London Metal Exchange (LME) today published the results of consultations that confirm the introduction of certain market structure changes aimed at enhancing transparency, increase prices competition and enhancing liquidity, protecting the unique market characteristics that serve the base of LME’s natural users.
According to the indicative timetable announced today, LME plans to introduce cross -by -LMESELECT rules in February 2026, with the introduction of trade -ranks (or “minimum volume”) designed by the end of Q1 2026.
After a detailed review of the answers in its consultation on the enhancement of the liquidity issued in April, LME has made several changes to the rules it has consulted. Specifically, LME has abolished the proposed requirement to exempt transactions from the trade limits that will be recorded with a separate category of trade. This will simplify the application for members and ISVs that will not need to make systems to include new categories of trade.
LME also confirmed that an automated intersection solution will be available to members before entering thresholds, which will reduce business complexity and ensure the best possible commercial experience for customers.
Last month, LME confirmed the introduction of the first market improvements resulting from the packaging of measures initially resulting from the White Paper to boost liquidity. The TAS (TAS) contracts that allow participants to enter orders and trade in a difference in relation to the closing price were successfully introduced on August 4 for 3 months contracts, providing greater flexibility and accuracy for trading strategies. The exchange has already seen a healthy two -way reference activity in TAS contracts.
This will be followed by the optimization of LME’s tick calibration later this year, designed to encourage positive electronic performance behaviors. The LME will also launch a liquidity supply program prior to the implementation of thresholds, details that will be announced before the end of the year.
In support of the natural market and as announced in April, in addition to the exception of cash and dates from block limits, LME will also extend the definition of short timeline. This will ensure, for example, that participants who carry seats in the front of the curve to be perfectly aligned with the corresponding physical conventions being able to do it as economical as possible. This will be introduced in parallel with the trade limits in March 2026.
In April, LME confirmed that it would not proceed with plans for block-like rules for Over-Counter (OTC) transactions, but would follow an approach based on fees for leveling the competition between the exchange and the OTC market by increasing the financial fee. Revised rates for FOTCBF – especially for LME LOOKALIKE transactions – have been issued today and will apply from October 1, 2025.