JL MAG Rare-Earth's July 15 investor relations activity record shows: 1. Please elaborate on the company's expected H1 2026 performance growth? JL MAG Rare-Earth responded: In H1 2026, the company's management upheld the annual operating policy of "adhering to compliance and integrity, staying customer-oriented, focusing on the magnetic material core business, building 20,000 mt of capacity on schedule, actively deploying embodied robot motor rotors, and scaling new heights." Through measures such as technological innovation, organizational optimization, digitalization, and lean management, while fully ensuring contract fulfillment and delivery to a broad client base, the company achieved steady growth in operating performance. The company continued to consolidate its leading position in the new energy and environmental protection sectors and actively explored emerging markets, with operating revenue expected to grow approximately 30% YoY. In the NEV and parts sector, revenue grew approximately 30% YoY; in the robot and industrial servo motor sector, revenue grew approximately 90% YoY, with small-volume deliveries of embodied robot motor rotors already underway. In H1 2026, net profit attributable to the parent is expected to be 400 million to 460 million yuan, up 31% to 51% YoY; deducted non-recurring net profit attributable to the parent is expected to be 370 million to 430 million yuan, up 57% to 83% YoY. In Q2 2026, net profit attributable to the parent is expected to be 210 million to 270 million yuan, up 43% to 85% YoY and up 7% to 39% QoQ; deducted non-recurring net profit attributable to the parent is expected to be 190 million to 250 million yuan, up 50% to 97% YoY and up 9% to 44% QoQ. 2. What is the latest progress of the company's embodied robot business? JL MAG Rare-Earth responded: Robots liberate human productivity and represent a key direction in the new wave of technological change, with broad industry development prospects. The company is actively cooperating with world-renowned tech companies in the R&D of embodied robot motor rotors and has made small-volume product deliveries. In addition, through direct investment or participation in industrial funds, the company is making strategic deployments in key links of the relevant industry chain to accelerate industrial synergy and commercialization. 3. What about the company's raw material supply and recycling layout? JL MAG Rare-Earth responded: The company has established long-term strategic partnerships with major rare earth raw material suppliers, including China Northern Rare Earth Group and China Rare Earth Group, and fully leverages the advantage of controlling Yin Hai New Materials to deploy upstream rare earth recycling business, building a diversified rare earth resource supply system. The company was an early mover in rare earth recycling in the industry and currently holds a 51% stake in Yin Hai New Materials. Leveraging the group's manufacturing system, recyclable materials such as magnetic sludge and off-cuts generated during production at the company's various plants can be steadily supplied to Yinhai New Materials for recycling and processing, meeting its production needs while providing strong assurance for the company's raw material supply. In 2025, the company recovered a total of 3,681 mt of rare earth raw materials. Yinhai New Materials has already generated operating revenue and profit contributions. In 2025, it achieved operating revenue of 195 million yuan and net profit of 50.5 million yuan (the above are actual operating results, excluding adjustments related to purchase price allocation). Currently, Yinhai New Materials has passed ISO 14021 certification, and its main products have received certification for 100% recycled content under international standards. 4. Please elaborate on the situation regarding the company's planned acquisition of a partial stake in Baotou Rare Earth Products Exchange Co., Ltd.? JL MAG Rare-Earth responded: In order to implement the company's development strategy and enhance its overall competitiveness, the company plans to acquire, through public listing and transfer on the Inner Mongolia Property Rights Exchange Center, a 9.24% equity interest in Baotou Rare Earth Products Exchange Co., Ltd. (hereinafter referred to as the "Rare Earth Exchange") held by China Northern Rare Earth (Group) High-Tech Co., Ltd. According to the appraisal report issued by Northern Asia Asset Appraisal Co., Ltd., as of the valuation date of December 31, 2025, the total equity value of the Rare Earth Exchange assessed using the market approach was 239 million yuan, a premium of 27.86 million yuan over the net asset book value of 211.14 million yuan as of the valuation date, representing an appreciation rate of 13.19%. The estimated transaction price for the target equity is 22.08 million yuan. Rare earths are the core raw material for producing NdFeB permanent magnet materials. The Rare Earth Exchange serves as a specialized trading platform for rare earth (metal) resources. If this equity acquisition is successfully completed, it will further enhance the company's ability to secure rare earth raw material supply, strengthen its overall competitiveness, and consolidate its market position in the rare earth permanent magnet industry. The company will, in accordance with the principle of cooperative co-construction and mutual benefit, fully leverage its own strengths to assist the Rare Earth Exchange in becoming a national-level rare earth (metal) resource trading platform. This planned acquisition of part of the Rare Earth Exchange's equity constitutes a state-owned asset transfer matter, and the transaction must strictly follow the statutory procedures for state-owned asset transactions, including approvals and listing. The company will monitor progress and fulfill its information disclosure obligations in accordance with relevant regulations. JL MAG Rare-Earth's semi-annual performance forecast released on July 1 showed: Net profit attributable to shareholders of the parent company is estimated to be between 400 million yuan and 460 million yuan in H1 2026, up 31.17% to 50.84% YoY. Regarding the reasons for the performance change, JL MAG Rare-Earth stated in its announcement: 1. In H1 2026, the company's management adhered to the annual operating policy of "upholding legal compliance, maintaining client focus, concentrating on the core magnetic materials business, adding 20,000 tons of capacity on schedule, proactively developing motor rotors for embodied robots, and scaling new heights." Through measures such as technological innovation, organizational optimization, digital transformation, and lean management, while ensuring full performance of contracts and delivery to a broad client base, the company achieved steady growth in its operating results. The company continued to strengthen its leading position in the new energy and environmental protection sectors and actively explored emerging markets. Revenue is expected to rise by approximately 30% YoY. Specifically, in the NEV and auto parts segment, revenue rose by about 30% YoY; in the robotics and industrial servo motor segment, revenue rose by approximately 90% YoY, and embodied robot motor rotor products have already seen small-batch deliveries. 2. During the reporting period, the estimated impact of non-recurring gains and losses on net profit was approximately 32 million yuan, compared with non-recurring gains and losses (after tax) of 70.94 million yuan in the same period last year. 3. During this reporting period, due to A-share and H-share equity incentives and the issuance of H-share convertible bonds, related expenses such as share-based compensation costs and financial expenses totaled approximately 121 million yuan. No such expenses existed in the same period last year. A recently issued announcement by JL MAG Rare-Earth showed that, to implement its development strategy and enhance overall competitiveness, it planned to acquire a 9.24% stake in Baotou Rare Earth Products Exchange Co., Ltd. held by China Northern Rare Earth (Group) High-Tech Co., Ltd. through a public listing and transfer process on the Inner Mongolia Equity Exchange , According to the appraisal report issued by Northern Asia Assets Appraisal Co., Ltd., the total equity value of the Rare Earth Exchange assessed using the market approach as of the valuation reference date of December 31, 2025, was 239 million yuan, representing an increase of 27.8551 million yuan over the net asset book value of 211.1449 million yuan on that date, an appreciation rate of 13.19%. The expected transaction price for the target equity stake is 22.0836 million yuan. In accordance with the Shenzhen Stock Exchange ChiNext Listing Rules, the Company’s Articles of Association, and other relevant regulations, this external investment falls within the approval authority of the CEO. It does not constitute a connected transaction, nor does it constitute a major asset restructuring as defined under the Administrative Measures for Major Asset Restructurings of Publicly Listed Companies. In its 2025 annual report, JL MAG described its main business and product applications as follows: The company is a high-tech enterprise integrating R&D, production and sales of high-performance NdFeB permanent magnet materials, magnetic assemblies, embodied robot motor rotors, and comprehensive recycling of rare earths. It is a leading supplier of rare earth permanent magnet materials for the new energy and environmental protection sectors. Its products are widely used in NEVs and auto parts, energy-efficient inverter air conditioners, wind power generation, robotics and industrial servo motors, 3C electronics, low-altitude aircraft, energy-saving elevators, rail transit, and other fields, and it has established long-term and stable partnerships with leading enterprises in these fields both within and outside China. The company has been actively deploying in the robotics field: on one hand, it collaborates with internationally renowned technology companies on the R&D and capacity building for embodied robot motor rotors, with small-batch product deliveries; on the other hand, through direct investment or participation in industry funds, it makes strategic moves in key links of the relevant industry chain to accelerate industrial synergy and commercialization. Regarding the 2026 annual operating plan, JL MAG Rare-Earth stated in its 2025 annual report: The company's 2026 business guideline: "Adhere to legal compliance, uphold customer orientation, focus on the core business of magnetic materials, build new capacity of 20,000 mt as scheduled, actively position in embodied robot motor rotors, and scale new heights." In accordance with the company's business guideline and on the premise of legal compliance, the company will focus on advancing the following efforts: 1. Orderly release of capacity under construction. In 2026, some of the company's projects under construction will gradually release capacity. The specific release progress will comprehensively consider factors such as equipment commissioning and market demand, advancing the commissioning and ramp-up of new capacity in an orderly manner. 2. Continuous enhancement of R&D capabilities. 3. Continuous optimization of product structure. The company will center on client needs, continuously enrich the product portfolio for different application scenarios, and enhance the resilience of the product structure and client stickiness. At the same time, it will steadily advance the layout of projects such as magnetic components and embodied robot motor rotors, equip dedicated production lines and professional teams, and drive the upgrade of small-batch production lines to large-scale, standardized manufacturing and quality systems. 4. Continuous improvement of operational capabilities. 5. Strengthening capital expenditure efficiency. 6. Improving incentive mechanisms and shareholder returns. 7. Advancing ESG system construction. As for the risks the company may face, JL MAG Rare-Earth stated when introducing the risk of price fluctuations in rare earth raw materials: Rare earth metals are the main raw materials for producing NdFeB magnetic steel. China is an important global supply hub for rare earth raw materials. Wild swings in rare earth raw material prices will adversely impact the company's production and sales in the short term. Countermeasures: The company has built manufacturing plants in Ganzhou, Jiangxi, a major production area for heavy rare earth, and Baotou, Inner Mongolia, a major production area for light rare earth. The company has established long-term cooperative relationships with major rare earth raw material suppliers, including China Northern Rare Earth Group and China Rare Earth Group. At the same time, the company strives to mitigate the adverse impact of rare earth raw material price fluctuations on its operating performance through measures such as pre-purchasing rare earth raw materials based on orders on hand, establishing price adjustment mechanisms with key clients, optimizing formulations, and improving processes. Looking back at the price performance of Pr-Nd alloy in H1 this year, it can be seen that: : The average price of Pr-Nd alloy on June 30 was 905,000 yuan/mt. Compared with its average price of 735,000 yuan/mt on December 31, 2025, the increase in H1 was 23.13%. The annual daily average price of Pr-Nd alloy in H1 this year was 904,650.86 yuan/mt, compared with 529,559.83 yuan/mt in H1 2025, with the semi-annual daily average price increasing by 375,091.03 yuan/mt, for a YoY increase of 70.83%. According to SMM's price quotes, on July 17, the price of Pr-Nd alloy was 920,000-930,000 yuan/mt, with an average price of 925,000 yuan/mt, down 0.54% from the previous trading day. Currently, rare earth market prices are trending slightly downward. Focusing on the Pr-Nd market, Pr-Nd oxide futures prices declined, while spot market inquiries were sluggish. Affected by this, suppliers lowered their offers for Pr-Nd oxide. However, most industry participants remain confident about the market outlook and show a strong willingness to hold prices firm, resulting in a relatively small actual decline in oxide prices, with low-priced goods still scarce and hard to find. Metal market prices also slipped. New orders at magnetic material enterprises were poor, limiting their capacity to accept high-priced metals, with procurement mainly driven by rigid restocking demand, leading to sluggish metal market inquiries. The upstream-downstream stalemate persisted in negotiations, with the metal side continuing to face pressure. It is expected that in the short term, due to sluggish trading activity, Pr-Nd product prices will likely move sideways in a narrow range. Recommended Reads:

[SMM Analysis] Futures Recovery Lifts Finished Steel, Raw Materials Drift Lower, Expanding Steel Mill Profits This week, stainless steel finished product prices and production costs drifted higher in tandem, with finished steel gains outpacing the overall performance of raw materials, driving a WoW expansion in steel mill smelting profits. Based on 304 cold rolling calculations, the profit margin stood at 2.39% using current raw material costs and 1.07% using inventory costs this week, with spot profitability resilience having achieved a clear recovery. Nickel-based raw materials: High-grade NPI prices generally grinded lower and pulled back this week, as a futures rebound and spot purchases formed a pronounced tug-of-war. During the week, SHFE nickel and SS futures both consolidated higher in tandem. Upstream smelters and traders showed relatively ample willingness to hold prices firm, but downstream stainless steel mills held relatively cautious expectations for the off-season outlook, with weak sentiment in raw material procurement and the strategy of pushing for lower prices continuing to be implemented. No concentrated restocking demand was released in the market, and the NPI price center shifted lower amid the tug-of-war between longs and shorts. As of this Friday, the domestic arrival tax-inclusive price of Indonesian high-grade NPI with 10-12% Ni content fell 4.5 yuan per nickel unit to 1,132.5 yuan per nickel unit. Stainless steel scrap prices rose with relative strength this week, supported by the futures recovery, displaying characteristics of strong resilience but limited gains. Driven by stronger SS futures, market sentiment for scrap recovered somewhat. Moreover, stainless steel scrap still held a stable cost-competitive substitution advantage over the weaker NPI, providing bottom support for prices. However, the market is currently in the traditional consumption off-season, with weak end-user rigid demand curbing overall demand for finished steel. Coupled with tight availability of tax invoices for stainless steel scrap and steel mills continuously pushing for lower purchase prices, market trading activity was restrained, making it difficult for prices to open upside room...

The global overseas primary aluminum spot market faced overall downward pressure this week, with spot premiums in Japan, Southeast Asia, South Korea and the US all falling week-on-week. The Asian market was weighed down by weak downstream purchasing sentiment amid the traditional consumption off-season. Ample circulating supply stemming from concentrated cargo arrivals in the US compounded the bearish sentiment. Meanwhile, the LME curve briefly flipped into a Backwardation (B) structure this week. Elevated capital costs prompted traders to step up sell-downs, pushing spot offers lower across regions and dragging down transaction benchmarks. I. Weekly Comparison of Key Global Spot Premiums II. Regional Spot Transaction & Market Commentary (I) Asian Market: Sluggish Off-Season Buying, Wide Disparity Between Long-Term Benchmark QMJP and Spot Prices Japan Market Japan’s spot market remained sluggish this week, with downstream buyers only placing sporadic orders to meet immediate operational needs and no large-scale restocking activities. The Q3 QMJP benchmark price was set at USD 395/mt, sharply diverging from actual spot transaction prices ranging from USD 330–350/mt, resulting in steep discounts against the quarterly benchmark across the market. Southeast Asia, South Korea and Indonesia Spot premiums in Thailand and South Korea retreated in tandem as traders showed strong willingness to offload inventories. Overseas end-user demand for Indonesian primary aluminum stayed muted, while downstream players remained reluctant to accept high prices, driving down local ex-factory offers and concluded transaction prices. Across Asian trading channels, the temporary Backwardation structure on the LME aluminum curve, paired with higher capital costs and inventory pressure, encouraged holders to cut offers to liquidate stocks. Coupled with feeble downstream demand, spot prices faced additional downward pressure. (II) US Market: Concentrated Cargo Arrivals from Multiple Regions Weigh on Premiums Easier spot prices in Europe previously diverted some Canadian aluminum ingots to the US, alongside a portion of Indonesian primary aluminum shipments. Concentrated cargo arrivals boosted market supply substantially. Despite rigid underlying demand in the US, the surge in available supply kept DDP premiums under mild week-on-week downward pressure. III. Core Macro Drivers Shaping Overseas Spot Markets End-User Demand: Off-Season Drags on Asian Buying Sentiment Southeast Asia and Japan entered their traditional demand off-season. Downstream fabricators only purchased materials on an as-needed basis without proactive stockpiling, and market acceptable price levels kept sliding, leaving spot transactions without solid support. Trading Flows: High Capital Costs Fuel Traders’ Inventory Liquidation The temporary Backwardation structure on the LME aluminum curve lifted holding costs for metal traders. Most market participants opted to cut prices to sell stocks and recover capital, flooding the market with available material and further depressing spot premiums. IV. Brief Market Outlook In the near term, the off-season in Asia is far from over, and traders retain strong incentives to liquidate inventories, which will keep overseas primary aluminum spot premiums subdued. Market participants will closely monitor the commissioning timeline of Indonesian aluminum projects and restocking activities among overseas downstream manufacturers going forward.

Liaoning Tuofeng Environmental Protection Technology Co., Ltd. integrates technology R&D, equipment manufacturing, sales services, and overall solutions, and is committed to promoting the development of the circular economy and sustainable resource recycling.

[SMM Daily Review of Coking Coal and Coke] Coking Coal Market: Linfen low-sulphur coking coal offer at 2,020 yuan/mt. Coking coal side, mine production resumptions in producing areas have been slow, and coal supply is tight. Coke plants and traders are cautious in procurement, order signing at coal enterprises has slowed down, and some coal washing plants and traders have lowered prices to sell. Coal enterprises have low inventory, quotes remain stable temporarily, and the market outlook is mostly with a wait-and-see sentiment. Coke Market: The nationwide average price of quasi-first-grade metallurgical coke (dry quenched) is 2,090 yuan/mt. Market rumors suggest that a coke price cut is being prepared and will be proposed next Monday. Supply side, after profitability recovery, coke plants have moderate operating rates, and coke supply is stable. However, traders have started selling, diverting clients, and overall coke inventory at coke plants has accumulated, with a strong willingness to sell. Demand side, steel inventory is building up, hot metal production at steel mill blast furnaces has pulled back, and coke rigid demand weakens. Combined with falling steel product prices, squeezing steel mill profits, some steel mills strictly control incremental restocking of coke. In summary, the coke and steel sectors continue to vie with each other, and the short-term coke market may operate in the doldrums. [SMM Steel]

Shanghai Metals Market (SMM) is thrilled to announce that we will hold the 2026 SMM ASEAN Ferrous Metals Summit from November 26-27, 2026 in Kuala Lumpur, Malaysia. This event is the premium platform in the ASEAN ferrous metals market that converge 400+ decision-makers from mines, mills, trading houses, processors, equipment and technology providers, and logistics operators at the same table — precisely when the regional order is being rewritten. Conference Background The ASEAN steel industry is undergoing profound transformation , driven by strong demand growth, capacity expansion, shifting trade flows, and increasingly complex trade policies. Steel apparent consumption across the six major ASEAN economies exceeded 81 million tonnes in 2024 and is projected to reach 87.9 million tonnes in 2026, up 2.6% from 2025 and 8.2% from 2024. Vietnam was the region’s fastestgrowing market in 2024 , expanding by over 21%, while Vietnam, Indonesia, and the Philippines are expected to lead incremental demand in 2026 . Demand continues to expand. In 2024, apparent steel consumption in the six major ASEAN economies exceeded 81 million mt, and is expected to reach 87.9 million mt by 2026. Vietnam posted over 21% growth in 2024 and will lead regional growth. Capacity is expanding rapidly. In 2025, ASEAN crude steel production surpassed 60 million mt and is forecast to reach 90.6 million mt by 2030, making it the fastest-growing region globally. However, the import penetration rate remains above 60%, and steel imports rose by 5 million mt in 2025. The capacity structure is undergoing profound transformation: the BF-BOF share rose from 6% in 2011 to 30% in 2020, Indonesia and Vietnam jointly control 74% of crude steel production, and Chinese steelmakers’ overseas investments are mainly concentrated in these two countries. Trade flows are being reshaped. In 2024, China exported 28.219 million mt of steel to ASEAN, up 29.3% YoY; in H1 2025, steel billet exports surged to 5.89 million mt, up 300.3% YoY. In March 2026, Vietnam suspended slab exports, and the ASEAN supply gap is estimated at 2.3 million mt. Price stratification has emerged: Vietnam became the regional low-price zone ($482/mt), Japan and South Korea dominate the high-end market, Malaysia recorded a cumulative 78.9% increase over three years, absorbing spillover demand, while Indonesia’s average price bucked the trend, rising to $522/mt, with imports clearly focusing on high-end products. Expanded supply and demand, capacity iteration, trade restructuring, and price spread divergence—multiple variables are intertwining. The industry urgently needs a high-level dialogue platform to identify pain points and uncover business opportunities. Conference Highlights 1. ASEAN Steel Market Outlook An in-depth analysis of regional steel demand, with consumption expected to reach 87.9 million mt in 2026, driven primarily by Vietnam, Indonesia, and the Philippines. 2. China—ASEAN Trade and Supply Chain Restructuring Exploring shifting flows of HRC, billet, slab, and other steel products amid changing supply patterns, trade remedies, and regional market dynamics. 3. Capacity Expansion and Production Transition Examining ASEAN’s evolving steelmaking landscape, including BF-BOF capacity growth, EAF development, overseas investment, and new regional production hubs. 4. Trade Policies and Market Access Assessing anti-dumping measures, tariffs, RCEP-related opportunities, and regulatory changes reshaping steel trade across ASEAN. 5. High-Growth Demand and Product Opportunities Identifying opportunities from infrastructure, construction, automotive, and advanced steel applications, with a focus on Indonesia, Vietnam, and other emerging markets. 6. Executive Networking and Regional Cooperation Connecting leading producers, traders, buyers, investors, associations, policymakers, and industry experts across ASEAN, China, and global markets. Scenes from Past Conferences Conference Agenda Companies to Be Invited The companies we will invite for this conference cover various segments of the ferrous metals value chain, indluding Steel Mills/Smelters (42) Trader / Steel Processing & Trading（12） Metallurgical Equipment / Engineering Technology（5） Refractory Materials / Auxiliary Materials（2） Electrodes / Carbon Products（3） Associations / Institutions（9） International（1） Technology / Digitalization（6） Digital Platform / Green Steel（1） Carbon Trading / Green Finance（1） Consulting（1） Investment / Finance（1） Downstream Steel Application（3） Engineering Construction（1） Composition Structure Ticket Prices Contact: Horin Dong WhatsApp: +8618721310824 Email: horindong@smm.cn Scan the QR code for conference details and more discount information

SMM, July 13 – Data Summary: As of Monday, July 13, SMM copper inventories in major domestic regions fell by 52,200 mt WoW to 140,000 mt, with the total down 7,600 mt compared to 147,600 mt in the same period last year. All regions showed destocking. Specifically, in Shanghai, arrivals of imported copper and domestic copper cathode continued to shrink amid typhoon disruptions, dragging inventories lower. Jiangsu also saw domestic supply arrivals suppressed by the typhoon, with destocking persisting. In Guangdong, logistics normalized and shipments increased, while consumption weakened, causing the destocking speed to moderate. Market Outlook: On the supply side, arrivals of imported and domestic copper cathode are expected to remain low in the near term, keeping overall spot availability tight. On the demand side, although copper prices saw a slight correction, downstream purchasing interest was muted as the contract rollover approached, with demand mainly just-in-time and generally weak. A survey showed that the operating rate of copper cathode rod is expected to drop to 68% this week, down 2.9 percentage points WoW. Given the supply-demand balance, the domestic copper market is likely to see tight supply and only just-in-time procurement from downstream in the near term. Next week, domestic social copper inventories are expected to continue destocking, but at a moderating pace.

In H1 2026, silver experienced an extreme market trend marked by a sharp-peaked inverted-V and stepwise decline, driven by the interplay of two main themes: a spot silver squeeze anomaly and a shift in US Fed monetary policy. After hitting an all-time high of 30,900 yuan/kg in January, silver prices pulled back trend-wise to 13,816 yuan/kg in June, as interest rate cut expectations reversed and hawkish signals strengthened, representing a 55% pullback from the peak. On the supply side, silver ingot production rose 6.9% YoY, and imports surged before returning to normal. On the demand side, PV silver demand fell 21% YoY, with industrial demand taking over from investment as the main driver. In H2, attention will focus on the inflation turning point and marginal changes in the US Fed's policy; silver prices are expected to consolidate on a subdued note.

News Release, July 10, 2026: Chrome ore prices saw distinct phased volatility in the first half of 2026, rallying throughout Q1 before sliding downward on a gradual downtrend in Q2.

SMM expects secondary lead prices to remain in the doldrums in H2. High scrap battery costs provide rigid bottom support for lead prices, but triple negative factors—macro rate hike expectations, high LME inventories, and the downstream consumption off-season—continue to cap the upside room……