On warehouses in China
Setting up LME-listed warehouses in China remains a “controversial issue”, according to Charles Li, ceo of HKEx, and one without a simple solution.
In order to move forward with bringing in bonded warehouses, a systemic change would be needed in Chinese legislation.
“Foreign exchanges are not allowed to certify on-shore warehouses,” he told delegates at the seminar.
“Our strategy is not to fight that battle. That battle is one with huge machine guns and bunkers. You’d have to make people admit it’s a mistake [in the legislation]. That’s awfully hard in the context of China.”
Instead, the exchange is employing a strategy of collaboration and partnership, Li said, and will wait for changes in the broader arena.
On the importance of the Asian market
Financing deals are continuing in China, despite the Qingdao scandal, according to Mike Camacho, co-head of global commodities at...