The move, part of a bigger gameplan, is aimed at gaining pricing control over the import of China’s major commodities.
With China launching its “internationalised” iron ore contract, Glencore, a global trader, was the first foreign firm to carry out trade in Chinese iron ore futures on the Dalian Commodity Exchange, on Friday.
The strategic move, is part of a bigger Chinese gameplan aimed at boosting its sway over pricing of imports of major commodities.
In March, China opened its crude oil future to outside investors. The opening up of the iron ore futures is the second such move in this direction.
The move, aimed at increase trading in future contracts, which was launched in 2013, is already among China’s most liquid derivatives.