The
China Beijing International Mining Exchange (CMBX) has stated that as of May 22 just seven transactions have been concluded via the new Chinese
iron ore spot
trading platform since its launch on May 8. In particular, no transactions were concluded on seven of the 11 business days in the period in question.
The CMBX attributed the slackness of transaction activity mainly to the lack of familiarity of the market with the new platform, as well as to the negative impact on the
iron ore market of the current sluggishness in the steel industry.
The new
iron ore spot
trading platform was launched with the backing of the CBMX, the
China Iron and Steel Association (CISA) and the
China Chamber of Commerce for Metals, Mineral and Chemicals Importers and Exporters (CCCMC). The big three global
iron ore miners -
Vale,
Rio Tinto and
BHP Billiton - and major Chinese steel producers such as
Baosteel, Hebei Steel and
WISCO have all joined the new
trading platform.