4Chinese companies have started buying and selling iron ore on the spot market in Rizhao, the country’s largest port for iron ore, where over 100 million tons of the steelmaking ingredient are offloaded every year. Bloomberg reported5 on Tuesday that the new bourse, called the Rizhao International Iron Ore Exchange, opened with three transactions totalling 235,372 tons, including lump ore and fines.

 

The exchange is owned by China Railway Materials, Shandong Huaxin Industry, Shandong Wanbao Logistics and Rizhao Zhongrui Native Produce, according to its website.

 

The launch of the exchange is an indication that the Chinese government is loosening its control of the iron ore trade, following a decision in June to scrap6 its decade-old iron ore import licensing system, Bloomberg said. The 21-dealer bourse will trade iron ore in yuan and dollars, and so far does not contain any foreign companies, according to an exchange spokesperson quoted by the news outlet.