Rio Tinto signs its first Renminbi portside trading contract

Rio Tinto, one of the world's top iron ore miners, signed its first spot trading contract denominated in Chinese Renminbi on Friday, in an effort to diversify procurement channels for Chinese customers.

Rio Tinto held a signing ceremony at Rizhao Port in China's eastern province of Shandong, offering 10,000 tonnes of mid-grade iron ore SP10 to Shanxi Gaoyi Steel Co., Ltd.Asian Metal CopyrightRio Tinto, one of the world's top iron ore miners, signed its first spot trading contract denominated in Chinese Renminbi on Friday, in an effort to diversify procurement channels for Chinese customers.Asian Metal Copyright, said Zhang Qi, director of foreign ore at the Shanxi firm.

"We believe port sales could potentially help us to better serve our existing customers, as well as potentially opening up an opportunity to sell to new customers who do not participate in the seaborne market," a Rio Tinto representative was quoted as saying. The portside trading channel is only aiming to promote Rio Tinto's niche products for now, the representative said.

Portside sales of Rio Tinto's products at Chinese ports are currently sold via traders. Brazilian mining giant Vale SA launched yuan-denominated spot trading in 2016.

China imported 684.9 million tonnes of the steelmaking raw material in the first eight months of 2019.

.Asian Metal Copyright The portside trading channel is only aiming to promote Rio Tinto's niche products for now, the representative said.Asian Metal Copyright