[SMM Analysis] China-Indonesia Steel Price Spread Inverted, Overseas Demand Still Shows No Improvement China-Indonesia Price Spread Inversion From the price spread model, the most notable fluctuations are in the China-Indonesia spread. The slab spread has narrowed to zero, billet has even inverted, and HRC prices are also declining markedly. Specifically, according to SMM survey, Indonesian prices weakened sharply. On one hand, clients hold high inventory and are eager to sell at lower prices. On the other hand, due to quota impacts, exports to the EU are hindered, forcing them to cut prices to compete with Asian resources. Data source: SMM Japanese Steel Scrap Under Pressure and Drifting Lower After the Kanto tender weakened, several Japanese mills including Tokyo Steel successively lowered their scrap purchase prices. Last week, the domestic scrap price index lost stability. Although a downward adjustment occurred at end-July, the downtrend is expected to persist. For finished steel, July EXW prices announced by most major mills last week were largely flat. However, on the export front, after the EU implemented new quota policies, challenges for Japan’s steel exports have intensified. Despite strong reactions from Japan, the short-term trade difficulties are hard to reverse, which is expected to force Japanese mills to further adjust production, continuing production cuts. India HRC Shipments to Southeast Asia to Increase Due to Quotas Last week, Indian steel remained under pressure. Mumbai HRC prices fell about $3/mt WoW to $602/mt EXW, with market transaction prices around $571-611/mt. Monsoon weather dampened construction and infrastructure demand. Spot procurement and restocking willingness remained weak, intensifying competition for low-priced resources. On the export side, affected by EU policies and quota adjustments, Indian steel exports to Europe are facing difficulties, prompting mills to adjust their overseas sales strategies. Flows of resources such as HRC to Southeast Asian markets like Vietnam are expected to increase significantly. Given that fundamentals are unlikely to improve before end-July, India’s domestic steel prices are expected to continue their downward drift through end-July. Copyright and Intellectual Property Statement: This report is independently created or compiled by SMM Information & Technology Co., Ltd. (hereinafter referred to as "SMM"), and SMM legally enjoys complete copyright and related intellectual property rights. The copyright, trademark rights, domain name rights, commercial data information property rights, and other related intellectual property rights of all content contained in this report (including but not limited to information, articles, data, charts, pictures, audio, video, logos, advertisements, trademarks, trade names, domain names, layout designs, etc.) are owned or held by SMM or its related right holders. The above rights are strictly protected by relevant laws and regulations of the People's Republic of China, such as the Copyright Law of the People's Republic of China, the Trademark Law of the People's Republic of China, and the Anti-Unfair Competition Law of the People's Republic of China, as well as applicable international treaties. Without prior written authorization from SMM, no institution or individual may: 1. Use all or part of this report in any form (including but not limited to reprinting, modifying, selling, transferring, displaying, translating, compiling, disseminating); 2. Disclose the content of this report to any third party; 3. License or authorize any third party to use the content of this report; 4. For any unauthorized use, SMM will legally pursue the legal responsibilities of the infringer, demanding that they bear legal responsibilities including but not limited to contractual breach liability, returning unjust enrichment, and compensating for direct and indirect economic losses. Data Source Statement: (Except for publicly available information, other data in this report are derived from publicly available information (including but not limited to industry news, seminars, exhibitions, corporate financial reports, brokerage reports, data from the National Bureau of Statistics, customs import and export data, various data published by major associations and institutions, etc.), market exchanges, and comprehensive analysis and reasonable inferences made by the research team based on SMM's internal database models. This information is for reference only and does not constitute decision-making advice. SMM reserves the final interpretation right of the terms in this statement and the right to adjust and modify the content of the statement according to actual circumstances.

The US has surpassed Europe in investment in critical minerals, leaving the latter struggling to shake off its dependence. Citing analysis by the French Institute of International Relations, WSJ reports that over the past five years, the US has invested about $46 billion in critical raw material projects through grants, loans, and tax incentives—eight times the amount invested by the EU. The US is also negotiating prioritized development of mineral resources in countries such as the Democratic Republic of the Congo and Ukraine, while supporting overseas projects through financing plans. WSJ says the US’s aggressive strategy has disrupted Europe’s plans. To secure a loan from the US Export-Import Bank, Pensana, a London-based rare earth developer working on the Longonjo project in Angola, has already moved a processing plant originally planned to be built in the UK to the US.

Korea’s domestic NEV sales rose 22.1% month on month to 93,722 units in June, while combined BEV, HEV and PHEV exports increased 23.3% to 102,551 units. HEVs accounted for about 78% of incremental growth in both markets. BEV volumes also posted double-digit gains, but their share declined as HEVs expanded faster, highlighting a gap between overall vehicle-market recovery and the pace of BEV-led electrification.

South Africa's ports are sending mixed signals for chrome ore and ferrochrome exporters this week. Fresh recognition of Durban's turnaround is running alongside renewed congestion at the terminal level and worsening delays along the road corridors that carry much of the country's bulk mineral cargo to the coast. Durban's turnaround recognized, but queues are lengthening again The Port of Durban, the primary gateway for South African chrome ore and ferrochrome shipments, was recently ranked the world's most-improved port by the World Bank and S&P, with its performance score surging 479 points in 2025. Transnet says its eight commercial seaports handled more than 300 million tonnes of cargo in the 2025/26 financial year, a 9% rise in vessel traffic and the strongest cargo throughput growth since 2011/12. That progress has not stopped local congestion from creeping back up. Published vessel-waiting-time data tracked in early July showed Durban's delay indicator climbing to roughly four days, up from around two days the previous week, while Coega/Ngqura, another route used for bulk exports, held at about five days. Cape Town was separately ranked South Africa's worst-performing port in the same World Bank/S&P assessment that praised Durban. Corridor and border delays offset port-level gains A significant share of South African chrome ore and concentrate is trucked to the coast rather than moved by rail, making inland corridors as important as the ports themselves. A Trademark Africa-commissioned assessment found that Durban's improved performance is not translating into faster end-to-end transit times, because border crossings along the North-South Corridor remain a persistent bottleneck. Average South African border-crossing times deteriorated by roughly 23% week-on-week to about 9.6 hours in early July, even as Lebombo (the main crossing on the Maputo Corridor used for chrome bound for Maputo harbour) saw truck volumes ease slightly and queue times improve. Further north, congestion at the Kasumbalesa crossing into the DRC has cut daily vehicle clearances by more than half, illustrating how regional border capacity, not just port throughput, shapes actual delivery times for African mineral exporters. Investment and reform response South Africa's transport ministry has extended the tenure of Transnet's turnaround board by six months, to January 2027, to allow more time to complete the appointment of a permanent replacement board and continue the state logistics group's recovery plan. Durban Container Terminal Pier 2, the port's largest container terminal, is set for an 11 billion rand investment from Philippines-based ICTSI as part of Transnet's wider push toward private-sector terminal operation. Cape Town has also expanded private participation, with nine of its eleven terminals now privately operated. On the alternative-route side, Maputo has launched Mozambique's first Port Community System, a digital platform intended to connect shipping lines, customs, transporters and other port users on a single system. If effectively implemented, it could strengthen Maputo's position as an alternative export gateway for South African chrome moved via the Maputo Corridor, though officials note the benefit will depend on execution rather than the platform's existence alone. Why it matters for chrome and ferrochrome trade Bottom line: Global rankings point to a genuine Transnet turnaround, but week-to-week congestion data and deteriorating border-crossing times suggest chrome and ferrochrome exporters should still budget for variable lead times, particularly on Maputo Corridor-bound cargo, rather than assume headline port improvements have fully resolved South Africa's export logistics constraints. NOTE: Compiled by SMM Africa (Zambia office) from Business Day, EWC (Exporters Western Cape) Logistics News Update, and Transnet/World Bank-S&P port performance data. Figures reflect the most recently available public reporting as of 22 July 2026 and are subject to change as Transnet and corridor authorities issue updates.

Perovskite solar startup Sofab Inks has raised USD 6 million in seed funding led by Cloudberry Ventures to expand production of its nanostructured materials for perovskite solar cells. The company said its metal-oxide nanoparticle material replaces the conventional C60 fullerene-based layer and is designed to improve durability, a key challenge for commercialization. Sofab said its perovskite cell has achieved 22.3% efficiency in 30-cm single-junction perovskite modules and plans to scale manufacturing for commercial-size 1×2 m modules.

On the evening of July 20, Furih Group Co., Ltd. issued an announcement stating that it plans to acquire 78.80% of the equity of Bosilis (Nanjing) Co., Ltd. for 399.6 million yuan. The transaction has been approved by the second meeting of the ninth board of directors of Furih Group. Upon completion of the transaction, Bosilis (Nanjing) will become a holding subsidiary of Furih Group and will be included in its consolidated financial statements. As of the date of the agreement signing, Bosilis Co., Ltd. holds 78.8% of its equity, while Nanjing Zhongli Enterprise Management Partnership (Limited Partnership) holds 21.2%.

Entering late July, China's tungsten market has overall moved into a phase of stage-based consolidation and repair. Following a sustained deep pullback in tungsten prices, low-priced goods in the market have become hard to find, as upstream mines and supplier traders have been hoarding, holding back from selling, and showing a strong willingness to hold prices firm, while the center of spot order transactions has steadily moved higher. Coupled with the boost to market sentiment from long-term contract purchase quotations by leading tungsten enterprises, transaction activity at the mine and APT ends has recently warmed up. However, constrained by the traditional consumption off-season in the industry, downstream end-use demand has yet to see a marked recovery, leaving the overall market in a structurally split pattern, with upstream raw material prices rebounding as suppliers hold prices firm, while downstream demand remains relatively weak. A Tungsten Enterprise Lowers Long-Term Contract Quotations for the Second Half of July A tungsten enterprise has lowered its long-term contract quotations for the second half of July, as detailed below: According to the long-term contract purchase quotations of a tungsten enterprise in Chongyi for the second half of July, the details are as follows: 1. 55% wolframite concentrates: 411,000 yuan/standard tonne, down by 37,000 yuan/standard tonne from the previous quotation; 2. 55% scheelite concentrates: 410,000 yuan/standard tonne, down by 37,000 yuan/standard tonne from the previous quotation; 3. APT (national standard grade 0): 605,000 yuan/mt, down by 55,000 yuan/mt from the previous quotation. Tungsten Prices Bid Farewell to Declines, Notch Two Consecutive Gains Looking back at the trend in this cycle, after the average price of wolframite concentrates rebounded to the previous high of 527,500 yuan/standard tonne in mid-to-early June, the trend continued to weaken. The core drag factor was the persistently sluggish downstream end-use demand, compounded by the ongoing digestion cycle of raw material inventories after earlier concentrated stockpiling by enterprises, which significantly weakened market price support. Starting from June 17, tungsten prices embarked on an overall weak downward path. Compared to the average price of 527,500 yuan/standard tonne on June 16, the average price of 402,500 yuan/standard tonne on July 17 marked a decline of 125,000 yuan/standard tonne over a period of just over one month, a drop of 23.7%. After the rapid pullback in tungsten prices, stage-based bottom support gradually emerged in the tungsten market. The tightening of upstream goods and rising sentiment of holding back from selling and holding prices firm pushed tungsten prices to stop falling and stabilize, then ushered in a two-consecutive-day rebound. According to SMM quotations, the price of wolframite concentrates (≥65%) on July 21 was 410,000~415,000 yuan/standard tonne, with an average price of 412,500 yuan/standard tonne, up 1.23% from the previous trading day. Currently, low-priced goods on the market are quite scarce, and suppliers have generally ceased offloading at low prices. Coupled with the fact that long-term contract purchase prices from leading tungsten enterprises are higher than mainstream spot transaction prices, this has effectively boosted market confidence, driving spot transaction prices to gradually converge with long-term contract prices. Market Outlook Short term, supported by tightening raw material supply and strong sentiment among suppliers to hold prices firm, the tungsten market will mainly see a slight rebound and consolidation at lows in late July, and the market does not yet have the conditions for a significant reversal. A substantial recovery in the market still hinges on the traditional downstream consumption peak season from August to September, driven by end-user order recovery and the release of concentrated restocking demand to push prices higher. Currently, the industry chain has relatively consistent expectations for the seasonal recovery, and some enterprises may gradually begin advance stockpiling at low prices, which is expected to bring marginal improvement to the tungsten market. At present, the tungsten market is at a critical period of stopping the decline and consolidating at lows, with market recovery focused on the upstream raw material side. The downstream tungsten powder and cemented carbide sectors remain trapped in the traditional consumption off-season, with stable end-user operating rates and scarce new orders. Enterprises generally adopt a just-in-time essential restocking strategy, with no large-scale stockpiling activity, unable to support a significant rise in raw material prices. However, the industry chain has formed a broad consensus on the market recovery after August, and advance stockpiling at low prices in the market is gradually increasing, which is expected to drive the industry chain’s marginal improvement earlier. Markets outside China are affected by the summer holiday, with sluggish trading and high prices but no actual transactions, as prices continue to consolidate at high levels, with very low risk of a sharp decline. The divergent pattern between domestic and overseas markets is expected to persist. Going forward, close attention will be paid to four key variables: first, the pace of supply release from domestic mines and changes in suppliers’ holding firm sentiment; second, the pace of downstream cemented carbide end-user operating rate recovery and the strength of concentrated restocking; third, the market guidance role of APT long-term contract prices; fourth, the circulation volume of recycled tungsten scrap and the procurement release of downstream recycled raw materials. Recommended reading:

According to a July 21 local time report by Nikkei Asia and global battery value chain analysis, Sumitomo Chemical plans to shift to full-scale mass production of halide-based solid electrolyte materials from fiscal 2028. The materials were developed through joint research with Kyoto University and Tottori University.

[SMM Analysis: Expert Opinions Clash – Semi-Solid-State Battery Mass Production Year Begins, All-Solid-State Still Building Momentum] 2026 is widely regarded by the industry as the "mass production year" for semi-solid-state batteries. However, expert opinions on the industrial positioning and time pace of semi-solid-state and all-solid-state batteries are markedly divided. SVOLT Energy Technology Chairman Yang Hongxin and Huang Xuejie from the Institute of Physics, Chinese Academy of Sciences, among others, lean toward the view that "semi-solid-state will be the long-term mainstream," while CATL Chairman Zeng Yuqun and Gotion High-tech Chief Scientist Zhu Xingbao remain cautiously optimistic about all-solid-state batteries from the perspectives of technological maturity and cost.

Japan imposed provisional anti-dumping duties of 3.6%–42.1% on stainless steel from China and Taiwan, effective 9 July through 8 November 2026. The measure covers nickel-based cold-rolled coil, sheet and strip. The provisional duties follow an investigation into alleged dumping injuring Japan's domestic stainless producers. The action adds to a widening set of ex-China trade measures targeting stainless flat products across Asia. Final determination timing will follow the provisional period. The enforcement date (9 July) sits just outside the strict 7-day window but is included as a material recent trade measure.