On November 15, the trading volume on China's iron ore spot trading platform has reached an initial milestone, aligning closely with expectations. The benchmark prices set by the platform are largely consistent with third-party data, showing steady improvement. These prices, combined with external transaction data and price fluctuations, help reveal trends in the iron ore spot market. Guo Xiaojie, Vice President of Beijing International Mining Exchange, noted that since the collapse of the iron ore annual long-term pricing mechanism in 2010, various alternative pricing methods have emerged, but none have dominated the market. So far, the spot platform has facilitated the sale of 5.29 million tons of iron ore. As of November 13, the platform recorded 917 total transactions, including inquiries worth around 80 million yuan, purchases totaling 28 million tons, and sales reaching 51.8 million tons, resulting in 5.29 million tons sold. Launched in January this year and officially operational since May 8, the platform represents significant progress toward establishing a fairer and more transparent pricing system.
The China Iron Ore Spot Trading Platform was jointly created by the China Iron and Steel Industry Association, the China Minmetals Chemicals Import and Export Chamber of Commerce, and the Beijing International Mining Rights Exchange. It currently counts 191 members, comprising 81 steel producers, 103 traders, and seven foreign mining companies. Guo Xiaojie emphasized that the platform plays a crucial role in reflecting market dynamics and accurately representing the supply-demand balance in the iron ore market. Moving forward, the platform aims to enhance its services, increase trading volumes, and compete effectively with rival exchanges.
Following China’s initiative, GlobalORE, a Singapore-based iron ore spot trading platform, launched operations on May 30. Founded by major players like Baosteel, Minmetals, Hunan Valin Steel from China, along with global giants such as Glencore and the "Big Three" mining firms, the platform currently lists five types of iron ore for trade. Despite having 64 members, GlobalORE’s October transaction data indicates limited activity—only about 10 days of trading and over 100,000 tons of small orders. Lu Shen, GlobalORE’s global marketing manager, acknowledged the platform’s early stage challenges, emphasizing the importance of attracting more traders and boosting trading volumes. He noted that the competitive landscape remains intense.
Liu Yanzhen, Senior Manager at the Chicago Mercantile Exchange (CME), highlighted how the shift from long-term contracts to spot pricing has increased volatility in the iron ore market. Steel industry participants now require tools to mitigate risks and discover prices effectively. The CME covers various segments of the steel industry, including rebar, iron ore, coke, and scrap, and is actively promoting iron ore futures trading. Meanwhile, other financial trading platforms offering derivatives, indices, and stocks also vie for influence in the iron ore market. Song Tianxiang, Executive Vice President of MySteel Network, observed that while multiple pricing models exist, none have yet achieved "pricing power."
On November 7, Liu Xingqiang, General Manager of the Dalian Commodity Exchange, announced that the China Securities Regulatory Commission (CSRC) approved the listing of iron ore futures. This development introduces a new competitor into the iron ore trading space, directly challenging the CME. Liu Yanling commented, "Competition is unavoidable, as no single entity can monopolize this vast market." The growing diversity of trading platforms underscores the dynamic nature of the iron ore market, where innovation and adaptability remain key to success.
Humidity Controller,Temp And Humidity Controller,Auto Humidity Controller,Automatic Humidity Controller
Yuyao Gongyi Meter Co.,Ltd. , https://www.yycj.com