ICE to launch battery metals derivatives in London

Intercontinental Exchange (ICE) announced plans to launch derivatives for battery metals, including nickel, cobalt, and lithium spodumene. This initiative is expected to begin later this year and comes in response to growing customer demand for hedging products. ICE’s move reflects the increasing need for minerals used in electric vehicles and storage batteries. Chris Rhodes, president of ICE Futures Europe, shared details at the FT Global Commodities Summit in Lausanne, Switzerland. He emphasized the importance of having a wide range of products available for customers. Other exchanges, such as CME Group and the London Metal Exchange (LME), have already introduced similar products to capture the growing market. The demand for these battery metals is strong worldwide. The CME Group offers futures in lithium and cobalt, while the LME handles significant trading volumes in nickel. In China, the Guangzhou Futures Exchange has seen success with lithium carbonate futures since their introduction last year. However, foreign participation faces some challenges. Also, the Singapore-based Abaxx Commodities Exchange started trading in lithium carbonate this month and began nickel sulphate trading in January. Last year, Global Commodities Holdings Ltd announced plans to work with ICE to create cash-settled derivatives.