The iron ore futures of Dalian Commodity Exchange (DCE) officially usher in overseas traders on May 4. Fang Xinghai, Vice Chairman of the China Securities Regulatory Commission (CSRC), Tan Chengxu, Mayor of Dalian, Espeschit, Vale President of China Region, and Li Zhengqiang, DCE Chairman, delivered a speech successively at the launching ceremony. Tan Zuojun, Standing Member of the CPC Liaoning Provincial Committee and Party Chief of the CPC Dalian Municipal Committee, was present at the launching ceremony.
Fang Xinghai said that the usher-in of overseas traders of iron ore futures is the result of deeply studying and implementing General Secretary Xi Jinping’s Thought on Socialism with Chinese Characteristics for a New Era and rapidly implementing the requirements of Xi’s speech at Bo’ao Forum by the CSRC, DCE and all market participants. According to the instruction of General Secretary Xi, the futures market and the whole capital market should be furthered opened up and take part in global economic governance. Fang said that the ushering in of overseas traders of iron ore futures marks the 1st opening-up of a listed futures product in China and will accumulate experience for the internationalization of existing futures products. On the basis of the internationalization of crude oil and iron ore futures, DCE will accelerate the introducing of international investors and the internationalization of all futures products when conditions permit, thus giving play to the international influence matching with the economic status of China.
Tan Chengxu said that as advanced by national departments like the CSRC and all sectors of society, we’ve welcomed the significant moment for the usher-in of overseas traders of iron ore futures. As the only commodity exchange in Northeast China, DCE has set an example for the opening-up and financial development of Dalian and become the irreplaceable superior financial resources in Dalian. The CPC Dalian Committee and the Dalian Government will continue to support DCE to intensify its leading position and role, strengthen the service and detail the policy for the increase of trading product varieties and the introduction and cultivation of financial talents, accelerate to construct a global commodity pricing center and a risk management center, and steadily boost the construction of a regional financial center.
Espeschit said that Vale is the largest iron ore producer in the world and has been in cooperation with China for 45 years. The ushering in of overseas traders of iron ore futures symbolizes an important milestone in the development of China’s futures market and also a key milestone of China in supporting the steel industry development and further advancing the openness degree. Futures are of vital function in commodity market and provide the buyer and the seller with the price discovery method and the flexibility of managing price risks. The internationalization of DCE’s iron ore is of great significance, and Vale will fully support the internationalization of iron ore futures. Espeschit believed that the Dalian futures market will play a crucial part in supporting the development of the iron and steel industry in China and even in the world.
DCE Party Chief and Chairman Li Zhengqiang said at the launching ceremony that DCE will continue to promote progress while maintaining stability and facilitate the development by stability and the reform by opening-up under the guidance of General Secretary Xi Jinping’s Thought on Socialism with Chinese Characteristics for a New Era and under the leadership of the CSRC. It will focus on resolving two principal contradictions – the incompatibility with the great risk management need of the real economy and that with the new situation and pattern of diversified openness and development, actively explore to provide the global markets with open, fair and justice futures prices, and strive to construct an important commodity pricing center and a risk management center in the world.
Luo Hongsheng, Director of the Futures Supervision Department of the CSRC, read relevant approval documents, and DCE President Wang Fenghai presided over the ceremony. Also attending the launching ceremony were officials of relevant Party and national ministries and commissions, Liaoning Province and Dalian, and representatives from the securities and futures regulatory system, industry associations like China Iron and Steel Industry Association, relevant market institutions at home and abroad, and the news media.
