Notice on Implementing Trading Limit on Iron Ore Futures Contracts

Ref: No. 614 [2020] DCE

December 21, 2020

To all members and parties concerned:

According to the Measures for Risk Management of Dalian Commodity Exchange, Dalian Commodity Exchange (DCE) has decided upon discussion that from the trading on December 22, 2020, the combined trading volume of opening long and short positions on each Iron Ore Futures Contract of any Non-Futures Company Member or client is not allowed to exceed 2,000 lots on any single day respectively.

The hedging trading volume and market-making trading volume of opening positions shall be exempted. Accounts involving actual control relationship shall be managed as one single account.

DCE will dynamically adjust the trading limit in accordance with market conditions.

This notice is hereby released.

Announcement About Soliciting Public Opinions on Adjusting Iron Ore Futures Position Limits

December 21, 2020

Dalian Commodity Exchange

In order to strengthen the risk management of iron ore futures, Dalian Commodity Exchange (DCE) now solicits public opinions on matters related to position limit adjustment and implementation schedule. The details are as follows:

I. Position limit adjustment of iron ore futures

The position limits of iron ore futures will be adjusted to fixed amount, and two adjustment proposals are as following:

Proposal I: Position Limit Table of Iron Ore Futures (unit: lot)

Meanwhile, the Exchange will stop automatically converting the hedging position amount of the general months or the speculative position limit of the delivery months of iron ore, whichever is lesser, into the hedging position limit increase of the delivery months.

II. Implementation schedule

The implementation schedule of proposed position limit adjustment are as follows:

Proposal I: Implement the adjustment from Contract I2102 and beyond.

Proposal II: Implement the adjustment from Contract I2106 and beyond.

Proposal III: Implement the adjustment from newly listed contract.

Market stakeholders are welcome to provide opinions or suggestions, which can be submitted to DCE through contact emails by December 23, 2020. Please note that your feedback also indicates your consent for your contact information and data to be used by DCE for the sole purpose of soliciting opinions as described in this announcement.

Thank you for your support.

Contacts:

CHEN Zhuo 0411-84808740 chenzhuo@dce .com.cn

DONG Chang 0411-84808127 dongchang@dce .com.cn

English links:

http://www.dce.com.cn/DCE/TradingClearing/Exchange%20Notice/6259254/index.html

http://www.dce.com.cn/DCE/TradingClearing/Exchange%20Notice/6259274/index.html

Chinese links:

http://www.dce.com.cn/dalianshangpin/yw/fw/jystz/ywtz/6259266/index.html

http://www.dce.com.cn/dalianshangpin/yw/fw/jystz/ywtz/6259270/index.html