Q&A Transcript from the Press Conference on the Operation of the Non-Ferrous Metals Industry in Q1 2025

Enhance Internal Capabilities, Halt Cut-throat Competition, and Steadily Promote High-quality Development of the Industry

——Q&A Session from the Press Conference on the Operating Conditions of the Non-ferrous Metals Industry in Q1 2025

On April 29, at the press conference on the operating conditions of the non-ferrous metals industry in Q1 2025, organized by the China Non-ferrous Metals Industry Association (CNIA), Chen Xuesen, Member of the Standing Committee of the Party Committee, Vice President, and Spokesperson of the CNIA, Li Yusheng, Director of the Policy Research Office, and Wang Huaiguo, Deputy Director of the Science and Technology Department, answered questions from media reporters and enterprise representatives. Feng Yuncong, Deputy Editor-in-Chief of the China Non-ferrous Metals News, presided over the press conference.

➤ Xinhua News Agency: The government work report proposes to cultivate and expand emerging industries and future-oriented industries. These emerging industries require products and technologies supported by non-ferrous metal elements. In recent years, what breakthroughs have been made in technological innovation within the industry? Please highlight one or two key achievements. Green and low-carbon technologies are set to become the new competitive high ground for the non-ferrous metals industry. From the perspective of the association, please introduce the progress of the non-ferrous metals industry in achieving the "dual carbon" goals.

Wang Huaiguo: The non-ferrous metals industry is a crucial basic raw material industry, providing essential material support for building a manufacturing powerhouse, developing strategic emerging industries, nurturing future-oriented industries, and ensuring national defense, military, and aerospace needs. Over the years, the non-ferrous metals industry has adhered to the path of innovation-driven high-quality development, leveraging the entire industry's strength to tackle key core technologies. Continuous breakthroughs have been made in scientific and technological innovation in areas such as efficient development and utilization of strategic key non-ferrous metal resources, high-end material R&D, digitalization and intelligent manufacturing, resource recycling, and green and low-carbon technologies. These advancements have provided solid raw material guarantees for the high-end development of industries such as PV, power and ESS batteries, NEVs, next-generation electronic information, aerospace, high-speed rail, and national defense and military industries.

In the field of power and ESS battery materials, after decades of continuous technological research by multiple domestic research institutions, advanced lithium extraction technologies from salt lakes, such as ion sieve adsorption-membrane methods, have been developed to address China's high magnesium-to-lithium ratio salt lake resources. Advanced process technologies, such as low-temperature sulfuric acid methods, have been developed for China's abundant low-grade lepidolite resources. R&D units, represented by China ENFI Engineering Corporation, have developed core technologies and equipment for high-pressure acid leaching of low-grade laterite nickel ore... These new processes and technologies have effectively addressed the challenges of lithium extraction from high magnesium-to-lithium ratio salt lakes, lithium extraction from lepidolite, and the development and utilization of low-grade laterite nickel ore, providing solid raw material support for the development of power and ESS batteries and NEVs in China and globally.

In the field of advanced non-ferrous metal materials, through technological breakthroughs, the production scale and product quality of non-ferrous metal materials used in industries such as aerospace, high-speed rail, large-scale power equipment, PV, NEVs, and integrated circuits have reached internationally advanced levels. 7N-grade high-purity indium for 5G communication chips and 6N-grade high-purity copper for integrated circuits have achieved mass application. Large-format ultra-high-purity nickel-platinum and other target materials have broken foreign technological monopolies, achieving independent and controllable production. Sintered NdFeB magnetic materials, LFP, and other new energy materials have reached world-class levels in R&D and application technologies, effectively supporting the development needs of industries such as next-generation electronic information, new energy, and high-end equipment.

In terms of the "dual carbon" goals, in recent years, the non-ferrous metals industry has thoroughly studied and implemented Xi Jinping Thought on Ecological Civilization, anchoring the "dual carbon" goals. Through green and low-carbon technological innovation, process optimization, and industrial model innovation, the industry has promoted full life cycle emission reductions and efficient resource recycling. The industry has made positive progress in its "dual carbon" work, significantly improving the level of green and low-carbon development. Green, low-carbon, and sustainable development have become a consensus in the non-ferrous metals industry.

First, we innovate in low-carbon and green technologies. We focus on researching low-carbon innovation technologies such as energy-saving technologies for aluminum electrolytic cells, inert anodes, efficient short-process copper, lead, and zinc smelting, and low-to-medium temperature waste heat utilization in pyrometallurgy. We construct a batch of demonstration projects for advanced green and low-carbon technologies to support the industry's green and low-carbon transformation and development.

Second, we accelerate the promotion and application of advanced and applicable technologies. We release the top ten green and low-carbon advanced and applicable technologies in the industry, such as low-carbon composite cathode technology and equipment for aluminum electrolytic cells. We organize the promotion of advanced and applicable technologies, including key technologies for energy-saving, low-carbon, and intelligent electrolytic cells and continuous copper smelting. We establish a reserve library for green and low-carbon advanced technology projects and update the reserve projects on a rolling basis.

Third, we improve the green and low-carbon standard system. We develop a series of related standards for low-carbon products, product carbon footprints, and energy-saving and carbon-reduction technologies, and formulate carbon footprint standards for the industry's main products. In October 2024, the first national carbon footprint standard for the non-ferrous metals industry, "Quantification Methods and Requirements for Product Carbon Footprint of Greenhouse Gases - Aluminum," was released and officially implemented on May 1, 2025. We study and revise pollutant emission standards for the copper, nickel, cobalt, lead, and zinc industries, formulate technical specifications for the treatment of major pollutants, and safeguard the green and low-carbon development of the non-ferrous metals industry.

Fourth, we vigorously develop the recycled non-ferrous metals industry. The recycled non-ferrous metals industry achieves significant energy-saving and carbon-reduction effects, becoming a key force in achieving the "dual carbon" goals of the non-ferrous metals industry. The industry will adhere to maximizing resource recycling, orderly guide and optimize the industrial layout of recycled metals, improve the standard system for recycled non-ferrous metals, promote the construction of a recycling and comprehensive utilization system for recycled non-ferrous metal resources, expand the use of recycled non-ferrous metals, improve the level of in-grade utilization, and assist the non-ferrous metals industry in energy conservation and carbon reduction.

Fifth, we build innovation consortia for green and low-carbon development. We accelerate the construction of green and low-carbon public service platforms and Environmental Product Declaration (EPD) platforms for the non-ferrous metals industry, improve the industry's carbon emission database system, formulate product category rules, and release environmental declaration reports and carbon footprint reports to support the industry's green and low-carbon development.

Green development is the foundation of high-quality development. The non-ferrous metals industry will continue to anchor the "dual carbon" goals without relaxation, unwaveringly follow the path of ecological priority and green development, accelerate the green and low-carbon transformation of the full product life cycle, and promote the green and high-quality development of the non-ferrous metals industry.

➤ China Industry News: On April 2, the US government announced a 10% benchmark tariff for all countries and imposed "reciprocal tariffs" on countries and regions with significant trade deficits with the US. However, metals such as copper, aluminum, gold, nickel, and lithium are exempt from the "reciprocal tariffs." What impact will the US tariff policy have on China's non-ferrous metals industry? How will Chinese non-ferrous metals industry enterprises respond? What measures will the association take?

Li Yusheng: Recently, the US government has exerted extreme pressure on trading partners worldwide, including China, under the guise of so-called "reciprocal tariffs." Although this round includes metal products such as copper, aluminum, and gold on the exemption list, since the beginning of this year, the US government has imposed an additional 20% tariff on all imported products from China, increasing the "301" and "232" tariffs on aluminum products from 10% to 25%, and initiating a "232" investigation on copper.

Overall, since the Sino-US trade friction in 2018-2019, China's exports of non-ferrous metal products to the US have declined significantly. In 2024, China exported 254,000 mt of unwrought aluminum and aluminum semis to the US, a 62% decrease from 2017, with the proportion dropping from 14.1% to 3.8%. The US has fallen from China's largest export destination for aluminum semis to the sixth position. Copper semis exports to the US accounted for only 4.6% of China's total exports, and with partial exemptions, the direct impact of the "reciprocal tariffs" on China's non-ferrous metals industry is limited. However, under such high "reciprocal tariffs," the indirect impact on non-ferrous metal consumption, due to restricted exports of downstream non-ferrous metal application fields such as home appliances, consumer electronics, mechanical equipment, and light industry to the US, cannot be ignored.

Next, the association will work together with industry enterprises under the specific guidance of relevant national departments to actively respond to trade frictions and minimize the direct and indirect impacts of US tariffs. Industry enterprises should also solidly enhance their internal capabilities, continuously promote the quality and upgrading of their products, and enhance their core competitiveness. At the same time, enterprises should flexibly adjust their export strategies, actively strengthen trade cooperation with countries along the "Belt and Road" Initiative, especially with regions such as Southeast Asia, Africa, and the Middle East, continuously explore emerging markets, and further achieve high-level exports.

➤ Jinchuan Group Co., Ltd.: In Q1, non-ferrous metals industrial enterprises above designated size achieved a substantial year-on-year increase in total profits. Could the association introduce the core driving forces and industrial distribution that have significantly boosted profits? What are the risk factors that may subsequently affect the industry's high-quality development?

Chen Xuesen: Amidst a complex domestic and international economic environment, the non-ferrous metals industry achieved a 40.7% year-on-year increase in total profits in Q1 this year, showcasing the industry's resilience and vitality with this remarkable start. The core driving factors are as follows: First, non-ferrous metal prices fluctuated at highs. At the beginning of 2025, the global economy faced shocks from US tariffs. To hedge against US import tariffs, a large amount of non-ferrous metals were exported to the US in Q1, affecting the global market's supply-demand pattern. Meanwhile, as geopolitical tensions persisted and concerns about US debt grew, expectations for a shift towards looser monetary policy by the US Fed strengthened, further enhancing the financial attributes of important non-ferrous metals such as gold. Countries increased their reserves of gold and major non-ferrous metals, driving non-ferrous metal prices to remain high. In Q1, domestic spot prices for copper, aluminum, lead, and zinc increased by 11.4%, 7.3%, 5.9%, and 14.8% year-on-year, respectively. Second, the effects of policies to expand domestic demand continued to manifest. With the implementation of a series of national policies to stabilize growth, especially the "program of large-scale equipment upgrades and consumer goods trade-ins" and trade-in initiatives, coupled with the support of monetary and fiscal policies for real enterprises and infrastructure investment, consumption growth was stimulated, directly boosting the consumption of major metals such as copper and aluminum. Third, the "PV, lithium-ion battery and NEV" industries continued to grow at a relatively high speed, along with the sustained development of strategic emerging industries such as the next-generation electronic information industry, leading to a continuous increase in market demand for non-ferrous metal products. Fourth, enterprises effectively controlled production costs, coupled with stable or declining prices of energy and some raw and auxiliary materials, resulting in cost and expense increases being lower than revenue increases, thereby improving the industry's profitability. In addition, influenced by seasonal market demand, the prices of by-products such as sulfuric acid were also relatively good.

From the perspective of the proportion of industry profits along the industrial chain, in Q1, the proportions of profits realized by China's non-ferrous metal mining, smelting, and rolling and processing industries accounted for 28.3%, 59.5%, and 12.2% of the industry's total profits, respectively. Compared with the profit distribution along the industrial chain in the same period last year, the proportion of profits realized by the mining sector further increased, while that of the processing sector decreased. From the perspective of industrial distribution, aluminum accounted for 37.1%, copper for 21.0%, gold for 11.0%, tungsten and molybdenum for 10.7%, and lead and zinc for 7.4%. From the perspective of product distribution, aluminum smelting accounted for 54.3% of the profits realized by the non-ferrous metal smelting industry, while copper mines, gold mines, lead and zinc mines, and tungsten and molybdenum mines accounted for 35.9%, 22.3%, 19.4%, and 12.2% of the profits realized by the non-ferrous metal mining industry, respectively. The above data reflect that China's major non-ferrous metal varieties continue the development trend of the previous year, with rare metals such as gold, tungsten, and molybdenum also showing good development momentum due to their special application fields.

Despite the industry's rapid growth, the following risks still need to be guarded against. First, the escalation of international trade barriers, with the US "reciprocal tariff" policy becoming the largest risk variable affecting global economic growth.The intensification of international trade frictions has had a significant impact on China's exports to the US, particularly in home appliances, consumer electronics, machinery and equipment, light industry, as well as in photovoltaics and auto parts with substantial re-export trade. This will directly affect China's non-ferrous metals consumer market and price fluctuations. Second, there are disruptions in international resource supply. Given China's high dependence on imports for key mineral resources, any policy changes or disruptions in production and transportation due to natural weather or human factors in major resource countries could lead to supply shortages and price volatility, affecting the normal operations of enterprises. Third, the cut-throat competition in the smelting and processing industries has further deteriorated, with prominent structural imbalances. By the end of March, the spot TC for copper concentrates had fallen to -$26/mt; in April, influenced by trade frictions, the spot TC dropped below -$30/mt. The low TCs directly impact the profitability of smelters, and zinc smelting faces similar challenges. In Q1, processing enterprises faced pressures such as poor price transmission, overcapacity leading to low-price competition, and restrictions from international trade protectionism, resulting in a YoY decline in profits, showing a clear divergence from upstream sectors. Economic Daily: The government work report proposed to continue the "AI+" initiative, combining digital technology with manufacturing and market advantages, and supporting the widespread application of large models. As an important raw material industry, have non-ferrous metal companies already laid out plans in the "AI+" area? What are the current breakthroughs and progress, and what difficulties and challenges need to be overcome in the future? What are the plans for building industry-specific large models? Wang Huaiguo: The 20th National Congress of the Communist Party of China and the Third Plenary Session of the 20th Central Committee made important discussions and comprehensive deployments on China's digital transformation and AI construction. This year's government work report proposed to continue the "AI+" initiative, which points the way for the digital and intelligent development of the non-ferrous metals industry. The non-ferrous metals industry is a crucial basic raw material sector and a key focus for digital transformation in China's industrial sector. In recent years, the industry has been committed to high-quality development through digital empowerment, vigorously promoting informatization, digitalization, and intelligent work, and achieving positive progress in the innovative application of AI technology. Under the guidance of the Ministry of Industry and Information Technology, the association, together with relevant units, jointly established the Non-Ferrous Metals Industry Digital Transformation Promotion Center to advance the industry's digital transformation. The association also set up a Digital Non-Ferrous Office, built the "Digital Non-Ferrous" platform, and promoted the digitalization of the non-ferrous metals industry and data collaboration and sharing. On December 26, 2024, the first AI large model in the non-ferrous metals industry, the "Kun'an" AI large model, was officially released, reshaping the entire business process of geological exploration, ore mining, smelting and processing, and recycling in the non-ferrous metals industry. In recent years, non-ferrous metal companies have actively laid out plans, making full use of new-generation information technologies to promote the construction of digital and smart mines. According to incomplete statistics, since the Ministry of Industry and Information Technology launched the demonstration of smart factories, 38 national smart factories, over 60 internet platform innovation pilot cases, and smart factory scenarios in the non-ferrous metals industry have been selected. The digital level of newly built mines, smelters, and processing enterprises is at the forefront internationally. While the non-ferrous metals industry has made progress in digitalization and intelligence, it also faces some challenges. First, the data foundation is weak, with uneven data quality, making it difficult to support the training and optimization of AI models. There are also technical bottlenecks in real-time data collection and analysis. Second, the adaptability of existing AI algorithms is insufficient, as the complex processes in the non-ferrous metals industry make it hard for current AI algorithms to fully meet the requirements in terms of stability, versatility, and real-time performance, lacking specialized AI models. Third, there is a lack of a unified "AI+" standard system and related general standards in the non-ferrous metals industry, hindering the coordinated development of the upstream and downstream sectors. Fourth, there is a shortage of high-end talent familiar with both non-ferrous metal processes and digitalization and intelligence, urgently requiring the accelerated cultivation of interdisciplinary talent. In the construction of industry-specific large models, the association will collaborate with leading enterprises, universities, research institutes, and digital service providers to focus on three main areas. First, strengthening the data foundation by building a cloud data platform covering the entire process of mining, smelting, and processing, achieving real-time management of multi-source data and value mining of historical data. Second, developing vertical-scenario AI models for smart mine selection and smelting process optimization, conducting model evaluations, and vigorously promoting excellent application scenarios. Third, improving the talent cultivation system for digitalization and informatization, taking multiple measures to promote the joint cultivation of "non-ferrous metal process + AI" interdisciplinary talent between industry and academia, accelerating the cultivation of urgently needed digital and informational engineers and technical skills talent in the industry. China Nonferrous Metals News: Recently, the Ministry of Industry and Information Technology and other departments jointly issued the "High-Quality Development Implementation Plan for the Copper Industry (2025-2027)" and the "High-Quality Development Implementation Plan for the Aluminum Industry (2025-2027)", providing direction for the development of the copper and aluminum industries. What impact will these two plans have on the industry? How should industry enterprises implement the relevant requirements of the plans? How will the association assist in the implementation of the plans? Chen Xuesen: The core of the "High-Quality Development Implementation Plan for the Copper Industry (2025-2027)" can be summarized in four words: secure resources, control capacity, strengthen technology, and promote green development. The plan will have the following impacts on the industry: First, resource security will be enhanced. Through a dual-driven approach of domestic reserves and international cooperation, the construction and development of important domestic copper mines will accelerate, along with the improvement of the secondary copper recycling network, which is expected to gradually reduce the external dependency on copper resources. Second, the expansion trend of smelting capacity will be effectively curbed. The plan explicitly states that new copper smelting capacity must be accompanied by corresponding equity copper concentrate capacity. Currently, it is difficult for domestic projects to meet this requirement. Third, the industry layout will continue to extend towards both ends, especially in the downstream materials sector. By establishing a copper-based new materials pilot platform and a university-industry-research consortium, the plan aims to achieve import substitution for high-end products and enhance the self-sufficiency of the industry chain. Fourth, the industry will develop in a more environmentally friendly and low-carbon manner. For copper industry enterprises, the following aspects need to be implemented. First, it is recommended that companies do not blindly start new copper smelting projects to avoid unnecessary losses due to violations. Second, focus on resources. The plan mentions that domestic copper ore resources should increase by 5% to 10% by 2027. Companies with copper mines should increase their resource exploration efforts, achieve increased reserves and production through a new round of prospecting, and use smart mining technologies to reduce extraction costs. Third, focus on technological innovation. Companies with the necessary conditions should increase investment in innovation, especially in key areas, key technologies, and key materials, to meet the material needs of emerging and future industries. Fourth, focus on green and intelligent transformation. Accelerate the construction of green mines and green factories, and companies with the necessary conditions should speed up their intelligent transformation. The association will promote the implementation of the plan in the following four areas: First, ensure policy coordination and standard leadership, cooperate with the Ministry of Industry and Information Technology to promote the implementation of regulations, and guide companies to make rational investments and scientific decisions. Second, revise the entry conditions for copper smelting, and create a batch of benchmark companies in the industry. Third, through the association's Digital Transformation Promotion Center, Green Product Evaluation Center, and ESG Research Center, promote the industry's green and intelligent development. Fourth, conduct activities such as quality improvement, brand building, and the promotion of new technologies and products, and build a platform to actively serve the development of enterprises. The "High-Quality Development Implementation Plan for the Aluminum Industry (2025-2027)" clearly states that it is necessary to fully, accurately, and comprehensively implement the new development philosophy, with deepening supply-side structural reform as the main line and innovation as the fundamental driving force, pointing the way for the high-quality development of the industry. The implementation of the plan will significantly enhance the resilience and security of the aluminum industry chain and supply chain, providing a solid guarantee for the construction of a modern and strong aluminum industry in China. To implement the plan, industry enterprises should focus on strengthening resource security, optimizing the industrial structure, enhancing technological innovation, and promoting green and intelligent transformation. They should actively participate in mineral resource exploration and development, strictly control new capacity investments, accelerate the breakthroughs in intelligent manufacturing and key technologies, and comprehensively promote green and low-carbon development. At the same time, they should adhere to industry-related standards and play a leading role in demonstrating the best practices of leading enterprises, specialized, refined, unique, and innovative "little giant" enterprises, and "single champion" enterprises, thereby enhancing the core competitiveness and sustainable development capabilities of China's aluminum industry. Implementing the plan is an important task for China's aluminum industry over the next three years and is also an inescapable responsibility of the association. First, further promote the plan. Utilize various meetings and media to publicize the plan in multiple ways, ensuring that industry enterprises fully understand the current situation, goals, and measures, and integrate the plan into their development strategies, production, and investment activities. Second, further expand the application of aluminum products. Building on the existing work of replacing copper, wood, steel, and plastic with aluminum, further strengthen cooperation with related industries, enhance upstream and downstream connections, and further expand the application fields, scale, and levels of aluminum products to promote aluminum consumption growth. Third, further improve risk warnings. To ensure the security and controllability of the aluminum industry chain and supply chain, we will continue to closely monitor changes in aluminum product prices, social inventory, capacity utilization rates, and market supply and demand, and promptly release the aluminum industry prosperity index and operation reports to guide companies to make rational investments and scientific decisions. Fourth, further strengthen industry self-discipline. In response to the overheating of investments in alumina and aluminum processing, we will strengthen communication with industry enterprises, reinforce industry self-discipline, prevent low-level repetitive construction and inefficient price wars, and prevent cut-throat competition. We will also guide companies to update their equipment, upgrade traditional industries, and cultivate emerging industries, accelerating the development of the aluminum industry towards high-end, intelligent, and green directions, creating a favorable environment for the sustainable and healthy development of the aluminum industry. Henan Yuguang Gold Lead Co., Ltd.: In January this year, the founding conference of the Non-Ferrous Metals Industry Digital Transformation Promotion Center was held in Beijing. The meeting mentioned that the industry still lacks a unified and quantifiable scientific evaluation system for the current state of digital transformation. What key indicators does this evaluation system include? Does the association plan to release industry standards or implementation guidelines for digital transformation? Wang Huaiguo: In recent years, the association has attached great importance to the digital transformation of the non-ferrous metals industry. In line with the spirit of the "Digital Transformation Work Plan for Raw Materials Industry (2024-2026)", the association issued the "List of Standard Projects for Intelligent Manufacturing and Digital Transformation in the Non-Ferrous Metals Industry (2024-2026)" to support the industry's digital and intelligent development. To address the lack of a scientifically unified quantitative indicator system for digital transformation in the non-ferrous metals industry, the association has actively promoted the construction of a digital transformation evaluation system. Since May 2024, the association, together with the China Academy of Industrial Internet and Chalco, has been working on the development of the industry standard "Maturity Assessment of Digital Transformation in the Non-Ferrous Metals Industry". The standard development work has been completed, and it is expected to be officially released by the Ministry of Industry and Information Technology soon.

This standard applies to the mining, beneficiation, smelting, processing, and comprehensive enterprises in the non-ferrous metals industry, as well as digital transformation service providers and third-party institutions conducting digital transformation maturity assessments. The digital transformation assessment system for the non-ferrous metals industry includes a basic common capability domain and an industry-specific capability domain. The basic common capability domain comprises six indicators: organization, technology, data, resources, digital operations, and benefits. The industry-specific capability domain includes four indicators: technology, digital operations, digital production, and digital services. Each indicator encompasses several capability sub-domain indicators. The digital transformation maturity of the non-ferrous metals industry is classified into five levels. The release and implementation of this standard can assist enterprises in identifying their digital capabilities, understanding their smart manufacturing capabilities, effectively guiding enterprises to systematically promote digital transformation, and achieving standardization and normalization in the transformation process.

Recently, the Ministry of Industry and Information Technology issued the "Key Points for Industrial and Information Technology Standardization Work in 2025". The non-ferrous metals industry will earnestly implement the key points for standardization work, accelerating the establishment of a scientific and comprehensive digital transformation standardization system in areas such as digital R&D simulation, digital supply chains, and the classification and grading of digital transformation service providers in the mining, beneficiation, and processing sectors. Simultaneously, the industry will actively participate in the formulation of international digital transformation standards and technical exchanges to enhance the international discourse power of the non-ferrous metals industry.

➤ China Nonferrous Metals Magazine: In recent years, emerging industries such as commercial aerospace, low-altitude economy, and deep-sea technology have accelerated their development. How is the non-ferrous metals industry positioned within these fields, and what are its applications? Should enterprises consider entering or expanding into these areas?

Li Yusheng: Industries such as commercial aerospace, low-altitude economy, and deep-sea technology are among the key areas for China to cultivate and develop new quality productive forces, with promising prospects. The rapid development of these emerging and future industries will undoubtedly pose new technical performance and quantity demands for non-ferrous metal materials, presenting significant opportunities for the development of the non-ferrous metals industry. For example, aluminum, magnesium, and lithium are indispensable lightweight materials for commercial aerospace and the low-altitude economy. Titanium, known as the "space metal" and "ocean metal," plays an irreplaceable role in commercial aerospace, the low-altitude economy, and deep-sea technology. Rare earth elements are hailed as the "vitamins of industry." Additionally, new energy metals such as copper, nickel, cobalt, and lithium, as well as rare metals like tantalum, germanium, zirconium, and rhenium, among others, will provide critical material support for the growth and development of emerging and future industries such as commercial aerospace, the low-altitude economy, and deep-sea technology. The important role and strategic position of non-ferrous metals will become even more prominent.

Over the years, enterprises in the non-ferrous metals industry have attached great importance to the development of advanced non-ferrous metal materials for fields such as commercial aerospace, the low-altitude economy, and deep-sea technology, with some key enterprises already taking the lead. For instance, the Chalco Group and Nanshan Group have been focusing on the R&D and production of high-end aluminum-magnesium-lithium light alloy materials, while the Baoti Group has been engaged in the R&D and production of titanium alloy materials. These materials have supported major national projects in "reaching the sky and diving into the sea." Additionally, Minmetals has taken the lead in establishing a future industry innovation consortium for the exploration and development of deep and deep-sea mineral resources. It is believed that more industry enterprises will join and increase their R&D investments in the future, continuously developing various advanced new non-ferrous metal materials to support the accelerated development of emerging and future industries.

➤ Resource Recycling Magazine: Under the guidance of the "dual carbon" goals, how will the country promote the upgrading of the secondary metal industry towards high-value-added fields through policy and technological innovation? Meanwhile, how can a more resilient international resource collaboration system be constructed to reduce external dependency risks?

Li Yusheng: This year's government work report has made new arrangements for continuously deepening the development of the resource recycling industry, namely, "strengthening the recycling of waste materials, vigorously promoting the use of secondary materials, and facilitating the development of the circular economy." The National Development and Reform Commission (NDRC) and the Ministry of Finance issued the "Notice on Intensifying and Expanding the Scope of Implementing Large-Scale Equipment Renewal and Consumer Goods Trade-in Policies in 2025," implementing special actions to promote the application of secondary materials and supporting automobile, electrical, and electronic product producers in increasing the proportion of secondary materials used. The Ministry of Industry and Information Technology, in conjunction with multiple departments, issued the "Implementation Plan for the High-Quality Development of the Copper Industry (2025-2027)" and the "Implementation Plan for the High-Quality Development of the Aluminum Industry (2025-2027)," proposing to strengthen the processing and distribution capabilities of copper and aluminum scrap, promote the standardized recycling and refined sorting of raw materials, encourage the import of qualified secondary copper and aluminum raw materials, support copper smelting and copper-aluminum processing enterprises in increasing the proportion of secondary copper and aluminum used, and promote high-value utilization.

In terms of encouraging technological innovation, the NDRC and other departments issued the "Green Technology Promotion Catalogue (2024 Edition)," which includes technologies such as comprehensive recycling and utilization of spent lithium-ion batteries, comprehensive utilization of arsenic-containing waste residues from gold and copper smelting, and clean recovery of valuable components from spent power batteries. Financial institutions are encouraged to strengthen financing support for the application of green technologies listed in the catalogue through green credit, green bonds, and carbon emission reduction support tools.

In 2024, China's production of secondary non-ferrous metals reached 19.15 million mt, ranking first globally for 15 consecutive years. The physical content of imported secondary copper and aluminum raw materials exceeded 4 million mt, accounting for 23% of the total raw material supply, a decrease of 1.7 percentage points compared to 2023. A raw material supply structure primarily based on domestic recycling with imports as an important supplement has basically taken shape. Meanwhile, China is actively constructing a more resilient international resource collaboration system to reduce the impact of external risks.

Firstly, import management policies are continuously improving, and the variety of imported products is increasing. The new version of the import management announcement for secondary copper and aluminum raw materials and relevant customs inspection procedures have been implemented since November 2024, adding the import of secondary copper alloys such as brass, bronze, white copper, and high-copper alloys, as well as secondary wrought aluminum alloys and secondary pure aluminum raw materials that meet the indicator requirements. The import management announcement for secondary black mass raw materials used in lithium-ion batteries has completed the solicitation of opinions, and qualified secondary black mass raw materials will be included in the category of free imports. Additionally, the import management policy for post-sputtering targets is also being orderly promoted, aiming to recycle and reuse critical strategic metal resources such as tantalum, cobalt, nickel, tungsten, molybdenum, and vanadium.

Secondly, recycling factories are being established abroad to expand the coverage of the recycling network. Following the establishment of dismantling, sorting, and recycling production lines for secondary non-ferrous metal raw materials in Southeast Asian countries such as Vietnam, Malaysia, Thailand, and Cambodia, Chinese enterprises have begun to establish sorting plants in countries such as Japan, South Korea, Pakistan, Bangladesh, and Indonesia to recycle secondary non-ferrous metal resources, greatly expanding international sources of secondary raw materials and enhancing the resilience of overseas secondary resource supplies.

Thirdly, the number of countries from which raw materials are imported has increased, and the sources of secondary raw materials have become more diverse. Taking the import of secondary aluminum raw materials as an example, the number of importing countries and regions has increased to 95, six more than in 2023. The number of countries and regions importing more than 10,000 mt of secondary aluminum has reached 22, four more than in 2023.

Fourthly, customs has further optimized the port business environment to facilitate customs clearance. The General Administration of Customs has carried out pilot projects for the transshipment of secondary metal raw materials in inland areas, creating favorable conditions for importing enterprises to reduce transportation and logistics costs and improve customs clearance efficiency. Simultaneously, the construction of a smart customs system is being comprehensively promoted, with 16 specific measures introduced to optimize processes, simplify procedures, and enhance efficiency, helping enterprises reduce costs, increase vitality, and continuously improve the level of cross-border trade facilitation.