Australia's Fortescue Metals Group (FMG) has become a formal member of China's first iron ore spot trading platform launched by the China Iron & Steel Association, FMG announced on Tuesday.

FMG is the first overseas iron ore company that joins the platform.

Although China is the largest iron ore importer, its pricing power over raw materials have long been dominated by giant foreign companies.

The online platform was jointly launched by the China Beijing International Mining Exchange, the China Iron & Steel Association and the China Chamber of Commerce of Metals Minerals & Chemicals Importers & Exporters in January, a move aimed at strengthening its pricing power and promoting the establishment of fair and transparent pricing mechanism.

FMG is the world's fourth largest mining supplier. Compared with the three dominant majors - Brazil's Vale, BHP Billiton and Rio Tinto of Australia -FMG is "closer" to China.

Source:chinesestock