futures daily online news (reporter Yang Mei) on April 21, Petrochina Company Limited(601857) and the Chemical Industry Federation signed a strategic cooperation agreement with the China Futures Industry Association in Beijing. Petrochina Company Limited(601857) and Li Yunpeng, Secretary of the Party committee of the chemical Industry Federation, and Hong Lei, Secretary of the Party committee and President of the China Futures Industry Association attended the signing ceremony Petrochina Company Limited(601857) and Fu Xiangsheng, deputy secretary of the Party committee and vice president of the Chemical Industry Federation, and Wang Ying, member of the Party committee and vice president of the China Futures Association signed strategic cooperation agreements on behalf of the two sides. The two sides will work together to give full play to the function of the futures market and promote the high-quality development of Petrochina Company Limited(601857) chemical industry.
Petrochina Company Limited(601857) and Li Yunpeng, Secretary of the Party committee of the Chemical Industry Federation, introduced that the petroleum and chemical industry is the energy raw material industry, basic industry and pillar industry of China’s national economy. After decades of development, the China Petroleum & Chemical Corporation(600028) industry has made great progress and made great achievements. It has become the largest country in the global chemical industry and the second largest country in the petroleum and chemical industry. In 2021, the scale of China Petroleum & Chemical Corporation(600028) industry reached a new level, with an operating revenue of 14.5 trillion yuan and a total operating profit of 1.2 trillion yuan, an increase of 30% and 127% respectively year-on-year, creating a record high and a good start to the 14th five year plan. At the same time, the petrochemical industry is also facing some problems, which can be summarized as the lack of pricing influence in the international market. He expressed the hope that the futures market could play a greater role in international pricing power. Industry is the foundation of futures and futures is the driving force for industrial development. Today, the signing of a strategic cooperation agreement between the two associations is a major event. In the future, the two sides should understand, support and promote each other, jointly carry out cooperation such as cash exchange and cash training, promote the better development of the futures market, promote spot enterprises to make more scientific and rational use of futures tools to manage risks, realize the combination of industry and finance, strengthen industry with finance and promote finance with industry, Promote the coordinated and healthy development of the futures and spot markets.
Hong Lei, party secretary and President of China Futures Association, introduced the basic situation of the futures market. He pointed out that China’s futures market has developed rapidly in recent years, and its scale has increased steadily. The trading volume and turnover are among the best in the data released by the International Futures Association (FIA). At present, there are 94 listed futures and options in China, and 24 listed varieties in the petrochemical industry, including 16 futures and 8 options, of which 5 have been internationalized. To give full play to the function of the futures market and strengthen the international pricing influence of China’s bulk commodities, we need to effectively solve the main problems existing in the futures market. First, the participation of industrial customers is not enough. Industrial customers are hedgers in the futures market. We must strengthen efforts to guide more industrial customers to use the futures market to manage risks; Second, the service capacity of the futures industry is insufficient. The futures industry must improve its pricing service ability and trading ability, and come up with targeted risk management schemes according to the needs of different customers; The problem is the lack of a third-party market. We should vigorously develop commodity futures funds and futures trading consultants, and vigorously introduce long-term funds, so that large industrial customers can get in and find high-quality counterparties. At present, the petrochemical sector is the second largest industrial sector in the futures market. The signing of the strategic cooperation agreement between the two associations can complement each other’s advantages and give full play to their joint efforts, jointly carry out risk management and hedging training for petrochemical enterprises, promote enterprises to establish a correct concept of risk management, promote more leading enterprises to participate in the futures market, and jointly promote futures companies to serve industrial customers, especially small, medium and micro enterprises. On April 20, the law of the people’s Republic of China on futures and derivatives was passed and will go into effect on August 1 this year. The China Futures Association will focus on the responsibilities entrusted by the law, and constantly strengthen its political mission, political function and political responsibility, and enhance the political, advanced and mass character of the association’s work, so as to promote the futures market to serve the high quality development of the real economy.
According to the strategic cooperation agreement, the two associations will work together, cooperate with each other, jointly serve, build a new development pattern, strengthen cooperation in information sharing, market cultivation, talent cultivation and subject research, jointly promote the breadth and depth of derivatives market serving the petrochemical industry chain, and promote the better and more stable development of the two industries.
The signing ceremony was presided over by Petrochina Company Limited(601857) and Fu Xiangsheng, deputy secretary of the Party committee and vice president of the Chemical Industry Federation Petrochina Company Limited(601857) and Li Yunpeng, Secretary of the Party committee of the Chemical Industry Federation, Hong Lei, Secretary of the Party committee and President of the China Futures Association, and heads of relevant business departments of both sides witnessed the signing ceremony. At the signing ceremony, the China Futures Association presented the China futures market yearbook, a series of books on futures qualification examination and an online learning card for a series of courses on financial derivatives analysts (FDA) to the petrochemical Federation.
