Tok-metal trading is making a whopping $2 billion! LME Week Champagne continues to open, with metal traders “profiteering” for two consecutive years

The Zhitong Finance App learned that metals traders are entering the industry's “good harvest year” for the second year in a row, and many top traders have set record profits. According to people familiar with the matter, in the fiscal year ending September, the Trafigura Group (Trafigura Group) made a record profit of about 2 billion US dollars in metals trading. Torque and Glennon can compete for the title of the world's largest metals trader. Glencore also recorded one of the best profits in history, but its overall performance was hampered by the $480 million provision relating to the risk exposure of iron ore trader Radiant World.

Strong earnings made the London Metal Exchange Week (LME Week), which ended last Friday, a warm atmosphere. Enjoy a glass of champagne during this major annual gathering of the global metals industry. Many traders have privately stated that they are enjoying the best benefits of their careers while also receiving job offers from competitors and new entrants looking to get a share of the metal boom.

The market originally anticipated that after US President Trump did not push for tariffs on refined copper last summer, the opportunities for metal traders would decrease; however, uncertainty about whether the tariffs could still be implemented extended the window of opportunity for traders to arbitrage copper to the US. Meanwhile, the prices of metals such as copper, gold, and silver have risen to record highs, while the market for semi-processed copper concentrates — a staple for many physical traders — is also unprecedentedly tight.

According to people familiar with the matter, TOK's metals division recorded record performance in terms of trading. Since the results have not been made public, these individuals requested anonymity. Tork is still finalizing its results, which are usually announced in early December; some sources say the audited profit figures may change due to adjustments and revaluation of assets such as its smelting subsidiary Nyrstar. Both Torque and Glencore declined to comment.

Mercuria Energy Group (Mercuria), one of the most aggressive energy traders expanding in the metals sector in the past few years, also had a strong year. According to people familiar with the matter, Macquarie's annual operating profit is expected to reach or exceed the level of more than 300 million US dollars last year. The company has invested more than $4 billion to trade metals from Congolese copper to Indonesian aluminum to expand its market reach.

According to people familiar with the matter, IXM, the metal trading division of Luoyang Molybdenum Industry, is also expected to set a record year. According to Luoyang Molybdenum's semi-annual report, IXM “strengthened physical transactions and hit a record high in operating revenue during the same period.” Representatives for both Mocory and IXM declined to comment.

Vitol Group (Vitol), the world's largest commodity trader, is also establishing a metals trading business. According to people familiar with the matter, Vitro's metal trading profit this year is expected to exceed 100 million US dollars, which is far higher than last year's metals business performance, but it still lags behind major competitors such as Mocry. According to people familiar with the matter, Victor is in discussions to strengthen the metals team and has hired Billy Henty, who has worked for Mercer and Citi, to trade iron ore in Dubai; Vico executives also had discussions with former IXM CEO Kenny Ives. It is currently unclear whether negotiations can progress, and Ives has indicated that new jobs will not be considered until 2027 at the earliest. Both Vito and Ives declined to comment.