China Launches Trading Of LPG Futures

Faizan Hashmi Published March 30, 2020 | 01:30 PM

Trading of liquefied petroleum gas (LPG) futures contracts started at the Dalian Commodity Exchange Monday, while the trading of LPG options will debut Tuesday

DALIAN, (UrduPoint / Pakistan Point News - 30th Mar, 2020 ) :Trading of liquefied petroleum gas (LPG) futures contracts started at the Dalian Commodity Exchange Monday, while the trading of LPG options will debut Tuesday.

The listings of the derivatives mark the trading of the first energy type in China's futures market, according to the China Securities Regulatory Commission (CSRC).

It also marks the first time for a Chinese commodity exchange to launch futures and options of a particular product at nearly the same time, said the CSRC.

China is currently the world's largest importer and consumer of LPG, an important type of clean energy and raw chemical materials. In 2019, China's apparent consumption of LPG amounted to 47.06 million tonnes, accounting for 14 percent of global use.

Trading of the futures and options will provide enterprises with price signals and effective risk management tools and will boost the steady and sound operation of the sector.