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China’s transition toward green development, advanced manufacturing, and new energy technologies is reshaping global commodity demand. The Guangzhou Futures Exchange (GFEX) is designed to support emerging industries and sustainability-linked commodities through innovative derivatives products.

Through Orient Futures Singapore, global investors can access GFEX markets efficiently and compliantly as part of a broader China market strategy.

What Is GFEX?

Established in 2021, the Guangzhou Futures Exchange (GFEX) is China’s fifth commodity futures exchange and the first to focus strategically on green finance, carbon neutrality, and technology-driven industrial transformation.

GFEX plays an increasingly important role in price discovery for commodities associated with new energy, environmental protection, and advanced materials, which are key to China’s long-term economic strategy.

Key characteristics of GFEX include:

  • RMB-denominated futures and options contracts
  • Focus on new energy, green, and industrial transformation commodities
  • Physically delivered benchmark contracts
  • Regulated participation framework for domestic and qualified foreign investors
  • Alignment with China’s carbon neutrality and sustainability policies
  • Innovation-driven contract design targeting emerging industries

As China accelerates its energy transition and industrial upgrading, GFEX benchmarks are expected to gain increasing relevance among international investors and commodity participants.

GFEX Products You Can Trade

GFEX focuses on innovative commodities tied to clean energy, advanced manufacturing, and environmental markets, complementing the more traditional product coverage of other Chinese exchanges.

Access Types Futures Options
Qualified Foreign Investor (QFI) Silicon Metal Silicon Metal Option
Lithium Carbonate Lithium Carbonate Option
Poly Silicon Poly Silicon Option

These contracts are widely used for hedging physical exposure, managing import margins, price discovery, and relative value strategies.

Explore our full China Market Access overview to understand the regulatory structures, participation routes, and market connectivity available to global investors.

Who Trades GFEX?

GFEX participants include:

  • New energy material producers and processors
  • Battery and electric vehicle supply chain companies
  • Solar and renewable energy manufacturers
  • Industrial material producers and end-users
  • Commodity trading houses
  • Hedge funds and proprietary trading firms
  • Institutional investors seeking exposure to energy transition commodities

For global participants, GFEX provides insight into China’s rapidly evolving new energy and advanced manufacturing sectors, with pricing often reflecting domestic supply-demand dynamics in battery and green technology supply chains.

How Foreign Investors Access GFEX

Foreign participation in GFEX is developing under regulated access frameworks, including approved futures brokers and recognised international participation structures for eligible contracts.

With Orient Futures Singapore, global investors benefit from:

  • Licensed and regulated access pathways
  • Professional onboarding and compliance support
  • Institutional-grade trading connectivity
  • Clearing access via approved participation frameworks
  • Integration within a broader China and global markets strategy

This structure allows foreign institutions to access China’s emerging energy transition and advanced materials derivatives markets without establishing a mainland entity.

Why GFEX Matters in a Global Trading Strategy

GFEX contracts complement global commodity benchmarks by:

  • Providing exposure to battery materials and clean energy supply chains
  • Reflecting China-specific demand in strategic emerging industries
  • Offering early pricing signals in rapidly growing industrial sectors
  • Supporting cross-market arbitrage across metals, energy, and materials
  • Enhancing hedging precision for companies linked to electrification and decarbonisation

As China plays a central role in global battery production, renewable energy manufacturing, and advanced materials, GFEX pricing is expected to gain increasing strategic relevance for international investors and commodity participants.

Access GFEX with Orient Futures Singapore

Solar Power Plant in modern city, Sustainable Renewable Energy

Orient Futures Singapore provides institutional-grade access to GFEX as part of a comprehensive China market offering, supporting clients from onboarding through execution and beyond.

Contact us to explore how GFEX fits into your China market strategy.

Disclaimer

We, Orient Futures International (Singapore) Pte. Ltd. (“OFIS”) (UEN No. 201831776Z), hold a capital markets services licence (CMS100869) from the Monetary Authority of Singapore for dealing in capital market products such as futures/derivatives contracts, and spot foreign exchange contracts for the purposes of leveraged foreign exchange trading, and is an Exempt Financial Adviser. For more information about OFIS, please check the MAS Financial Institutions Directory by clicking here.

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