I. Full Review of Copper Billet Industry in H1 2026 (I) Policy Side: Strict Control of Reverse Invoicing, Long-Term Restriction on Recycled Raw Material Circulation In H1, fiscal and tax supervision became the core underlying constraint weighing on the copper billet industry. The reverse invoicing policy for recycled resources entered a phase of normalized, high-pressure implementation; natural-person individual sellers had an annual invoicing quota of 5 million yuan, which significantly narrowed circulation channels for domestic unticketed scrap brass. Grassroots recyclers showed low willingness to sell, leading to a persistent shortage of compliant domestic sources of secondary brass. During the policy transition period, corporate compliance costs rose notably. Small and medium-sized processing plants, lacking channels for stable raw materials with invoices, were forced to proactively cut production and undertake maintenance to avoid risks. Large top-tier players leveraged their international trade qualifications and stable import sources to buffer the raw material gap, accelerating the concentration of industry capacity toward compliant large-scale enterprises. The No. 770 policy on secondary copper tax rebates continued to tighten, completely compressing the grey circulation space in the industry. The contradiction of raw materials "having the goods but no invoices available, with invoiced goods at high prices" pervaded the entire H1 cycle. (II) Raw Materials and Imports/Exports: Domestic Secondary Supply Contracted, Premiums on Imported Secondary Brass Rose 1. Domestic Raw Material Bottleneck Intensified The compliant circulation volume of domestic scrap brass fell sharply YoY, weakening the cost advantages of secondary brass over copper cathode. Most brass billet plants faced difficulties in raw material procurement and high credit costs, and with the natural-person quota ceiling constraint, supply could hardly return to the level seen in previous years. Meanwhile, speculation in the brass scrap market further drove up prices, and copper-zinc separation operations raised overall raw material costs. 2. Imported Cargo Became a Mainstream Supplement, but Costs Continued to Rise Domestic enterprises turned to bulk purchasing of imported secondary brass with invoices. In H1, imports of secondary brass maintained YoY growth, however, overseas scrap copper export policy uncertainties and rising international copper prices pushed up procurement premiums. Available overseas scrap brass supply tightened, and import procurement coefficients continued to climb, further raising raw material costs for brass billet. Data Source: SMM From January to May, cumulative imports of brass billet in China were approximately 11,400 mt, down 1.23% YoY, but the cumulative import value reached $105.7079 million, up 23.42% YoY, highlighting a pattern of shrinking volume and rising prices. In terms of import sources, in May, South Korea remained the largest source country (accounting for approximately 40%), with Japan second (at approximately 16%), showing initial signs of regional diversification. (III) Costs and Prices: Copper Prices Swung Wildly at Highs, Industry RC Continued to Decline In H1 2026, copper cathode prices showed a pattern of "retreating after a rapid rise and consolidating at highs." Prices hit an annual peak in January and fell to a periodic low in March. In Q2, the price center stabilized above 100,000 yuan/mt, with the annual average price rising sharply YoY, directly lifting raw material costs for copper billet. As of end-June, the average spot price of Hpb59-1 brass billet in the Zhejiang region had climbed to a historical high of 70,650 yuan/mt. Price transmission had significant blockages: traditional downstream brass demand was sluggish, with end-users possessing strong bargaining power, so raw material price increases could not be smoothly transferred downstream. The industry exhibited a typical pressured pattern of "rising prices with weak volume." From April to May, the overall profitability pressure on the industry climbed to its worst level in the past two to three years. High-precision copper billet used in new energy and AI applications saw stronger RC resilience due to technical barriers and stable rigid demand, making it the only sub-category with relatively stable profits in H1. Coupled with rising logistics, tax, and capital occupation costs, most small and medium-sized brass billet enterprises remained in a state of meager profit or even losses over the long term. (IV) Supply and Demand: Demand Severely Polarized, Operating Rates Stayed Low 1. Supply Side: Operating Rate Weakened Month by Month, Enterprise Polarization Significant The overall copper billet operating rate drifted lower in H1, continuously falling back from 50.86% in January to 46.09% in June, with declines seen both YoY and MoM. The gap in capacity polarization continued to widen: large enterprises with stable raw material channels saw a 52.6% operating rate in June; medium-sized enterprises, squeezed by both raw materials and orders, operated at only 38.76%; small processing plants, facing raw material shortages and order scarcity, saw operating rates fall to 23.44%, intensifying industry polarization. Raw material constraints were the core supply-side constraint; coupled with losses forcing enterprises to control production, the overall industry capacity utilization rate remained in a historically low range in H1. 2. Demand Side: Traditional Sectors Weakened Deeply, Emerging Sectors Strengthened Independently Traditional brass demand (air conditioning, plumbing, valves, general hardware) remained persistently weak in H1. The downturn in the post-property cycle, combined with an early off-season for home appliances, saw downstream users purchasing as needed without concentrated restocking. Meanwhile, the substitution penetration rate of stainless steel in air conditioning parts continued to rise, continuously diverting rigid demand from brass, and brass billet orders shrank month by month. Data Source: SMM Structural demand support was concentrated in the copper billet segment: the three electric systems (power battery, drive motor, and electronic control system) of NEVs, large-power charging piles, energy storage PCS, AI server GPU cooling, and precision pins for optical modules continuously released stable rigid demand. Orders for high-purity oxygen-free copper billet were full, partially offsetting the overall decline in industry demand. However, with copper billet capacity accounting for a limited share, this was not enough to boost the brass segment's recovery. II. Market Outlook for Copper Billet Industry in H2 2026 In Q3, the industry is expected to be under pressure and hit bottom. The traditional off-season, coupled with high temperatures suppressing end-user procurement and the ongoing impact of stainless steel substitution, is expected to weigh on brass demand. SMM expects the overall copper billet operating rate to continue falling to 43.65% in July, hitting an annual low. Policy-side reverse invoicing supervision is unlikely to ease, capping the compliant supply of domestic scrap brass. Combined with continuously tightening controls on overseas scrap copper exports, the pattern of high premiums on imported secondary brass is expected to persist. The raw material bottleneck is set to run through the off-season. Brass billet is anticipated to be dragged down by the triple headwinds of the off-season, substitution, and low RCs, with profitability under sustained pressure in Q3. Only the continued commissioning of NEV and AI computing infrastructure projects is likely to bring rigid demand orders for copper billet, forming the sole demand support. In Q4, prosperity is expected to recover on a QoQ basis. As home appliances and plumbing enter their traditional stockpiling peak season, brass billet orders are expected to rebound MoM. Combined with year-end push for annual targets in PV, energy storage, and NEVs, demand for copper billet is expected to further strengthen, with industry operating rates and transactions both recovering. However, copper cathode prices are highly likely to continue consolidating at highs, with the raw material cost center stay high, putting cost pressure on processing enterprises throughout the year. In the medium and long term, the traditional brass demand center is expected to decline year by year, while AI computing, new energy, and energy storage constitute the core growth drivers of the copper billet industry. Small and medium-sized outdated capacity is expected to continuously exit the market, while top-tier players are simultaneously laying out high-end copper billet capacity. The three major thresholds of raw materials, orders, and compliance continue to widen the gap between enterprises, making the industry's transformation towards scale, compliance, and high-end manufacturing an irreversible trend. In summary: In H1 2026, the core contradictions in the copper billet industry were supply shortages caused by tightening recycled raw material policies, weakening traditional end-use demand, and the squeezing of processing profits by high copper prices. The industry relied on new energy and AI copper billet for structural support, maintaining a generally weak operating environment. In H2, the market is expected to show a pattern of initial weakness followed by later strength: in Q3, the triple negative resonance of the off-season, raw materials, and substitution is expected to keep operating rates and profitability under sustained pressure; in Q4, the combination of the traditional end-user peak season and continuously increasing volumes from emerging sectors is expected to repair industry prosperity on a QoQ basis. In the medium and long term, the reverse invoicing policy is reshaping the secondary copper circulation system, accelerating market clearing. High-precision copper billet for new energy and AI computing infrastructure is expected to become the core future growth line for the copper billet industry.

Vietnamese steelmaker Hoa Phat is supplying thousands of tonnes of prestressed steel strands to major infrastructure projects across Vietnam, helping replace imports and support construction schedules. Hoa Phat is the only Vietnamese manufacturer producing PC strands with a fully integrated process using Italian technology, from billet to finished product, ensuring consistent quality, stable supply, and compliance with stringent technical standards. The strands have been supplied to multiple major bridge projects nationwide. Hoa Phat said domestic production supports Vietnam's infrastructure development while reducing reliance on imported materials.

Capacity-wise, according to incomplete statistics, China's alkaline electrolyzer market stood at 43.77 GW, while the PEM electrolyzer market stood at 2.7 GW. Peric Hydrogen, a subsidiary of the 718th Research Institute of CSSC, completed factory inspection and shipment for delivery of its first hydrogen project equipment in Canada. The project has an installed capacity of 1.75 MW and adopts a containerized integrated hydrogen production system. Project-related updates: Inner Mongolia Baogangxin Energy Co., Ltd. : The hydrogen production and storage integrated demonstration project it invested in has been filed. Located in the Bayan Obo mining area in Baotou, the project has a total investment of 41.9 million yuan. The project will be equipped with one set of 1000 Nm³/h alkaline water electrolysis hydrogen production unit, one set of 500 Nm³/h proton exchange membrane water electrolysis hydrogen production unit, along with gaseous hydrogen storage tanks, a 100 kg solid-state hydrogen storage unit, and a heat storage and release system. It will also be furnished with supporting utilities such as power supply, automatic control, compressed air, and nitrogen generation facilities, creating an integrated demonstration project that couples multiple hydrogen production routes with solid-state hydrogen storage. China Energy Ningxia Coal Industry Co., Ltd. : The Phase I of the Ningdong Integrated Energy Station Project of Ningxia Coal Industry has been fully completed and is in the final stage of trial operation. The project is located at the entrance of the Ningdong Coal Chemical Industrial Park and is operated by Genyuan Zhihuan Logistics Company. Phase I has completed construction of canopies, refueling islands, LNG dispensing islands, an office building, fire-fighting and monitoring control rooms, and other supporting facilities. It is equipped with oil storage tanks with a total volume of 110 m³ and LNG storage tanks of 60 m³. The maximum on-site hydrogen storage capacity is 1,593.3 kg, including two 50 m³ diesel storage tanks, two 30 m³ gasoline storage tanks, one 60 m³ LNG storage tank, and three single-hose LNG dispensing islands. Meanwhile, civil works and process reservations for three hydrogen refueling islands have been completed. Once operational, the project will provide integrated refueling of oil, gas, and hydrogen for heavy-duty trucks, engineering machinery, and official vehicles in the park, thus strengthening the energy supply guarantee capacity of the Ningdong Coal Chemical Industry Base. CIMC New Energy (Liupanshui) Technology Co., Ltd. : The steel-coke integration project of CIMC New Energy (Liupanshui), a subsidiary of CIMC Enric, has been put into operation. The project relies on the coke oven gas from Shougang Shuicheng Steel to mass-produce blue LNG and 99.999% high-purity blue hydrogen. With a total investment of 808 million yuan, the project covers an area of 248 mu and had a construction period of 12 months. Upon reaching full production, it will achieve an annual output of 140 kt of LNG and 24 million Nm³ of high-purity blue hydrogen. Currently, the company has three similar projects in operation at Angang Bayuquan and Linggang, with three more new projects in the preliminary preparation stage. Its business covers Liaoning, Guizhou, Sichuan, and Southeast Asian markets outside China. All existing operating projects have a combined annual output of 48 million Nm³ of hydrogen, 420 kt of LNG, and 80 kt of liquid ammonia. Guoneng Nanjing Electric Power Test & Research Co., Ltd. : The EPRI subsidiary has issued a bidding announcement for hydrogen fuel procurement under a national key project. This project is undertaken by Guoneng Nanjing Electric Power Test & Research, involving fuel procurement for the National Key R&D Program "10 MW-class wide-load hydrogen co-firing technology integration and boiler demonstration." The test site is located at the Hainan Ledong Power Plant area. The project has a single bidding section for the 168-hour commissioning of a 10 MW pilot-scale gas boiler. It requires that the hydrogen blending heat value ratio in natural gas be no less than 20%, and the procurement includes pure hydrogen as well as full-process services such as transportation, technical training, and quality assurance. The gas supply threshold can be met by any one of three options: 200 hours of supply, 190,000 Nm³ of hydrogen, or the testing volume verified by the bid inviter; supply ends once any condition is met. Settlement will be based on the actual hydrogen supply volume. The supply period is 161 days from the contract signing, and all supplies must be completed by December 31, 2026. The supplier shall deliver to the Ledong site within 30 hours upon receiving the delivery notice. This tender only accepts bids from independent legal entities and agents, and does not accept any consortium. Hexi (Xinjiang) New Energy Co., Ltd. : The first phase of the 20 kt/year solar dish photothermal water splitting hydrogen production project at Sinopec Zhundong No.6 Station by Hexi Xinjiang New Energy has initiated its second public notice. The project is sited on the northwest side of Sinopec Zhundong Sixth Station in the Zhundong Economic and Technological Development Zone, Changji, Xinjiang, covering an area of 50 mu. It will build an integrated dish photothermal RSOC water splitting hydrogen production station equipped with complete facilities for concentrating light, thermal storage, power generation, hydrogen production reaction, hydrogen purification, transmission and distribution, intelligent control, and power supply and distribution. The first phase can produce 2 mt of green hydrogen and 16 mt of green oxygen daily, with an annual output of 660 mt of green hydrogen and 5,280 mt of green oxygen, leveraging new photothermal hydrogen production technology to expand local green hydrogen production pathways. Shanxi Yaxin New Energy Technology Co., Ltd. : The additional hydrogen pipeline laying project for methanol has obtained record-filing. The total investment is 2 million yuan. The pipeline starts from the Shanxi Yaxin New Energy plant area, runs along the park road, and is laid to the Lu’an Taihua plant area. Relying on the existing pipe gallery, a 1.8 km backup hydrogen transmission pipeline is newly built, which can supply up to 144 million Nm³ of hydrogen annually. The project is planned to commence in June 2026 and be completed in August, and construction may begin only after all approvals for planning, environmental protection, and safety are obtained. Sichuan Yuyan New Materials Co., Ltd. : The supporting 8,500 Nm³/h natural gas-based hydrogen production unit for Sichuan Yuyan’s 300 kt/year hydrogen peroxide project has completed full-process commissioning and successfully produced qualified hydrogen. The unit has officially entered the trial production stage, providing assurance for the stable full-load operation of the main hydrogen peroxide facility. Three Gorges Bazhou Ruoqiang Energy Co., Ltd.: The tender is now open for the hydrogen production system equipment under the provisional price of the EPC contract for the Three Gorges Ruoqiang 6×660 MW coal-fired power project. The project is located in Ruoqiang County, Bayingolin Mongolian Autonomous Prefecture, Xinjiang, supporting the planned Ruoqiang–Sichuan ultra-high voltage DC transmission project. It is planned to install six 660 MW ultra-supercritical coal-fired generating units, along with supporting environmental protection facilities. This procurement covers the plant-wide common hydrogen production equipment, including two sets of 10 Nm³/h proton exchange membrane water electrolysis hydrogen production main units and complete supporting equipment such as electric controls, hydrogen storage, pipelines, and spare parts. The equipment is expected to be delivered on truck at the Ruoqiang project site by August 2027, with the actual delivery time subject to the bid inviter’s notice. This tender explicitly does not accept consortium bids. China United Energy Group: The Jordanian Cabinet officially approved the signing of a land use agreement with China United Energy Group to jointly conduct a feasibility study for a local green hydrogen production project. This cooperation aligns with Jordan's clean energy development strategy, aiming to attract high-quality investment in green hydrogen and low-carbon fuels. Once implemented, the project will help Jordan build a regional hub for green industry and clean fuels, boost the development of the upstream and downstream green ammonia industrial chain, and expand export channels for low-carbon products to markets outside China. Shanghai International Port Group Energy Co., Ltd. : SIPG Energy's methanol bunkering vessel, "Haigang Zhiyuan," conducted a bunkering operation for Hanwha Shipping's "HMM LEAF" at anchorage, supplying 3,000 mt of domestically produced biomass green methanol. This successfully completed Shanghai Port's first anchorage green methanol bunkering and set a new record for the largest single anchorage green methanol bunkering operation in China. Following this operation, Shanghai Port's green methanol bunkering service coverage has been expanded to encompass the entire port area, with service waters extended from Yangshan Port, Waigaoqiao Port Area, and Changxing Island Shipyard to anchorage grounds, enabling flexible, customized green fuel bunkering solutions for global shipping enterprises. State Energy Group Hydrogen Technology Co., Ltd.: The first phase of the Cangzhou "Green Port, Hydrogen City" green ammonia project has been successfully mechanically completed, officially entering the integrated commissioning and feed trial operation stage. This project is Hebei Province's first 10kt-level green ammonia project. The first phase is equipped with a 50,000 mt/yr synthetic ammonia unit, relying on local wind and solar power green electricity and employing alkaline water electrolysis for hydrogen production, cryogenic nitrogen generation, and a multi-steady-state flexible synthesis process to produce green ammonia. Dongfeng Motor Group Co., Ltd.: The results were announced for potential suppliers in the procurement project for a containerized integrated hydrogen production system for the R&D Center. This procurement did not accept consortium bids. The first-ranked candidate is Beijing Hydrogen Energy Technology Co., Ltd., with a bid of 463,980 yuan; the second-ranked candidate is Xianhu Technology Co., Ltd., with a bid of 485,000 yuan; the third-ranked candidate is Shandong Saikesaisi Hydrogen Energy Co., Ltd., with a bid of 598,000 yuan. The procurer is purchasing this equipment for internal R&D work. Policy Review 1. The Ministry of Transport, the National Development and Reform Commission (NDRC), the Ministry of Industry and Information Technology (MIIT), and eight other departments jointly issued the "Implementation Plan for Promoting the Large-Scale Application of New Energy Heavy Trucks," setting multiple targets and regulating the construction of energy replenishment infrastructure. The plan proposes that by 2030, the penetration rate of new energy heavy trucks should reach 40%, with ownership exceeding 1.6 million units and accounting for approximately 20% of total heavy truck ownership. The electrification rate for short-distance transport in the Beijing-Tianjin-Hebei region and the Fenwei Plain should exceed 80%, and the freight volume share of new energy heavy trucks on expressways should reach 18%. The national plan is to deploy approximately 3,000 battery charging and swapping stations for heavy trucks, build zero-carbon freight corridors along the expressway network, and simultaneously support these with hydrogen refueling and green fuel bunkering facilities. The document specifies that highway renovation projects must synchronously plan and construct supporting clean energy facilities such as charging and battery swapping stations, hydrogen production and refueling infrastructure, and energy storage systems. Parking areas for new energy heavy trucks for charging and swapping must maintain safe distances from densely populated service areas and oil and gas stations, and facility construction must strictly adhere to mandatory national standards. The plan proposes to build a comprehensive support system encompassing infrastructure, equipment, services, standards, and policies, establishing a multi-departmental collaborative linkage and promotion mechanism. 2. The PipeChina Hydrogen Energy Storage and Transportation Technology Exchange Conference was held in Beijing. The meeting unveiled the technical plan and complete set of standards for hydrogen pipeline transmission engineering, establishing a full-chain standardized system for hydrogen storage, transportation, and delivery, filling the gap in standards for complete sets of technologies for long-distance, large-scale hydrogen pipeline transmission in China, achieving a breakthrough from single-point technological advancements to systematic application. The complete technologies cover core engineering needs such as new hydrogen pipelines and retrofitting natural gas pipelines for hydrogen blending, establishing the first hydrogen pipeline transmission technical framework suitable for six sub-scenarios within two main application categories. The supporting standards cover the entire process including pipe materials, design, construction, and safety operations and maintenance, providing technical support for the demonstration and large-scale promotion of hydrogen pipeline transmission. 3. The National Energy Administration released the "Guidelines for the Classification and Grading of Data in the Energy Industry (2026 Edition)." The document indicates that these guidelines are applicable to the classification and grading of non-sensitive data within the energy industry in the People's Republic of China. Dimensions for energy industry data classification include, but are not limited to, energy type and energy activity. By energy type, the first-level classification of energy industry data includes: coal, oil, natural gas, nuclear energy, hydropower, wind energy, solar energy, biomass energy, geothermal energy, ocean energy, electricity, hydrogen energy, etc. By energy activity, the second-level classification of energy industry data includes: planning, design, construction, production, storage and transportation, consumption, scientific research, etc. Energy industry data processors may conduct third-level and fourth-level classifications based on data content and characteristics. Company Updates Hua Shang Xia Geng Hydrogen Technology (Xiamen) Co., Ltd. : The purchase contract for a 600 Nm³ skid-mounted hydrogen production equipment unit in Italy, led by Huashang International and executed by Huashang Xiamen Hydrogen, has officially come into effect. Following the export of the same model of hydrogen production equipment to Indonesia last year, the enterprise has successfully achieved a key breakthrough in the European market. This supply involves a complete containerized hydrogen production system, encompassing a full suite of equipment including an alkaline electrolyzer, power supply, purification system, cooling system, and automatic control system. The equipment will obtain the EU "4+1" CE certification, making it the first domestically produced alkaline electrolysis hydrogen production equipment to be exported to the EU with this certification. Sungrow Hydrogen Technology Co., Ltd. : Successfully won the bid for the 45MW hydrogen production unit project at the Daye Linkong Hydrogen Energy Industrial Base, deploying a 2000 Nm³/h electrolyzer to support the green transformation of this resource-dependent city. This bid win includes five sets of 1000 Nm³/h and two sets of 2000 Nm³/h alkaline hydrogen production systems. The 2000 Nm³/h electrolyzer has undergone two years of iteration and over 4,000 hours of field testing, demonstrating stable and highly efficient performance. The excellent operational performance and highly recognized equipment and O&M services provided by Sungrow Hydrogen for the Daye Jiangqiao hydrogen production project previously laid the foundation for this renewed cooperation. Zhejiang Yuancheng New Energy Commercial Vehicle Group Co., Ltd. : Jointly built with China National Offshore Oil Corporation, Shanghai's first integrated methanol refueling station—the Jiading Xingle Methanol Refueling Station—has officially commenced operations at No. 2619 Jia'an Road, Jiading District. Dongfang Electric Corporation : The new-generation high-pressure diaphragm compressor unit, jointly developed by Xinran Group Compressor Co., Ltd. and Dongfang Electric Corporation Boiler Co., Ltd., officially began commissioning at the Xinran production site. A special acceptance expert group arrived on site to conduct comprehensive verification of equipment performance, process, and safety across all dimensions. Shanghai AnChi Technology Co., Ltd.: Officially launched the world's first four-nozzle integrated mobile hydrogen ultra-fast charging station. By entering the hydrogen-powered off-grid ultra-fast charging sector with an integrated "hydrogen-electricity-storage-charging" solution, it injects new momentum into the construction of new power systems and the green transformation of the energy structure. Shaanxi Yulin Energy Group New Energy Technology Co., Ltd. : Held cooperation discussions with China Hydrogen Energy Group Co., Ltd. and Shanghai Xinran Compressor. The three parties held in-depth discussions on matters concerning the construction of the Yulin Green Hydrogen Project, joint development of integrated energy stations, hydrogen energy equipment matching, coal chemical industry upgrades, high-end compressor matching, and local production site establishment, reaching a consensus on comprehensive industrial cooperation. NewAir (Hangzhou) Biotechnology Co., Ltd. : Formally signed a technology development cooperation agreement with China Huanqiu Contracting & Engineering Co., Ltd. The two parties will leverage their respective strengths in technological innovation and large-scale chemical engineering implementation to jointly develop a commercial process package for Flexfining™ ethanol-to-sustainable aviation fuel, opening a critical pathway for domestic alcohol-to-jet technology from laboratory scale to industrial implementation, while simultaneously planning large-scale industrial projects in and outside China. SPIC Green Energy Co., Ltd. : SPIC Green Energy signed a special cooperation agreement with the Second Research Institute of CAAC in Chengdu, marking the entry of their collaboration into a new phase of implementation. Next, the two parties will conduct in-depth cooperation focused on technological breakthroughs, standards research, industry-research integration, and talent cultivation to overcome challenges in SAF industry development, accelerate the implementation of demonstration projects, promote low-carbon aviation development, and support national energy security and the achievement of the "dual carbon" goals. Beijing SinoHy Energy Co., Ltd.: Signed a strategic cooperation memorandum with Hyundai Engineering & Construction Co., Ltd., a globally leading EPC enterprise, to jointly pursue global green hydrogen projects. According to the agreement, SinoHy Energy will contribute its technical strengths in alkaline electrolytic stacks and core hydrogen production equipment; Hyundai Engineering & Construction will leverage its experience in large-scale global energy infrastructure projects to provide system integration and EPC delivery services. The two parties will collaborate to create integrated alkaline water electrolysis hydrogen production solutions for delivery to project developers worldwide. Patent Applications 1. Shanghai Institute of Ceramics, Chinese Academy of Sciences (China) published patent CN2025110028, developing a ceramic-based anion exchange membrane with a laboratory-tested lifespan of 80,000 hours. 2. Johnson Matthey (UK) submitted patent WO2025109876, disclosing an Fe-Ni-Mo ternary non-precious metal catalyst formula with activity approaching that of platinum-based materials. Technology Footprints/Specifications 1. The team of Tong Lei and Liang Haiwei from USTC, together with Zhang Liang from Tsinghua University, proposed a Carbon Mesopore Depth Engineering (CMDE) strategy. By utilizing hollow mesoporous carbon spheres to regulate ionomer penetration depth, they addressed the inherent conflict between kinetic activity and oxygen mass transport in low-platinum fuel cells, developing a PtCo low-platinum catalyst that combines anti-poisoning properties, high mass transport, and excellent durability. Under an ultra-low platinum loading of 0.1 mgPt cm⁻², it achieved the power, activity, and durability targets stipulated by the US DOE. 2. The team of Professor Li Zhipeng from Northwestern Polytechnical University innovatively constructed a three-dimensional multi-physics field coupling model for tubular solid oxide fuel cells, systematically revealing the quantitative influence of temperature, electrode thickness, porosity, and oxygen domain geometric parameters on cell output performance. 3. China Automotive Engineering Research Institute's National Hydrogen Power Quality Inspection and Testing Center has built a 0-400kW three-axis comprehensive vibration testing platform for hydrogen-related equipment under load and opened it for commercial use, addressing the domestic gap in high-power hydrogen-related multi-physics field coupled testing. 4. The high-specific-power closed-cathode air-cooled fuel cell stack technology developed by the team of Academician Chen Zhongwei and Associate Researcher Zhang Meng at the State Key Laboratory of Energy Catalytic Conversion, Dalian Institute of Chemical Physics, has passed the scientific and technological achievement appraisal organized by the China Petroleum and Chemical Industry Federation. This technology effectively resolves the industry contradiction between water retention and oxygen mass transfer in air-cooled fuel cells, solving technical challenges such as low-humidity performance degradation, carbon corrosion, dry membrane flooding, and high-power thermal management. 5. Two group standards concerning hydrogen production by water electrolysis have been officially released and implemented: the "Technical Specification for Safety of Hydrogen Production by Water Electrolysis" and the "Method for Calculating Economic Operation Indicators for Hydrogen Production by Water Electrolysis." 6. Petronor and H2SITE are collaborating to advance membrane technology for hydrogen production, enhancing high-purity hydrogen recovery and low-carbon efficiency in refining.

Zimbabwe's Finance Minister Mthuli Ncube revealed during the World Economic Forum in Dalian that the country is actively considering using its abundant mineral resources as collateral through "resource‑linked debt instruments" to finance road and railway construction projects in cooperation with China. This model aims to leverage future revenue from natural resources as loan guarantees to address the huge funding gap for infrastructure development. Ncube said Zimbabwe has held preliminary discussions with China Railway Group regarding such financing arrangements. He told reporters: "We have discussed resource‑linked debt instruments and hope to use them in the future to support infrastructure development, particularly in the road and railway sectors." Under the envisaged plan, Zimbabwe would assess project costs, toll revenue potential, and the return cycle of required resource investments to determine the scale of resource collateral and the repayment path. As Africa's largest lithium producer, Zimbabwe possesses rich mineral resources, but years of economic mismanagement and political instability have left its infrastructure severely lagging. The African Development Bank estimates that the country needs approximately US$34 billion to modernise its transport and logistics network. The proposed resource‑for‑infrastructure plan resembles the model of the US$7 billion Sicomines copper‑cobalt joint venture in the Democratic Republic of Congo with Chinese companies. As early as September 2025, Zimbabwe's President, during a meeting in Beijing with senior executives of China Railway Group, promoted a railway rehabilitation cooperation plan totalling US$533 million. The project is to be implemented by Chuantie International, a subsidiary of China Railway Group with extensive experience in African projects. The scope of work includes repair and reinforcement of existing lines and bridges, modernisation of signal systems, procurement of 17 locomotives and 209 freight wagons, construction of five new stations, and the key trunk line connecting Beitbridge and Harare – a strategic corridor leading directly to South Africa, which is vital to Zimbabwe's foreign trade. Currently, the project's financing method and formal signing date are still under final negotiation. Zimbabwe's railway network was built during the colonial era and carried up to 12 million tonnes of freight annually in the 1990s. However, decades of underinvestment, equipment obsolescence, and foreign exchange shortages have caused the railway infrastructure to deteriorate continuously. Current annual freight volume has fallen to less than 3 million tonnes – only 15% of its historical peak. Many lines are overgrown with weeds, and a large number of locomotives and rolling stock have been taken out of service, directly weakening the capacity to transport bulk commodities such as lithium, chrome ore, and coal to the ports of Mozambique and South Africa. Consequently, Chinese mining enterprises operating in Zimbabwe – including Tsingshan Holding Group, Sinosteel Corporation, and Zhejiang Huayou Cobalt – all face export bottlenecks for their products. The decline of the railway system has forced a large volume of freight onto roads, leading to a surge in heavy trucks, which in turn exacerbates road congestion, traffic accidents, and pavement damage, forming a vicious cycle. In response, the National Railways of Zimbabwe has incorporated this railway rehabilitation into a broader modernisation framework and has engaged in cooperation with 11 private enterprises. Among them, South Africa's Grindrod, through its subsidiary Beitbridge‑Bulawayo Railway Company, has already deployed three locomotives and 150 freight wagons to alleviate current transport pressures. At the same time, Zimbabwe is exploring collaboration with the University of Zimbabwe to leverage the university's innovation centre for localised railway technology R&D and talent training, building capacity for long‑term operations. Analysts point out that if this railway rehabilitation is successfully implemented, it will not only fully restore Zimbabwe's deteriorated railway network, but also provide critical logistics support for the country's US$12 billion mining target, while further deepening the strategic presence of Chinese enterprises in Zimbabwe's mining and infrastructure sectors. According to market dynamics, in recent years – and especially since the beginning of this year – lithium ore shipments from Zimbabwe have been persistently delayed at ports, with insufficient inland transport capacity being one of the main bottlenecks hindering smooth cargo arrivals. As the relevant logistics system upgrades are put into effect, this situation is expected to be significantly alleviated, and the transport efficiency of lithium materials will be notably improved, thereby injecting solid momentum into the stabilisation of global lithium supply. Sources: Mining.com , Azure Track Rail, and SMM

In Q2 2026, the traditional peak season for the galvanizing industry fell short of expectations, weighed by sluggish real estate recovery and delayed implementation of local government bonds. Overall operating rates weakened YoY, with only infrastructure and export-related categories showing structural opportunities.

Middle East Air Conditioning Market: Restocking Demand Concentratedly Released as Conflicts Ease. Regional geopolitical conflicts have eased in phases, trade and logistics order has been restored, releasing previously pent-up restocking demand; coupled with the implementation of large-scale infrastructure projects in various countries driving demand for commercial equipment, and the iteration of regional energy efficiency regulations accelerating the replacement of old products, further boosting the growth in import stockpiling.