5%. For the full year, energy prices rose 17.9% and food prices rose 3.2%. Gasoline price index was up 28.4% YoY. Although energy, especially gasoline, was the main news focus, inflationary pressures also came from multiple other areas. Housing costs rose 0.6%, tariff-sensitive apparel prices rose 0.6%, airfares rose 2.8% with a YoY increase of 20.7%. Tariffs also appeared to have affected other areas, with household furnishings and related expenditures rising 0.7%. (Jin10 Data) According to the CME "Fed Watch": the probability of the US Fed maintaining rates unchanged through June was 97.1%, with a 2.9% probability of a cumulative 25 basis point interest rate cut. The probability of the US Fed maintaining rates unchanged through July was 96%, with a 3.9% probability of a cumulative 25 basis point interest rate cut. (Jin10 Data) A CITIC Securities research report stated that US April inflation continued to run hot, the spillover effects of the Middle East conflict persisted, and compensatory increases in rent inflation pushed up core readings. High inflation continued to erode the real purchasing power of US households, with low-income households facing stronger cost shocks, and real hourly wages YoY turned negative for the first time in three years. We believe the risk of a second wave of US inflation is relatively small, but high oil prices will constrain the room for inflation to pull back within the year. Under the base case scenario, the US Fed is still expected to cut interest rate by 25bps within the year. US Treasuries are currently more suited for trading opportunities. After the strong earnings season nears its conclusion, US equities should be watched for short-term risks of profit-taking. The US dollar index may remain in the doldrums below 100 rather than on a sustained downtrend. Other currencies: According to a latest estimate by the OECD, the Bank of Japan's benchmark interest rate is expected to reach 2% by the end of 2027. The report noted that, assuming inflation remains around 2%, the current interest rate is still close to the lower bound of the neutral rate range for the economy. The report also recommended that the Bank of Japan should continue to gradually raise interest rates to prevent the economy from overheating. The Bank of Japan previously estimated that Japan's nominal neutral interest rate was between 1.1% and 2.5%, but noted that there was significant uncertainty regarding the specific level. (Jin10 Data) On the macro front: Data to be released today include France's Q1 ILO unemployment rate, France's April CPI MoM final reading, eurozone Q1 GDP YoY revised reading, eurozone Q1 seasonally adjusted employment QoQ final reading, eurozone March industrial output MoM, US April PPI YoY, and US April PPI MoM. In addition, attention should be paid to: Chicago Fed President Goolsbee participating in a Q&A session hosted by a local chamber of commerce; 2028 FOMC voter and Boston Fed President Collins delivering a speech at the Boston Economic Club; Vice Premier He Lifeng leading a delegation to South Korea from May 12–13 for trade consultations with the US side; and US President Trump's state visit to China. Crude oil: As of 11:41, oil prices in both markets fell, with WTI down 1.03% and Brent down 1.06%. Iran presented its "entry ticket" for nuclear talks with the US, including unfreezing assets and recognizing sovereignty over the Strait of Hormuz. Trump stated: "When negotiating with Iran, I don't consider the financial situation of the American people. I don't consider anyone." Meanwhile, the US Secretary of Defense said the Iran ceasefire agreement remained in effect. (Jin10 Data) American Petroleum Institute (API) data showed that US crude oil inventory fell for the fourth consecutive week last week, while gasoline inventory increased. US API crude oil inventory for the week ending May 8 was -2.188 million barrels, versus expectations of -1.654 million barrels and a prior reading of -8.141 million barrels. US API gasoline inventory for the week ending May 8 was 502,000 barrels, versus expectations of -2.549 million barrels and a prior reading of -6.107 million barrels. The EIA Short-Term Energy Outlook report indicated that if the Strait of Hormuz were closed through the end of June, crude oil prices would be $20/barrel higher than the current forecast, which assumes reopening by the end of May. (Jin10 Data) Spot Market Overview: ► ► ► ► ► ► ► ► ►

[SMM Steel] The US Department of Commerce finalized anti-dumping duty review results on South Korea’s cut-to-length carbon-quality steel plate imports for the period from Feb. 1, 2024 to Jan. 31, 2025. USDOC determined that Dongkuk Steel and Hyundai Steel sold CTL plate below normal market value, assigning final dumping margins of 1.18% and 0.94%, respectively. The final rates were unchanged from preliminary findings due to no objections from interested parties.

[SMM Steel] South Korea’s Korea Trade Commission initiated an anti-dumping investigation into specialty steel bar and rod imports from China following complaints from local producers SeAH Besteel and SeAH Changwon Special Steel. The investigation covers imports from Jan. 1 to Dec. 31, 2025, and will assess whether low-priced Chinese imports caused injury to the domestic industry. Authorities may impose provisional AD duties if preliminary findings confirm dumping and material injury.

SMM News, May 12: Metals market: As of the midday close, domestic base metals mostly rose. SHFE copper was up 2.51%. SHFE aluminum was up 0.18%. SHFE lead was down 0.99%. SHFE zinc was up 1.8%. SHFE tin was up 1.47%. SHFE nickel was down 0.71%. In addition, the most-traded casting aluminum futures were up 0.19%, and the most-traded alumina futures were down 1.24%. The most-traded lithium carbonate futures were up 1.63%. The most-traded silicon metal futures were down 2.84%. The most-traded polysilicon futures continued the downtrend from the previous two trading days, falling 4.37%. Ferrous metals mostly fell. Iron ore was flat at 820.5 yuan/mt. Rebar was down 0.18%. Hot-rolled coil edged up slightly. Stainless steel was down 0.13%. Coking coal and coke: the most-traded coking coal contract was down 2.54%, and the most-traded coke contract was down 1.21%. Overseas base metals: as of 11:43, LME metals were nearly all lower. LME copper edged up slightly. LME aluminum was down 0.74%. LME zinc edged down slightly. LME lead was down 0.53%. LME tin was down 0.16%. LME nickel was down 1.22%. Precious metals: as of 11:43, COMEX gold was up 0.13%, and COMEX silver was up 1.06%. Domestic precious metals: the most-traded SHFE gold contract was up 0.36%, and the most-traded SHFE silver contract was up 6.43%. In addition, as of the midday close, the most-traded platinum futures were up 2.9%, and the most-traded palladium futures were up 0.44%. As of the midday close, the most-traded Europe containerized freight index contract was up 1.23%, at 2,474.5 points. As of 11:43 on May 12, midday futures quotes for selected contracts: Spot Prices and Fundamentals Copper: Today in Guangdong, spot prices of #1 copper cathode against the front-month contract: high-quality copper was quoted at a premium of 260 yuan/mt, down 30 yuan/mt from the previous trading day; standard-quality copper was quoted at a premium of 190 yuan/mt, down 30 yuan/mt from the previous trading day; SX-EW copper was quoted at a premium of 120 yuan/mt, down 30 yuan/mt from the previous trading day. The average price of Guangdong #1 copper cathode was 104,355 yuan/mt, up 1,385 yuan/mt from the previous trading day. The average price of SX-EW copper was 104,325 yuan/mt, up 1,395 yuan/mt from the previous trading day. Spot market: Guangdong inventory increased again today, mainly due to increased arrivals and weak consumption... Macro Front China: The PBOC conducted 500 million yuan of 7-day reverse repo operations in the open market at an interest rate of 1.40%, unchanged from the previous day. No reverse repos matured today. [CICC: China's PPI and CPI are expected to have further upside room on a YoY basis over the next two months] CICC commented on April 2026 price data, noting that PPI rose 1.7% MoM in April, with the YoY increase expanding from 0.5% in the previous month to 2.8%. The PPI increase exceeded expectations, mainly because price gains were highly concentrated in the energy and chemical industry chain. April CPI rose 0.3% MoM, stronger than seasonal patterns, with CPI YoY growth also rebounding from 1.0% in the previous month to 1.2%, primarily driven by energy prices and holiday travel demand. Looking ahead, CICC believes that against the backdrop of ongoing tug-of-war in US-Iran negotiations, international oil prices will most likely fluctuate at highs. Given the time lag in price transmission from oil price shocks, PPI and CPI YoY are expected to still have upside room in the next two months. However, this round of production-side price recovery shows clear structural divergence, with upstream price increases significantly stronger than downstream. In an environment of weak end-use consumption demand, imported cost-push inflation is likely to continue suppressing profitability in mid- to downstream industries. US dollar: As of 11:43, the US dollar index rose 0.21% to 98.14. On May 11 local time, the US Customs and Border Protection announced that the first batch of refunds for illegal tariffs will begin on May 12, with some US enterprises set to receive tax refund funds. The US government launched an online application platform last month, allowing enterprises to apply for refunds of tariffs previously paid but later ruled illegal by the US Supreme Court. US Customs data shows that over 330,000 importers paid a total of approximately $166 billion in related tariffs. As of April 26, at least 75,000 enterprises had submitted refund applications. (CCTV News) The market is focused on copper data to be released tonight, which will help assess the US Fed's interest rate path. According to CME "FedWatch": The probability of the US Fed maintaining rates unchanged through June is 97.7%, with a 2.3% probability of a cumulative 25 basis point cut. The probability of maintaining rates unchanged through July is 94.6%, with a 5.4% probability of a cumulative 25 basis point cut and a 0.1% probability of a cumulative 50 basis point cut. Other currencies: Japanese Finance Minister Katayama Satsuki stated that following her meeting with US Treasury Secretary Bessent in Tokyo, her team is conducting smooth cooperation with the US side in the foreign exchange policy area. Katayama said she would not comment on Bessent's specific remarks. This is Bessent's third visit to Japan since assuming his cabinet position. Markets are closely watching this meeting, as it comes less than two weeks after Tokyo authorities' suspected large-scale yen intervention lasting several days to boost the yen exchange rate. Bessent has previously hinted that he is critical of direct market intervention, instead favoring support for the yen through the Bank of Japan tightening monetary policy. The Japanese authorities likely first intervened in the market on April 30, when the Bank of Japan's decision to keep policy unchanged, combined with hawkish signals released by the US Fed, jointly pushed the yen-to-dollar exchange rate past the 160 level. Data analysis showed that the Japanese authorities may have deployed approximately $24.7 billion in this operation, followed by an additional approximately $30 billion in a subsequent round of intervention. Katayama said she also discussed topics such as artificial intelligence and critical minerals with Bessent. (Jin10 Data) On the macro front: Today saw the release of Germany's April CPI MoM final reading, Germany's May ZEW Economic Sentiment Index, Eurozone May ZEW Economic Sentiment Index, US April NFIB Small Business Optimism Index, US ADP Employment Change for the week ending April 25, US April non-seasonally adjusted CPI YoY, US April seasonally adjusted CPI MoM, US April seasonally adjusted core CPI MoM, and US April non-seasonally adjusted core CPI YoY. In addition, attention should also be paid to: the Bank of Japan releasing the Summary of Opinions from its April monetary policy meeting; permanent FOMC voter and New York Fed President Williams participating in a panel discussion on monetary policy; Vice Premier He Lifeng leading a delegation to South Korea from May 12 to 13 for trade consultations with the US side. Crude oil: As of 11:43, both benchmarks rose, with WTI up 0.95% and Brent up 0.87%. Uncertainty over the prospects of US-Iran negotiations kept market concerns about supply alive, supporting oil prices. The US Strategic Petroleum Reserve (SPR) allocated 53.5 million barrels of crude oil to companies including commodity trader Trafigura Group and US refiner Marathon Petroleum, to help ease the oil price surge triggered by the Iran war. Ahead of the US summer driving peak, the US government is releasing near-record levels of crude oil to the market to push down oil prices. The crude oil will be released from June to August, when refineries will ramp up capacity to meet peak gasoline demand. This second-largest SPR sale in history is also part of a global effort led by the International Energy Agency to bring down oil prices. Last week, the US already released a daily average of 1.22 million barrels of crude oil under the aforementioned framework, setting a historical record. The Trump administration has pledged to release 172 million barrels of crude oil through a so-called "exchange program." Under this mechanism, crude oil is lent to enterprises and must later be returned in physical form. As of now, the US has agreed to release 133.1 million barrels of crude oil. (Jin10 Data) Spot market overview: ► ► ► ► ► ► ► ► ► ► ►

According to US Department of Commerce data, the United States imported 2.45 million net tons (nt) of steel in March 2026, a 5.3% increase from February. Finished steel imports surged by 15.4% month-on-month to 1.94 million nt, accounting for an estimated 22% of the domestic market share. Total imports for the first quarter of 2026 reached 7.07 million nt, up 2.7% compared to the same period in 2025. Significant increases were seen in imports of oil country tubular goods (+55%) and line pipe (+49%). The influx of finished products, particularly from South Korea and Brazil, increases competitive pressure on domestic US mills and may limit the upside for local spot prices despite seasonal demand recovery.