• Friday, July 10, 2020

China Baosteel and Australia's RioTinto realize RMB-based iron ore trade using blockchain technology

Discussion in 'China & Far East' started by 艹艹艹, May 13, 2020.

  1. 艹艹艹

    艹艹艹 SENIOR MEMBER

    Messages:
    4,714
    Joined:
    Jul 7, 2016
    Ratings:
    +0 / 14,679 / -0
    Country:
    China
    Location:
    China
    Baosteel, Rio Tinto realize RMB-based iron ore trade
    [​IMG]
    The office buidling of China Baowu Steel Group. (Photo provided to China News Service)

    (ECNS) -- Shanghai-based Baosteel and Australia's Rio Tinto have completed their first cross-border RMB settlement using blockchain technology, the former's parent company China Baowu Steel Group announced Tuesday.

    The deal was worth over 100 million yuan ($14.10 million).

    Baosteel completed its first cross-border RMB settlement with Brazil's Vale SA Group in January and Australia's BHP in April. So far, China Baowu has realized iron ore trade with the world's "three giant" suppliers in the from of cross-border RMB settlement.

    The use of RMB settlement falls in line with the development trend of RMB internationalization, Baowu said.

    Chen Derong, Baowu's chairman, said he would like to strengthen cooperation with all parties for long-term prosperity.

    Baosteel Corp and Wuhan Iron and Steel Corp merged into Baowu Steel Group in September 2016.

    Blockchain Utilized For Iron Ore Sale

    Nearly four years ago, the massive mining firm revealed its plans to begin employing the Ethereum blockchain to improve the efficiency of its global supply chain. Tyler Smith, a BHP geophysicist, said at the time that the distributed ledger technology (DLT) could improve data transparency between the involved parties and the tracking processes.

    BHP later added that it would use blockchain for similar transactions in the future as well.

    Interestingly, the latest transaction adds to the list of other blockchain-based deals completed by the giant Chinese steelmaker. Previously, the company concluded its first iron ore purchase supported by DLT with Rio Tinto – the London-based large metals and mining corporations.

    It’s also worth noting that, outside of blockchain employment, these massive entities are now initiating transactions with the Chinese national currency – the yuan instead of the US dollar.
     
    • Thanks Thanks x 3
  2. Daniel808

    Daniel808 SENIOR MEMBER

    Messages:
    2,334
    Joined:
    Nov 24, 2013
    Ratings:
    +1 / 8,663 / -6
    Country:
    Indonesia
    Location:
    Indonesia
    Even those australians don't want to trade with currency of their allies, uncle USA :enjoy:

    Doesn't like what those Anti China clowns propaganda in here.
    Those clowns will butthurt when they see your thread :lol:
     
    • Thanks Thanks x 4