Pakistan's energy transition is being drastically mismeasured due to unrecorded distributed solar deployments, reports think tank Renewables First. While official data shows only 6.8 GW of net-metering, estimates suggest the distributed market exceeded 24 GW by mid-2025. With total module imports now reaching 51.5 GW, this consumer-led 'quiet reorientation' could generate 1,730 TWh and save the country $180 billion in fossil fuel imports over the modules' lifetime, urging an immediate update to official energy accounting.

Ouyang Minggao pointed out that large-scale mass production of all-solid-state batteries will still require 3–5 years, with test vehicles expected to appear by the end of 2026. Sulphide electrolyte has fallen from 20 million/mt to the million-level range. However, he stressed that the technical difficulty is extremely high and advised consumers that they “need not wait,” as LFP batteries remain the “ballast stone” at present.

On Tuesday this week, the two-day annual central bank conference, hosted by the Bank of Japan and its affiliated think tank, commenced at the Bank of Japan's headquarters in Tokyo. Neel Kashkari, President of the Federal Reserve Bank of Minneapolis in the US, stated at the conference that, in the face of inflation risks stemming from Trump's tariff policies, there are differing views within the US Fed on how interest rates should change. Kashkari said he personally prefers to temporarily maintain stable interest rates until the impact of tariff hikes on inflation becomes clearer. He also warned against overlooking the impact of Trump's tariffs on global supply price shocks. A debate is underway within the US Fed. Kashkari noted that the global economic shocks from Trump's across-the-board tariff impositions, along with the uncertainty surrounding US trade policies, are compelling central banks worldwide to seriously consider whether they should prioritize combating inflation or supporting economic activity. He stated that a "healthy debate" is currently taking place within the US Fed : some Fed officials are calling for the impact of tariffs to be viewed as a temporary inflationary shock, and thus, priority should be given to supporting economic growth through interest rate cuts. Others, however, oppose this perspective on tariff-induced inflation, arguing that US trade negotiations are unlikely to be resolved soon, and their medium and long-term impacts may remain unclear. Therefore, a more cautious approach should be taken with monetary policy tools—a stance he aligns himself with. He said, "The (trade) negotiations may take several months or even years to fully conclude. As the US and its trading partners take reciprocal responsive measures, there may be a tit-for-tat escalation of tariffs." He added that the full impact of tariffs on intermediate goods would take some time to filter through to final prices. Kashkari expressed concern about how long long-term inflation expectations could avoid becoming unanchored, given that the US inflation rate has far exceeded the Fed's 2% target for four years. "These arguments support maintaining the stance of policy rates—currently possibly moderately restrictive—until the path of tariffs and their impact on prices and economic activity become clearer," Kashkari said. "Personally, I find these arguments more compelling because I place great importance on safeguarding long-term inflation expectations." Since last December, the US Fed has kept its policy rate unchanged at 4.25%-4.50%. After Trump took office in January this year, as officials found it increasingly difficult to estimate the impact of Trump's policies, particularly his tariff policies, the path forward for the US Fed's monetary policy also seemed increasingly shrouded in uncertainty.

Every year, among the global central banks' event calendars, the Jackson Hole Economic Symposium hosted by the US Fed and the Sintra Forum (ECB Forum on Central Banking) hosted by the European Central Bank (ECB) have consistently been the two most closely watched events. However, few may be aware that in Japan, a similar high-profile central banking event is now held annually... On Tuesday, the two-day annual central banking conference, hosted by the Bank of Japan (BOJ) and its affiliated think tank, commenced at the BOJ headquarters in Tokyo. Despite lacking hiking trails and scenic countryside views, this central banking event is still hailed by industry insiders as Japan's version of the "Jackson Hole Economic Symposium." Participants include renowned scholars from the US, Europe, and Asia, along with officials from the US Fed, ECB, Bank of Canada, and Reserve Bank of Australia, including the Fed's third-in-command, John C. Williams, President of the Federal Reserve Bank of New York. Industry insiders suggest that this year's global central banking symposium in Tokyo may focus on two troubling realities: sluggish economic growth and persistent inflation. Although most speeches are academic in nature and closed to the media, the theme of this year's conference is "New Challenges for Monetary Policy," and these "new challenges" are undoubtedly well-known to insiders: How should central banks respond to stubbornly high inflation, downside economic risks, market volatility, and US tariffs... These conflicting headwinds are largely caused by the policies of US President Donald Trump, and the uncertainty of the outlook is putting many central banks in a difficult position, regardless of whether they are planning to raise or cut interest rates. For example, the BOJ, as the "host," is still insisting on continuing to raise interest rates and steadily scaling back its bond-buying program, which stands in stark contrast to other peers globally that are cutting interest rates. However, recent global developments have raised questions about such tightening measures. What will be discussed at this year's conference? At last year's conference, participants summarized the gains and losses of responding to economic recessions by discussing lessons learned from using various unconventional monetary easing tools. The conference also explored whether Japan—the "outlier" that maintained ultra-low interest rates while other major central banks aggressively raised rates—could emerge from decades of deflation and low inflation with the help of nascent and sustained wage growth. This year, although central bankers' concerns may primarily focus on tariff-induced economic recessions, the conference's agenda indicates that policymakers remain highly sensitive to the risk of falling into a prolonged period of excessively high inflation. According to the meeting agenda seen by industry insiders, one of the parallel sessions will focus on "reserve requirements, interest rate control, and quantitative tightening." Another session will discuss a paper published by the International Monetary Fund (IMF) in December last year titled "Monetary Policy and Inflation Scare." The paper explains how significant supply shocks, such as those caused by the COVID-19 pandemic, can lead to persistent inflation and warns that central banks may face risks if they believe cost-push price pressures can be ignored. "Better to be 'slow' than to 'make a mistake.'" This warning holds implications for major central banks currently facing similar dilemmas—a situation exacerbated by global trade wars and Trump's erratic trade policies. The US Fed was initially expected to implement multiple interest rate cuts this year, but as the risk of inflation rising due to Trump's tariffs intensifies, the Fed has been forced into a wait-and-see mode. Meanwhile, according to industry insiders' interactions with European Central Bank (ECB) policymakers, although the ECB is expected to cut interest rates again in June, the rationale for pausing action is strengthening as inflation challenges emerge. "Tariffs may curb inflation in the short term but pose upside risks in the medium term," Isabel Schnabel, an ECB Executive Board member and a prominent hawk, explicitly called for a pause in interest rate cuts at a conference at Stanford University on May 9. Meanwhile, Japan, currently in a tightening cycle, is also facing the challenge of balancing domestic inflationary pressures with the downside risks to economic growth posed by US tariffs. Trump's tariffs have forced the Bank of Japan (BOJ) to sharply lower its economic growth forecast on May 1 and hint at a pause in its interest rate hiking cycle—currently, the short-term interest rate remains at a low of 0.5%. Despite this, BOJ Governor Kazuo Ueda has signaled readiness to resume interest rate hikes if underlying inflation continues to stabilize toward the 2% target. Japan's core consumer inflation rate hit a two-year high of 3.5% in April, with food prices surging 7%, indicating the pressure rising living costs are placing on Japanese households. Nobuyasu Atago, a former BOJ official and now chief economist at Rakuten Securities Economic Research Institute, stated that it is evident that the BOJ has failed to fulfill its mission of price stability. Inflation will remain one of the BOJ's concerns, and the BOJ may already be lagging in addressing domestic price pressures. As of press time, Kazuo Ueda, Governor of the Bank of Japan, had delivered a keynote speech at the opening event of the annual meeting, stating that the degree of monetary easing would be adjusted as needed. The US dollar fell sharply against the Japanese yen by over 30 pips in the short term. Subsequently, Agustin Carstens, General Manager of the Bank for International Settlements, was also scheduled to deliver a speech, which investors should continue to monitor.

►Former ST Pawa Helmsman Reappointed, Aims to Turn Losses Around by 2025 ►1.056 Billion Yuan: Hainan Mining's 20,000 mt Battery-Grade Lithium Hydroxide Project Commences Production ►Annual Processing Capacity of 100,000 mt: Lianyungang, Jiangsu Lithium Battery Vein Industrial Park Project Signs Contracts ►3.2 Billion Yuan, 300,000 mt: Besky Battery Recycling Base Officially Launched in Huaian, Jiangsu ►Approximately 1.3231 Million mt: CATL Issues Major LFP Order ►5 Billion Yuan: CORNEX New Energy Signs Five-Year Procurement Agreement

China Automotive Engineering Research Institute Co., Ltd. (CAERI) and Yingwang Sign Strategic Cooperation Agreement; Night Session SHFE Tin Prices Fluctuate Upward [SMM Tin Morning News] Macro: (1) Cui Dongshu, Secretary General of the China Passenger Car Association (CPCA): From January to April, China's automobile exports reached 2.16 million units, with a YoY growth rate of 15%. (Bullish ★) (2) CAERI and Yingwang signed a strategic cooperation agreement, covering areas such as think tank construction and digital model development. (Bullish ★) (3) Moody's maintains China's sovereign credit rating; Ministry of Finance: A positive reflection of the country's promising economic outlook. (Bullish ★) (4) Tariffs - ① The fourth round of tariff negotiations between Japan and the US is scheduled to take place on the 30th. The Japanese government plans to utilize 900 billion yen in national funds to mitigate the impact of US tariffs. ② EU: In negotiations with the US, the EU's proposal of "zero tariffs for zero tariffs" remains on the table; it is reported that the EU plans to accelerate negotiations with the US. ③ South Africa proposes to purchase US liquefied natural gas (LNG) to reach a trade agreement. (Neutral)

According to media reports, the US Department of Commerce has made a preliminary ruling that there are subsidies for key battery components in China, believing that Chinese producers of active anode materials have received substantial government subsidies, paving the way for the subsequent imposition of countervailing duties.

The Guangzhou Nansha Free Trade Zone (FTZ) is once again benefiting from favorable policies as it marks its 10th anniversary. On May 12, the People's Bank of China (PBOC), the National Financial Regulatory Administration (NFRA), the China Securities Regulatory Commission (CSRC), the State Administration of Foreign Exchange (SAFE), and the People's Government of Guangdong Province jointly issued the "Opinions on Financial Support for Deepening Comprehensive Cooperation between Guangzhou Nansha and the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) Facing the World" (hereinafter referred to as the "30 Measures for Nansha Finance"). Centering on aspects such as financial market interconnection, cross-border financial innovation and exchanges, and the improvement of financial regulatory mechanisms, the PBOC and the other four departments proposed six key tasks and 30 specific measures. The 30 Measures for Nansha Finance also require that, by increasing financial support for Nansha's construction, the role of Nansha as a driving force for the high-quality development of the GBA should be further strengthened, transforming Nansha into a pilot demonstration window for China's financial sector opening up to the outside world, a carrier zone for financial innovation functions, and an important node in the international financial hub of the GBA. Since its establishment in 2015, the Nansha FTZ has, over the past decade, focused on institutional innovation and actively promoted reforms and innovations in various fields such as trade, shipping, investment, finance, and technology. Amidst the new round of development opportunities under the strategy to upgrade the FTZ, the Nansha FTZ is once again reaping policy dividends. From the perspective of key words, the six major financial tasks can be summarized by innovation, characteristics, openness (including interconnection), and supervision. Key Word 1: The term "innovation" is mentioned 19 times, running through the five key tasks. In the full text of the "30 Measures for Nansha Finance," the term "innovation" is mentioned 19 times, running through the five key tasks, highlighting its significance. Innovating financial support for industrial development ranks first. The "30 Measures for Nansha Finance" requires the improvement of financial services for innovation and entrepreneurship, supporting the construction of a cooperation base for technological innovation industries, including supporting the development of technological innovation industries, high-end manufacturing industries, digital industries, marine industries, and future-oriented industries, as well as supporting youth innovation and entrepreneurship. In the field of social and people's livelihoods, the "30 Measures for Nansha Finance" calls for the steady promotion of innovative applications of the digital yuan and encourages financial institutions to participate in the construction of the multilateral central bank digital currency bridge. In terms of serving characteristic financial services, this includes innovating green financial services that support low-carbon development. It encourages the Guangzhou Futures Exchange (GFEX) to actively explore power futures and refine and deepen the new energy futures product system. It also calls for strengthening the construction of enterprise carbon accounts and carbon accounting capability mechanisms, and supporting financial institutions in providing differentiated financial services based on enterprise carbon accounts. The "30 Measures for Nansha Finance" also calls for accelerating the development of shipping insurance, innovating shipping insurance products, and serving the construction of the GBA; innovating and developing international leasing and factoring businesses, encouraging Nansha to increase policy support, and supporting the development of leasing in areas such as aircraft, ships, and large-scale equipment, thereby forming a leasing industry hub with international competitiveness. Innovation is also reflected in opening up to the outside world. The "30 Measures for Nansha Finance" call for promoting innovation in cross-border RMB business and facilitating RMB settlement for trade and investment at a higher level. In terms of regulatory innovation, it is necessary to explore innovation and cooperation in financial supervision, establish an innovative financial supervision mechanism tailored to the development of Nansha, and ensure that risk prevention and control align with financial reform and innovation. Efforts should be made to vigorously develop regulatory technology for financial supervision, enhancing the uniformity, professionalism, and penetrability of financial technology supervision. Key Word 2: Opening Up, Multiple Asset Management Licenses Expected to be Liberated As the geographical and geometric center of the Guangdong-Hong Kong-Macao Greater Bay Area, Nansha plays a pivotal role in advancing the interconnection and opening up of the financial markets in the region. The "30 Measures for Nansha Finance" also focus on this aspect, proposing more pilot initiatives. The "30 Measures for Nansha Finance" propose exploring capital settlement policies suitable for the construction and development of the Guangdong-Hong Kong-Macao Greater Bay Area, establishing trading rules for futures and spot markets that facilitate internal and external linkages, formulating trading rules that facilitate cross-border insurance business, and establishing institutional arrangements that facilitate cross-border equity investment business. In the "30 Measures for Nansha Finance," regulatory authorities also signaled support for issuing new licenses to financial and asset management institutions such as banks, public funds, securities firms, and futures companies, which is one of the highlights of opening up to the outside world. Specifically, firstly, accelerate the construction of the Cross-border Asset Management Center in the Guangdong-Hong Kong-Macao Greater Bay Area (Guangzhou Nansha). Support eligible high-quality securities firms in obtaining public fund qualifications through new establishments or mergers and acquisitions. Vigorously develop the public fund investment advisory business. Encourage multinational corporations to establish headquarters-type institutions such as global or regional fund management centers in Nansha. Steadily carry out pilot programs for the "Cross-border Wealth Management Connect" business. Secondly, expand the opening up of the financial sector to the outside world. Actively study and expedite the establishment of an international commercial bank in the Guangdong-Hong Kong-Macao Greater Bay Area. Actively introduce diversified investment institutions such as sovereign wealth funds, family offices, and venture capital firms. Support eligible Hong Kong and Macao investors in applying to establish securities firms and fund companies in accordance with the law, and participate in or hold shares in domestic futures companies. Build high-standard platforms such as the Nansha International Financial Island, the Mingzhu Financial Innovation Cluster, and the Futures Industrial Park to provide space for cross-border operations of Hong Kong and Macao financial institutions. In addition, in terms of building a high-level gateway to the outside world, the "30 Measures for Nansha Finance" propose promoting innovation in cross-border RMB business, improving the management mechanism for cross-border trade and investment and financing, accelerating the construction of a comprehensive service base for the joint construction of the "Belt and Road Initiative," establishing a new platform for international exchanges in the financial sector, and exploring institutional opening up in the financial sector. Key Word 3: Developing characteristic financial services and improving the modern financial industry Characteristic financial services account for five of the 30 measures outlined in the "30 Measures for Nansha Finance". In addition to accelerating the construction of the cross-border asset management center in the Guangdong-Hong Kong-Macao Greater Bay Area (Nansha, Guangzhou), it also proposes new ideas for green finance, digital finance, shipping finance, and international leasing and factoring businesses. In terms of specific measures, for the green finance business that innovatively serves low-carbon development, the Guangzhou Futures Exchange (GFEX) is encouraged to actively explore power futures and refine and deepen the new energy futures product system. Strengthen the construction of corporate carbon account and carbon accounting capability mechanisms, and support financial institutions in providing differentiated financial services based on corporate carbon accounts. Promote sustainable information disclosure by enterprises and financial institutions in accordance with the latest standards. Support the development of green buildings. Encourage qualified enterprises to issue green and sustainable bonds in Hong Kong and Macao. In developing digital finance businesses, the law supports the development of generative AI large models and their applications in the financial sector, actively carrying out intelligent financial services such as intelligent credit, intelligent investment R&D, and intelligent risk control. Establish a think tank for digital finance development research, and support enterprises and financial institutions in conducting cross-border cooperation on digital finance projects. In developing shipping finance businesses that serve the construction of an international shipping hub, guide and encourage shipping enterprises to use RMB for pricing and settlement of international ocean freight rates. Accelerate the development of shipping insurance, innovate shipping insurance products, and serve the construction of the Guangdong-Hong Kong-Macao Greater Bay Area. Relying on existing trading venues, collaborate with Hong Kong and Macao to carry out shipping transactions, and support financial institutions in providing efficient and convenient financial services such as capital settlement, custody, and financing for shipping enterprises. Finally, in innovating and developing international leasing and factoring businesses, support qualified commercial factoring companies in exploring and developing international factoring businesses in compliance with laws and regulations. In addition, encourage Nansha to increase policy support for the development of leasing in areas such as aircraft, ships, and large equipment, forming a leasing industry hub with international competitiveness. Key Word 4: Regulation cannot be absent While pursuing innovative development, regulation cannot be absent. The 30 Measures for Nansha Finance also put forward requirements in four aspects: financial regulatory orientation, innovative cooperation, risk prevention, and legal safeguards. The "30 Measures for Nansha Finance" emphasize the importance of improving the financial regulatory mechanism and make comprehensive requirements, from comprehensively strengthening financial regulation, exploring innovation and cooperation in financial regulation, strengthening financial risk prevention, to strengthening legal safeguards for finance. Adhere to the principle that whoever oversees an industry must also manage its risks. The "30 Measures for Nansha Finance" point out that, firstly, financial regulation must be comprehensively strengthened, with enhanced coordination between central and local regulators. For local financial organizations, institutional, behavioral, functional, penetrating, and continuous supervision must be implemented, adhering to the principle of regulating both legal and illegal activities to ensure that there are no gaps, blind spots, or exceptions in financial regulation. Second, explore innovation and cooperation in financial supervision. Establish an innovative financial supervision mechanism tailored to the development of Nansha to ensure that risk prevention and control align with financial reform and innovation. Vigorously develop financial supervision technology to enhance the uniformity, professionalism, and penetrability of financial technology supervision. Third, strengthen financial risk prevention. Strengthen monitoring of cross-border capital movements in Nansha, enhance financial risk assessment and risk prevention and control in key areas, and improve capabilities in risk monitoring, early warning, and resolution, so as to promote early detection, correction, and resolution of financial risks. Fourth, strengthen the legal protection of finance. Deepen collaboration between financial supervision and the judiciary, and improve the coordination and linkage mechanism. Establish a platform for resolving foreign-related and Hong Kong- and Macao-related financial disputes in the Guangdong-Hong Kong-Macao Greater Bay Area, and build an internationalized and diversified cross-border financial dispute resolution mechanism. Protect the legitimate rights and interests of all types of business entities equally in accordance with the law, and continuously contribute to optimizing a legal business environment.

On May 11, according to a report by the UK think tank ODIGlobal, China is increasingly directing its energy investments in Africa towards renewable energy projects, with solar and wind energy currently accounting for 59% of its energy projects on the continent.

On April 28, the National Energy Administration issued a notice on several measures to promote the development of the private economy in the energy sector. The document stated that support and guidance should be provided to encourage private enterprises to "go global" with high quality. Private enterprises are encouraged to participate in high-quality construction of the "Belt and Road" Initiative, prudently engage in cooperation on green energy projects such as wind power, PV, hydrogen energy, and ESS, and enhance their international competitiveness. Leveraging domestic and overseas think tank resources, relevant national energy policies should be promoted to energy enterprises through various means, providing assistance to private enterprises in expanding overseas markets.