Dalian Commodity Exchange starts trading coking coal futures

Dalian Commodity Exchange (DCE) has announced that it has launched coking coal futures trading as of March 22, indicating that launch of coking coal futures has great significance in improving the coal market system and playing a fundamental role in coal resources allocation, and is a new milestone in the building of the coal market system.
 
According to DCE, the launch of coking coal futures will allow industries and enterprises make use of futures and spot markets to strengthen and improve production, operation and management, and will facilitate increasing China's say in setting the global price of the commodity.
 
Regarding iron ore futures, DCE vice president Wang Fenghai said iron ore is the second largest commodity in the world, next only to crude oil, and China is the world's largest iron ore importer and consumer. After the global iron ore pricing mechanism changes from the traditional pricing based on long-term agreement to the seasonal and monthly pricing and prompt pricing based on the spot market, price fluctuations have increased, enterprises are faced with more risks, requiring the launch of iron ore futures as soon as possible.
 
DCE submitted the application for launching iron ore futures trading to the China Securities Regulatory Commission in October 2012 and was granted approval.