As the inaugural year of the "15th Five-Year Plan," 2026 sees the zinc industry undergoing profound transformation against a backdrop of intensifying global macro fluctuations and the deepening of China's high-quality development initiatives. Structural tension has emerged between tight ore supply and the release of smelting capacity; diverging inventory trends inside and outside China reflect a complex supply-demand rebalancing; and technological innovation has become a key driver for resolving bottlenecks and reshaping the competitive landscape. New energy, new-type infrastructure, and other key areas highlighted in the 15th Five-Year Plan are injecting fresh momentum into traditional zinc consumption. Meanwhile, green, low-carbon, and circular economy imperatives, propelled by technological innovation, are accelerating the restructuring of the industry's underlying logic. With the collective support of upstream and downstream enterprises across the zinc industry, industry associations, and relevant stakeholders, SMM 2026 Zinc Industry Conference —held jointly with the 8th Hot-Dip Galvanizing Industry Development and Technology Innovation Forum, the 14th Zinc Salt, Zinc Oxide, and Secondary Zinc Resource Development Forum, and the Foundry Zinc Alloy Development Forum—is about to convene from August 6 to 8 in Qingdao, Shandong. Under the theme "Converging Zinc Momentum, Building the Zinc Industry, Embarking on a New Journey," the conference is driven by the twin engines of macro perspectives and fundamental analysis. Adhering closely to the high-quality development thread of the 15th Five-Year Plan, it focuses on four key dimensions—macro policies, supply-demand patterns, global trade, and technological innovation—aiming to drive cost reduction and efficiency gains through technological breakthroughs, address market volatility through collaborative innovation, and jointly chart a new blueprint for the high-quality, sustainable development of the zinc industry. Weifang Longda Zinc Industry Co., Ltd. will be prominently attending this grand event, joining industry peers to explore development trends and jointly propel the zinc industry to new heights. Click to register now and attend this profoundly significant and far-reaching industry event, joining us in creating a brilliant new chapter! I. Indonesia Plant Location: Kawasan Industri Modern Cikande, Modern Industrial Road, Block W, Number 3, Kecamatan Kibin, Kabupaten Serang, Provinsi Banten. Phase 1 of the base focuses on the production of multiple zinc products, including zinc oxide, zinc alloy, and zinc ingot. Among them, zinc oxide capacity reaches 60,000 mt/year, with commissioning and trial operation scheduled for October 2026. Zinc alloy and zinc ingot production lines are concurrently being established to enhance product supply capabilities. The primary output will be indirect process zinc oxide, ISCC PLUS-certified recycled zinc oxide, and national-standard zinc alloy and zinc ingot, supporting the company's expansion into global markets and extending its global green capacity footprint. II. Vietnam Plant Location: Phuoc Long Industrial Zone, Street No. 1, My An Commune, Tay Ninh Province. The base is being developed in multiple phases. The zinc alloy and zinc ingot project has already commenced operations, with a capacity of 20,000 mt/year. Phase 2 plans for a zinc oxide capacity of 30,000 mt/year, which is expected to be realized in Q1 2027, fully covering the production of all categories—zinc alloy, zinc ingot, and zinc oxide—to complete the overseas product matrix. 3. Two Major Production Sites in China (Integrated Layout) Leveraging profound technical expertise, Longda Zinc Industry’s plant focuses on the production of indirect process zinc oxide and ISCC PLUS certified recycled zinc oxide, with an annual capacity of 60,000 mt. Renowned for consistent quality and excellent performance, its products are widely used in various industrial fields such as rubber tires, paints and coatings, and ceramics, meeting both the demands of traditional industrial production and the stringent standards of high-end manufacturing. The company has built a reliable brand image in the market and, as a participant in standard-setting, contributes practical experience to the industry’s standardized development. Longda New Materials specializes in the resource recovery of zinc-containing solid waste, equipped with mature production processes and a comprehensive supporting system. The site can handle 3 categories of general industrial solid waste containing zinc (hot-dip galvanizing slag, hot-dip silicon-aluminum-zinc slag, tire pyrolysis slag, etc.) and 11 categories of hazardous waste containing zinc (hot-dip galvanizing ash, steel mill ash, steel cord copper mud, etc.), with an annual disposal capacity of 260 kt. Through advanced resource recovery processes, various zinc-containing wastes are harmlessly and efficiently transformed into zinc ingots meeting national standards and zinc alloy products. This model addresses industrial solid waste pollution at the source, reduces reliance on primary ores, and achieves the recycling of zinc resources. Once all four production sites in and outside China are fully operational, the company will achieve scale advantages with an annual capacity of 150 kt for zinc oxide, 100 kt for zinc ingot and zinc alloy, and a stable disposal capacity of 260 kt/year for solid and hazardous waste, further consolidating its industry position in zinc product manufacturing and resource recycling. Contact Yang Wenxue 18053607877 sales@wflongda.com Long-press or scan the code to register now 2026 SMM Zinc Industry Conference

[SMM Analysis] In H1 2026, the core conflict in the LFP cathode material market was not just a simple shift in the supply-demand relationship, but rather a profound tussle involving the top-down transmission of cost pressure and the reshaping of the benefit distribution pattern across the industry chain.

2026 marks the first year of the 15th Five-Year Plan. Against a backdrop of intensifying global macro volatility and deepening high-quality development in China, the zinc industry is undergoing profound changes: tightness at the mine end and the release of smelting capacity create structural tension, the divergence between domestic and overseas inventories reflects the complex dynamics of supply-demand rebalancing, and technological innovation is becoming a key driving force for resolving contradictions and reshaping the landscape. New energy, new-type infrastructure, and other key areas under the 15th Five-Year Plan are injecting new momentum into traditional zinc consumption, while green, low-carbon, and circular economy principles, driven by technological innovation, are accelerating the restructuring of industrial logic. With the joint support of upstream and downstream zinc industry enterprises, industry associations, and various stakeholders, SMM’s 2026 SMM Zinc Conference and the 8th Hot-Dip Galvanizing Industry Development and Technology Innovation Forum, the 14th Zinc Salt, Zinc Oxide, and Zinc Secondary Resources Development Forum, and the Foundry Zinc Alloy Development Forum is about to be held in Qingdao, Shandong, on August 6-8. Under the theme “Gather Zinc Momentum · Build the Zinc Industry · Embark on a New Journey,” the conference is driven by both macro perspectives and fundamental analysis. It closely follows the main thread of high-quality development during the 15th Five-Year Plan period, focusing on four key dimensions—macro policies, supply-demand patterns, global trade, and technological innovation. By using technological breakthroughs to drive cost reduction and efficiency improvement and leveraging collaborative innovation to address market fluctuations, participants will jointly paint a new blueprint for the high-quality and sustainable development of the zinc industry.‌ Hubei Xinyujing Environmental Protection Technology Co., Ltd. will make a grand appearance at this event, working with industry peers to explore development trends and jointly advance the zinc industry to new heights. Click the to sign up now and attend the conference, and together witness and participate in this significant and far-reaching industry event to create a brilliant new chapter! New-Generation HG High-Efficiency Environmentally Friendly Pickling Additive The company is a national high-tech enterprise, a national technology-based SME, a national “3.15” quality, service, and customer satisfaction integrity enterprise, and a national AAA-level creditworthy unit. It serves as deputy director member unit of the Hot-Dip Committee of the Chinese Society for Corrosion and Protection, vice chairman unit of the Hot-Dip Branch of the China Surface Engineering Association, a member of the Asia Pacific Galvanizing Association, vice president unit of the Chengdu Surface Engineering Association, and a member of the Green Low-Carbon City Construction Industry Alliance. Over the past 24 years, the company has made outstanding contributions to advancing pickling technology, reducing consumption and emissions, and protecting the environment in China, and has won numerous awards. Chairman Wang Jianguo was honored with the China Galvanizing Industry Outstanding Contribution Award. The HG High-Efficiency Environmentally Friendly Pickling Additive ranks first in reputation and market share in China, serving over 600 clients across various industries both domestically and overseas, and is exported to Taiwan, Malaysia, Thailand, the Philippines, Indonesia, Vietnam, and other Southeast Asian regions. It is the leading brand of acid pickling additive products in China. In response to the current new market environment demands, our products embody 24 years of accumulated expertise, featuring all-new formulations, all-new effects, a complete upgrade, lower dosage, better performance, and the best overall benefits! They also achieve customized requirements tailored to different industries and processes, creating products suited to various user needs. At the same time, we have developed a product series suitable for different industries using acid pickling processes. ◆ Contact Information ◆ Head Office Address: No. 77 Chuangye Road, Wuhan Economic and Technological Development Zone Production Address: No. 19 Xingsheng Road, Macheng Industrial Park, High-tech Zone, Jingmen City, Hubei Province Fax: 027-84259483 Tel: 027-84259589 Mobile: 1370-7193886 E-mail: whxxkj@163.com Official Website: www.027xxkj.com www.whxxkj.cn Long press to scan the code and register now 2026 SMM Zinc Industry Conference

IIn June 2026, POSCO held a completion ceremony for its Electric Arc Furnace (EAF) at the Gwangyang steelworks on South Korea's southern coast, approximately 360 kilometers from Seoul, and has initiated the full-scale production of low-carbon steel. With an annual designed capacity of 2.5 million tons , this EAF is the largest single facility of its kind in South Korea. This marks POSCO's first large-scale upstream steelmaking investment in over two decades, signaling the beginning of a structural adjustment to its blast furnace-centric production system. Against the backdrop of the EU's Carbon Border Adjustment Mechanism (CBAM) entering its definitive payment stage and the tightening of Phase 4 of the Korea Emissions Trading Scheme (K-ETS), the strategic significance of this project outweighs the sheer capacity itself. Project Details & Commissioning Timeline The special significance of this project lies in its time span: since the blow-in of Blast Furnace No. 5 at the Gwangyang plant in April 2000, POSCO had not invested in major upstream steelmaking capacity for over 20 years. This pivot to EAFs represents the first directional shift in its blast furnace-centric hot metal production system in half a century. Regarding technical configuration, the EAF primarily utilizes steel scrap as its raw material, substituting the traditional iron ore-coke reduction route of the blast furnace through scrap melting. This shift achieves up to 75% CO2 emission reductions compared to traditional blast furnaces. The core equipment is supplied by Italy's Tenova, featuring the Consteel continuous scrap charging system and the Consterrer electromagnetic stirring system. POSCO also utilizes the off-gas generated during EAF operations to preheat the scrap, thereby enhancing energy efficiency. The completion ceremony was attended by South Korean Prime Minister Kim Min-seok and POSCO Group Chairman Jang In-hwa. Key Timeline Market Impact Post-Commissioning In the short term, the direct market impact of this EAF is relatively mild; its value is predominantly structural and strategic. This can be analyzed through three key threads: raw materials, products, and regulations. Scrap Market — Gradual demand release, but with a cautious pace: In the initial stage of commissioning, POSCO plans to primarily consume internally generated scrap at the Gwangyang plant, keeping external purchases limited; the company estimates external scrap purchases in 2026 to be approximately 2 million tons . Because the green steel market has grown slower than previously expected, scrap consumption in the short term may remain relatively restrained. This means the EAF's upward pull on South Korean and regional scrap prices will be gradual, rather than causing a significant demand spike in the year of commissioning. Entering High-End Flat Products via Hot Metal Blending: POSCO's differentiated approach relies on "hot metal blending" technology, which mixes and refines molten steel from the EAF with hot metal from the blast furnace to lower carbon emissions while maintaining the steel quality required for high-end products. The company has designated high-grade EAF steel as one of its eight strategic products and established an integrated R&D, production, and sales project team, aiming to mass-produce automotive sheets and electrical steel by 2030. This directly addresses the growing demand for low-carbon steel from downstream automotive and electrical clients, distinguishing POSCO's EAF route from ordinary long-product EAF capacities. Regulation & Competition — Low-carbon capacity as a hedge for export competitiveness: The timing of the commissioning is highly aligned with tightening global regulations. The EU CBAM entered its definitive stage on January 1, 2026, requiring imported steel to incur fees for its embodied carbon emissions. This obligation ratio will increase annually from about 2.5% in 2026 to 100% by 2034 (corresponding to the synchronized phase-out of free allowances within the EU). For export-oriented South Korean steelmakers, low-carbon capacity acts as a hedging tool to maintain competitiveness in the European market. Overall, the Gwangyang EAF will not significantly alter POSCO's production volume structure or overall carbon footprint in its first year— 2.5 million tons represents a limited share relative to its total crude steel production. Its true significance lies in establishing a low-carbon product line and corresponding client relationships ahead of the commercialization of hydrogen-reduction steelmaking. It is a layout where the "option value" exceeds the "current capacity value." Global Steel Decarbonization Background The steel industry accounts for approximately 7%–9% of global CO2 emissions (World Steel Association data), making it one of the hardest-to-abate heavy industries. The root of the emission disparities lies in the steelmaking routes: the traditional Blast Furnace-Basic Oxygen Furnace (BF-BOF) process relies on coking coal as energy and a reducing agent, making it the most carbon-intensive route; whereas the Scrap-EAF route relies primarily on electricity, making it the most mature route with the lowest carbon intensity. However, the practical constraint on route transition lies in the existing capacity structure. Within global crude steel production, the BF-BOF route still accounts for roughly 72% ; scrap-based EAF accounts for about 21% , with the remainder being Direct Reduced Iron-EAF (DRI-EAF) and other routes. China, accounting for over half of global production with a nearly 90% blast furnace share, has become the critical variable determining the pace of global steel decarbonization. Targeting the 2050 net-zero goal, mainstream pathways require the production structure to significantly tilt toward EAFs and hydrogen-based direct reduction. Yet, the transition is bottlenecked by a triple constraint: the supply and availability of high-quality scrap, the scaling up of green electricity, and the cost premium of low-carbon steel over traditional products. POSCO's "two-step" arrangement—using EAF as a transition and HyREX hydrogen reduction as the endgame—is a quintessential choice within this global landscape. South Korean Steelmakers' Decarbonization Efforts The decarbonization of the South Korean steel industry is not a solo endeavor by a single enterprise. As early as February 2021, six South Korean steelmakers, including POSCO and Hyundai Steel, jointly issued a 2050 Carbon Neutrality Declaration and established the "Green Steel Committee," comprising industry, academia, research institutions, and government departments. Since then, driven by the dual pressures of policy constraints (K-ETS Phase 4, South Korea's Nationally Determined Contributions - NDC) and external forces (CBAM), each company has formed decarbonization layouts with similar trajectories but different focuses. The common logic for both companies is clear: currently employing "transitional technologies" such as EAFs and hot metal blending to reduce the carbon footprint of products, introducing hydrogen-based direct reduction around 2030, and targeting 2050 for a full transition. The differences lie in their entry points—POSCO is betting on its self-developed HyREX as the core for the hydrogen metallurgy endgame, whereas Hyundai Steel, under its Hy-Cube brand, aims to commercialize high-end flat EAF products (like automotive sheets) much earlier. The commissioning of the Gwangyang EAF is precisely a quantifiable, deliverable milestone in this overarching transition process.

On the morning of June 30, the 20,000 mt aluminum foil capacity expansion project of Luoyang Wanji Aluminum Processing Co., Ltd. reached a key construction period. The No. 5 and No. 6 aluminum foil rolling mills successfully completed strip threading and trial runs, with all equipment operating parameters stable and commissioning results meeting standards, marking the project’s official entry into the trial production stage. The project involves a total investment of about 200 million yuan and is equipped with two 2,000 mm four-high aluminum foil rolling mills, two 2,000 mm vertical slitting machines, one intelligent digital roll grinder, ten aluminum foil annealing furnaces, and a complete full-oil recovery system, among other intelligent supporting equipment. The overall software and hardware configuration fully achieves digital and intelligent upgrades. After completion and reaching full production, the project will add 20,000 mt per year of high-end aluminum foil capacity, bringing the company’s total aluminum foil capacity to over 50,000 mt.

In November, Chengdu will once again capture global attention. The 9th China International Photovoltaic and Energy Storage Industry Conference 2026 will be grandly held in Chengdu, China, from November 17 to 20. The conference’s brand-new theme, “Integration of PV+ESS, Co-building of Ecology, and Chain-powered Future,” has been officially announced. This new theme not only represents an iterative upgrade of the conference’s philosophy, but also serves as a declaration of the times for China’s PV+ESS industry as it anchors its direction, pools its strength, and advances toward high-quality development. At present, the global push toward the dual carbon goals continues to deepen, and the energy transition is accelerating. Based on the broader industry development trends, the conference takes the theme as its core thread, focusing on three key areas: the integrated development of PV+ESS, industrial ecosystem synergy, and value mining across the entire industry chain. It will build a high-end platform for global exchange and cooperation, technological collisions, and resource matchmaking. Let us delve into the core theme of this conference and explore how this global grand event for the PV+ESS industry will lead the sector to breakthrough upgrades and steer it toward a brand-new future.