[SMM Morning Meeting Summary: Dovish Remarks by the US Fed Drove Zinc Prices Higher] Overnight, LME zinc recorded a bullish candlestick, with the 20-day daily average above acting as resistance. Overnight, dovish remarks by the US Fed boosted market sentiment, while LME Cash-3M shifted to a backwardation structure......

In March, China’s composite PMI for aluminum processing registered 65.6%, rebounding strongly above the 50 mark.

On March 27, at the “Forum on Innovative Development of Cross-Border Data Flows” of the 2026 Zhongguancun Forum Annual Conference, CAAM and the Beijing Representative Office of the European Automobile Manufacturers’ Association signed the Memorandum of Understanding on Promoting Cross-Border Automotive Data Flows and Advancing High-Quality Industry Development. Upholding the principles of complementary advantages, resource sharing, mutually reinforcing development, and win-win cooperation, the two sides will strengthen policy exchanges in the field of cross-border automotive data flows, promote innovative applications of digital technologies to empower cross-border automotive data flows, facilitate positive interaction between regulatory authorities and industry stakeholders, and provide automakers with more opportunities for cooperation and development.

[China Iron Ore Brief: Domestic Iron Ore Prices May Have Some Upside Room Next Week] This week, prices in China’s iron ore concentrates market showed mixed performance. By region, prices in Tangshan, Qian'an, Qianxi and other areas of Hebei were raised slightly by 1-5 yuan/mt; prices in Chaoyang, Beipiao, Jianping and other areas of western Liaoning remained relatively stable; east China also saw gains of 15-20 yuan/mt. Looking ahead to next week, domestic iron ore resources were still tight. Demand side, according to SMM

At the "Forum on Innovative Development of Cross-Border Data Flows" of the 2026 Zhongguancun Forum Annual Conference, CAAM and the Beijing Representative Office of the European Automobile Manufacturers' Association signed the Memorandum of Understanding on Promoting Cross-Border Automotive Data Flows and Advancing High-Quality Industry Development

[SMM News Flash] According to reports, based on its operational and strategic development needs, Lizhong Group's second-tier wholly owned subsidiary, Hebei New Lizhong Nonferrous Metals Group Co., Ltd., has established a third-tier wholly owned subsidiary in Thailand. The new company in Thailand will mainly engage in the production and sales of cast aluminum alloy ingot/liquid and other businesses. Lizhong Group stated that, as a core automobile manufacturing and export hub in Southeast Asia, Thailand's ongoing electrification transition continues to drive growth in demand for lightweight materials, with significant location and trade advantages. After the project is put into operation, it will further optimize the company's global security system for secondary aluminum raw material, impro

This week, the weekly operating rate of leading downstream aluminum processing enterprises in China rebounded 1.1 percentage points MoM to 64%.

I. Coal-to-Hydrogen Shandong anthracite transaction range [1,680-1,680], with an average hydrogen cost of [1.61 yuan/m³] Shanxi anthracite transaction range [910-910], with an average hydrogen cost of [1.05 yuan/m³] Hebei anthracite transaction range [1,390-1,390], with an average hydrogen cost of [1.39 yuan/m³] Henan anthracite transaction range [980-980], with an average hydrogen cost of [1.06 yuan/m³] II. Natural Gas-to-Hydrogen Pearl River Delta natural gas transaction range [5,520-5,620], with an average hydrogen cost of [2.62 yuan/m³] Zhejiang natural gas transaction range [5,500-5,850], with an average hydrogen cost of [2.63 yuan/m³] Guangxi natural gas transaction range [5,180-5,610], with an average hydrogen cost of [2.5 yuan/m³] Eastern Guangdong natural gas transaction range [5,500-5,590], with an average hydrogen cost of [2.58 yuan/m³] Henan natural gas transaction range [4,720-4,890], with an average hydrogen cost of [2.31 yuan/m³] Hebei natural gas transaction range [4,720-5,080], with an average hydrogen cost of [2.33 yuan/m³] Hubei natural gas transaction range [4,980-5,350], with an average hydrogen cost of [2.44 yuan/m³] Guizhou natural gas transaction range [4,990-5,720], with an average hydrogen cost of [2.51 yuan/m³] Sichuan natural gas transaction range [4,825-5,125], with an average hydrogen cost of [2.38 yuan/m³] Shanxi natural gas transaction range [4,520-4,880], with an average hydrogen cost of [2.22 yuan/m³] Shandong natural gas transaction range [5,040-5,250], with an average hydrogen cost of [2.44 yuan/m³] Heilongjiang natural gas transaction range [4,810-5,060], with an average hydrogen cost of [2.34 yuan/m³] Inner Mongolia natural gas transaction range [4,560-4,800], with an average hydrogen cost of [2.18 yuan/m³] III. Propane-to-Hydrogen South China propylene oxide transaction range [7,280-7,370], with an average hydrogen cost of [4.11 yuan/m³] East China propylene oxide transaction range [7,100-7,310], with an average hydrogen cost of [4.05 yuan/m³] Northeast China propylene oxide transaction range [5,890-6,310], with an average hydrogen cost of [3.5 yuan/m³] Shandong propylene oxide transaction range [6,960-7,300], with an average hydrogen cost of [4.03 yuan/m³] IV. Hydrogen Production from Methanol The methanol transaction range in east China was [2,800-3,290], and the average hydrogen cost was [2.61 yuan/m³]. The methanol transaction range in central China was [2,780-2,990], and the average hydrogen cost was [2.54 yuan/m³]. The methanol transaction range in north China was [2,360-2,830], and the average hydrogen cost was [2.29 yuan/m³]. The methanol transaction range in south China was [3,310-3,390], and the average hydrogen cost was [2.8 yuan/m³]. The methanol transaction range in northwest China was [1,630-2,630], and the average hydrogen cost was [1.97 yuan/m³]. The methanol transaction range in southwest China was [2,770-3,020], and the average hydrogen cost was [2.55 yuan/m³]. The methanol transaction range in northeast China was [2,770-2,790], and the average hydrogen cost was [2.44 yuan/m³].

As supply and demand for construction steel were not fully matched across different markets, regional supply-demand mismatches created price differentiation, which in turn drove the cross-regional circulation of steel resources. When the regional price spread gradient was appropriate, regions with surplus construction steel capacity and production often shipped excess resources out, thereby rebalancing construction steel resources across regions.

On March 20, the Information Office of the Inner Mongolia Autonomous Region Government held a press conference in the series “Implementing the ‘1571’ Work Deployment and Promoting High-Quality Development in Inner Mongolia,” providing a special briefing on the region’s achievements in green hydrogen industry development, key tasks for 2026, and the 15th Five-Year Plan. It made clear that, by leveraging its advantages in wind and solar power resources, Inner Mongolia will advance the full-chain layout of green hydrogen and continue to lead the nation’s green hydrogen industry. Key Focuses of the Hydrogen Energy Industry in 2026: Building a Pioneer Zone for Green Hydrogen Development In 2026, with the construction of a national pioneer zone for the green hydrogen industry as its core goal, Inner Mongolia will comprehensively advance the large-scale deployment of green hydrogen. It will launch pilot projects for large-scale off-grid hydrogen production, expand application scenarios such as blending green hydrogen into natural gas and coupling with the chemical and metallurgical industries, while simultaneously building green hydrogen industrial parks and broadening channels for the non-power use of green electricity. Within the year, construction will begin on three green hydrogen pipelines, including the Ulanqab–Beijing-Tianjin-Hebei route, to improve the transmission network. At the same time, the region will focus on breakthroughs in hydrogen energy technology, deepen collaboration among industry, academia, research, and application, and advance the implementation of demonstration projects for the first unit (set) of hydrogen energy equipment and collaborative innovation projects integrating wind and solar power, hydrogen, and energy storage, so as to consolidate the industry’s technological foundation. Green Hydrogen Industry Achievements Lead the Nation, with Advantages in Both Scale and Cost Becoming Prominent Inner Mongolia is richly endowed with wind and solar power resources, with technically developable wind and solar power resources exceeding 10 billion kW, accounting for one-quarter of the national total, laying a solid foundation for the green hydrogen industry. At present, multiple industry indicators ranked among the top nationwide. A total of 19 policies covering the entire industry chain of green hydrogen had been introduced; 7 projects were included in national demonstration programs; 8 projects were completed and put into operation, forming annual capacity of 80,000 mt. Green hydrogen production reached 12,694 mt in 2025, surging 3.6 times YoY; production in January and February 2026 was 2,653.6 mt, with production costs at 17-20 yuan/kg, only 60% of the national average. In addition, the country’s first provincial-level green hydrogen pipeline plan had been implemented, and the pipeline network featuring “one trunk line, two loops, and four outlets” was being accelerated. The hydrogen pipeline from Darhan Muminggan Banner to urban Baotou had already been completed, while green hydrogen applications now covered transportation, chemicals, power, and other fields, with the consumer market maturing rapidly. Precise Planning Under the 15th Five-Year Plan to Build a Strong Hydrogen Energy Industry Cluster During the 15th Five-Year Plan period, based on its existing foundation, Inner Mongolia will build a distinctive hydrogen energy industry cluster and focus on advancing four major tasks: scientifically formulate industry plans and reasonably lay out clusters by producing based on sales; tackle core technologies such as off-grid hydrogen production and flexible electrolyzers to raise the industry’s technological level; expand diversified application scenarios, improve business models, and open up the entire chain of production, storage, transportation, refueling, and utilization; accelerate the construction of green hydrogen pipelines within the region and across provinces, reduce transportation costs, comprehensively enhance the competitiveness of the green hydrogen industry, and support the industry in continuing to lead the nation.