The SHFE: Mature Conditions for Listing Nickel, Tin Futures Products

Updated on Oct 13,2014

The SHFE: Mature Conditions for Listing Nickel, Tin Futures Products

September 29, 2014

By Guan Ping

On September 26, Ye Chunhe, Vice President of the Shanghai Futures Exchange (SHFE) said at the 1st Session of “Enterprise Training Class on Nickel, Tin Futures Trading” that listing nickel and tin futures products is one of the key tasks of the SHFE in product development in 2014. At present, the conditions for China to list nickel and tin futures products have been mature. China is the largest nickel and tine manufacturing and consumption country in the world, and the nickel and tin, with their high marketization level, full price competition, clear spot market policies, and strong enterprise demand, have the spot goods basis to be regarded as the futures trading targets. And the nickel and tin are mature commodity futures products in the international arena. China’s listing of nickel and tin futures products will help to improve the nickel and tin market pricing mechanism, set up a standard, transparent, fair, and efficient risk-avoiding trading platform for enterprises, ensure the stability of enterprises’ manufacturing and operation, and serve the sustainable development of the industry.

The Training Class was jointly organized by the SHFE and the China Nonferrous Metals Industry Association (CNIA) in Shanghai. Among those attending were more than 160 representatives from smelting, trading, and consumption enterprises of the domestic and foreign nickel and tin industry chains, such as Jinchuan Group, Yunnan Tin Company, and Taiyuan Iron & Steel (Group).

Ren Xudong, Standing Vice President of the CNIA, said that the SHFE’s nonferrous metals futures market has played an important role in serving the development of the nonferrous metals industry, and it is the most influential metal futures trading platform in China with increasing international influence. The 1st Session of “Enterprise Training Class on Nickel, Tin Futures Trading” held by the two sides is a practical measure to implement the requirements put forward in the strategic cooperation agreement signed by the SHFE and the CNIA and to deepen the industrial service and promote the industrial development. The CNIA will continue to support and cooperate with the enterprises training and the investor education activities of the SHFE and fully enhance enterprises’ risk management level, so as to make new contributions to better bringing off the futures market’s function in serving the goal of constructing an industrial power in nonferrous metals.

Source: China Securities Journal