The London Metal Exchange (LME) on October 30, 2025 proposed permanent rule changes to restrict large positions in near‑dated contracts during low‑inventory periods, formalizing temporary curbs introduced in June after sharp spikes in nearby copper premiums. Under the plan, holders of long positions larger than total available stocks would be required to lend metal back to the market at a zero premium. The proposal also broadens restrictions on “tom‑next” positions closest to delivery. The measures are intended to maintain orderly markets and prevent potential market manipulation or cornering, the LME said. The initiative follows severe tightness across several metals, notably zinc, where exchange inventories have fallen about 85% year‑to‑date and the cash‑to‑three‑month spread recently hit a record $339 per metric ton before easing to $133 on October 29. The LME, owned by Hong Kong Exchanges and Clearing, opened a consultation on the changes running through November 21, 2025. The exchange’s Special Committee previously directed participants to reduce large on‑exchange positions during periods of extreme tightness. Today’s proposal seeks to standardize those interventions across the market, reflecting lessons from recent episodes of low visible stocks and outsized time‑spread moves.